Corporate Calgary's Christmas parties 'killed' by economic downturn

David Howard is used to planning elaborate, red-carpet Christmas partiesfor his corporate clients,which include everythingfrom acrobats pouringchampagnefrom the ceilingtoskatersperforming during a cocktail receptionon real ice.

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But this year, Howard, who ownsThe Event Group, says his Day-timer is wide open.

"With Christmas parties, we're seeing the same as what happened withStampedethat90 per centof my clients are cancelling them," said Howard. "I mean, you can't be a public company and your shares are cut inhalf, and suddenly you are spending a half a million on aChristmas party. It really doesn't look good."

Howard says the majority of his clients are foregoing parties altogether, but some are justcutting back on theparty's budget, whether it's the menu, entertainmentor open bar.

'Everyone is havinga little bit of a panic,' caterer says

But he says he's never been hit so hard by an economic downturn since he beganplanning parties in1997.

"In Calgary,it's killed our business,quite franklyand it's not only event planners and event companies, but it's catering, it's rentals, it's affected our whole industry."

In Calgary,it's killed ourbusiness,quite franklyand it's not only event planners and event companies, but it's catering, it's rentals, it's affectedour whole industry.-David Howard, owner of The Event Group

Aaron Creurer,who runs Red Tree Catering, sayshe realized things were going to be grim this holiday seasonwhen he started calling his previouscorporate catering clients in Septemberand found out many were doing away withtheir Christmas parties.

"To start your fall season offgoing, 'We are already one-thirddown in income' is kind of an awakening, to say the least."

Creurersays it's not just clients in the oilpatch who are cancelling or scaling back on their events.

"Everyone is havinga little bit of a panic about the marketplace and, as they told us, it's going to get worse before it gets better, and it's living up to that."

EnmaxcancelsChristmas party 'to be sensitive'

A spokesperson withEnmax says the firmmade the difficult decisionto cancel its company-wide employeeChristmas party this year.

It is important in this challenging economic climate to be sensitive and caring to our fellow Calgarians, many of whom are facing some tough times.- DorisKaufmannWoodcock on why Enmax cancelled its corporate Christmas party

"Basically, while cost was considered, we feel that in providing an essential service to Calgary, it is important in this challenging economic climate to be sensitive and caring to our fellow Calgarians, many of whom are facing some tough times," saidDoris Kaufmann Woodcock, senior media relations advisor withEnmax,in an email to CBC News.

Instead, thecompany is urging its leaders to consider low-cost options like potlucks. It's also providing complimentary Zoolights tickets to its staff, at no additional cost, because it's a sponsor of the Calgary Zoo.

Howard says he agrees with the policy of cancelling lavish events at Christmas time, because it doesn't lookright to shareholders. But he saysworkers stillneedfor some type ofcelebration this time of year.

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"You just lost half your workforce, and you need to show themthat jobs are secure and you appreciate theirefforts because so many people are lookingaround, 'Am I next?'"

Companies urged to get creative

Howard says for less money, larger companies can get creative by hosting a concert or a speaker event for their staff and customers.

And Creurersays thatbecause some people can't afforda full-on, catered event, he hasstarted to provide adrop off and set up service, andhelp withdo-it-yourself parties.

"We are being proactiveabout the situation. We are actuallygoing through a whole rebranding and a review of our company and we're really moving forward during this time, expanding into different marketplaces,so that we next year won't be so reliant on the oil and gas."