'Year-end Special Demand Disappears' Self-Employed Cry Out... Sighing Restaurants and Desperate Karaoke Rooms

Self-Employed "No Way to Survive, Forced into Temporary Closure or Shutdown"... Harsh Social Distancing Guidelines

On the 23rd, one day before the metropolitan area’s social distancing is raised to Level 2, the streets of Myeongdong, Jung-gu, Seoul are deserted due to the impact of COVID-19. Photo by Moon Honam munonam@

[Asia Economy Reporter Lee Seon-ae] "I haven't been able to operate for two months since August, so I haven't brought a single penny of living expenses home, and now another sudden blow with business restrictions has fallen. The ban on operating after 9 p.m. is no different from a complete ban. I feel hopeless." On the evening of the 23rd at 8 p.m., Mr. Kim, who runs a karaoke room in Gangdong-gu, Seoul, sighed as if resigned. There was not a single customer in the karaoke room. He said, "Since the discussions about level 2 started to leak, customers began to disappear again," adding, "Until the social distancing guidelines are eased, we have to assume that we won't make any sales at all."

Self-employed people who have ruined their businesses this year due to social distancing caused by the COVID-19 pandemic are now devastated as they can no longer expect even the year-end boom due to the elevation of distancing guidelines. As of midnight on the 24th, social distancing in the metropolitan area was raised to level 2, and a few hours before this, it was difficult to find customers in major commercial districts' restaurants and bars in the metropolitan area. Signs indicating temporary closure were everywhere, and many rental inquiries were also noticeable.

Restaurants that can only operate normally until 9 p.m. and are limited to takeout and delivery afterward showed a clear atmosphere of closing their dining halls early. Mr. Park, who runs a meat restaurant in Nowon-gu, said, "At year-end, we usually earn more than twice the usual sales, but this year, the year-end boom has disappeared, so we have to consider that the business has been ruined all year long," adding, "We are only doing takeout, but I think we need to consider implementing delivery services to make a living."

Mr. Lee, who runs a cold noodle and galbi specialty restaurant in Ilsan, said, "Recently, sales have started to decline again in proportion to the increase in confirmed cases," and added, "As we approach the year-end, the atmosphere of avoiding dining out is strong, and delivery demand is also decreasing, so I am very worried about sales." Mr. Lee, who runs a Korean restaurant in Jongno, said, "Most of the group reservations for year-end gatherings in December have been canceled," and lamented, "There is no way to get more loans, and the government support funds are far from enough, so I just feel helpless and it’s a continuous nightmare." He added, "This nearby commercial district is an office district centered on office workers, so there is almost no delivery demand after 9 p.m.," and said, "Maybe it would be a better choice to lay off employees and stop operating altogether."

Cafes are only allowed to do takeout and delivery regardless of business hours. Unlike the 2.5 level implemented last August, this time, all cafes, not just franchise cafes, are prohibited from allowing customers to eat inside. Mr. Kim, who opened a store in Gwanghwamun after entering the cafe market for the first time this year, said, "I blame myself for why I started the business, and since the conditions for delivery are not in place, I feel helpless," and pleaded, "I hope the government carefully sets distancing guidelines considering the domestic economy." Mr. Lee, who runs a cafe in Daehangno, said, "I asked two part-time employees to take unpaid leave," and raised his voice, saying, "It’s a very harsh year-end for self-employed people, and takeout and delivery alone are not enough to sustain a livelihood."

On the 23rd, one day before the social distancing level in the Seoul metropolitan area is raised to Level 2, a notice about a temporary closure due to COVID-19 is posted at a store in Myeongdong, Jung-gu, Seoul. Photo by Mo Nam Moon munonam@

If cafe store operations are banned, sales are inevitably hit by about 40 to 50%. When social distancing level 2.5 was implemented in the metropolitan area last August due to the resurgence of COVID-19, prohibiting eating inside cafes, major coffee brands saw their sales drop by more than 30%.

Karaoke rooms and screen golf centers have to completely stop operating during the busiest hours when customers flock in, leaving them almost in a state of despair. These businesses are prohibited from operating after 9 p.m. A screen golf center in Gangnam said, "There are many office worker customers on weekdays, and they usually stay for at least two hours, so going past 9 p.m. is natural, but this is basically telling us not to do business," and lamented, "Only self-employed people seem to be left to wither away."

Five types of entertainment facilities, including nightclubs and karaoke bars, have been forced to close again. The Korea Entertainment Food Service Association appealed that they are being pushed to the brink of closure due to the huge losses caused by another business suspension.

In the case of PC rooms, food consumption is restricted (except when eating inside partitions). Mr. Kang, who runs a PC room in Hongdae, emphasized, "More than half of PC room sales come from food and beverage sales, so the restriction on eating will cause significant losses."

On the 23rd, one day before the social distancing level in the Seoul metropolitan area is raised to Level 2, a notice about temporary closure due to COVID-19 is posted at a store in Myeongdong, Jung-gu, Seoul. Photo by Mun Ho-nam munonam@

This content was produced with the assistance of AI translation services.