Ongoing roadworks at a Springfield intersection have been blamed for poor sales at surrounding shops, with one owner saying he's had the "lowest turnover in 18 years".
But Rotorua Lakes Council says while it appreciates the work is inconvenient for businesses, community safety is its primary concern.
The council decided last May to add a raised roundabout and two pedestrian crossings to the Springfield and Otonga Rd intersection, following nine crashes in seven years.
New school zoning also meant more children would be biking and walking through the area in future.
Guidough's bakery owner Melanie Bachmann said her turnover had dropped by 40 per cent since the work started in January outside her front window.
She has had to lay off two staff because she did not have enough work for them.
"It's been a nightmare, people have stopped coming in. We are a young business, we only opened in June last year," Bachmann said.
"My husband suggested we close and go on holiday until the roadworks are over, but I have always said 'no, we have got to stick it out'."
She said there was a lack of consultation over the changes, and the crossings were too close to the roundabout.
"I am all for change and improvement but this will achieve neither," Bachmann said.
Rotorua councillor and Springfield Superette & Lotto owner Raj Kumar said he experienced his lowest turnover in 18 years last week.
"We were down more than 50 per cent. That is my worst week here since 1999. It is sickening."
Kumar said his turnover dropped to 20 per cent below average after the first week of roadworks.
He said drivers were going down Nikau and Jackson streets to avoid the roadworks and save time, and the detour skipped the shops.
"I want to be positive but I did not think that sales could get so low."
Kumar said he would be calling for the Rotorua Lakes Council to do more to reduce impacts on businesses affected by similar projects in future.
"This is how you kill business. In my opinion, the lights are the real cause of the problem. They have very long intervals and I was dead against them."
So far Kumar had not laid off any employees, but was at the point where "he was tempted to".
"It is not their fault so I do not want to punish them, but how much more can we sustain?"
Across the road, Otonga Road Primary School principal Linda Woon remains supportive of the use of lights to manage traffic during the works.
She said pupils who normally walked home from school alone were now expected to go with the walking school bus.
"We are really looking forward to the end as we spend 40 minutes a day taking walking school buses at the moment," Woon said.
Rotorua Lakes Council's general manager of infrastructure, Stavros Michael, said contractors were making "every effort to accommodate access to all nearby properties".
"We appreciate that roadworks cause inconvenience but community safety is our primary consideration and traffic management, temporary fencing, cones and appropriate signage are all necessary."
He said the council had held meetings with business owners, hand-delivered several letters, issued updates face to face, online and through the Otonga Primary School newsletter.
When asked why the works were not completed in the school holidays, Michael said the contractor had other commitments until January.
"They carried out as much work as they could before students returned to school in February."