Thursday 12 August 2021
The Australian Retailers Association (ARA) has welcomed the additional $367 million to support Victorian businesses through the ongoing lockdown as the pandemic pain mounts nationally with stay-at-home orders announced in the ACT.
ARA CEO Paul Zahra said many Victorian small businesses are on the brink of financial, emotional and mental health collapse and ongoing supports are necessary beyond the lockdown period.
“We welcome the collaboration of the Commonwealth and Victorian Governments to ensure businesses get access to support payments during this difficult period, but the pain doesn’t end when lockdowns are lifted,” Mr Zahra said.
“It’s a false assumption that things return to normal when lockdowns are removed. It can take months for foot-traffic to gradually return to pre-lockdown levels so businesses need to have certainty they’ll be supported through the challenging months ahead.
“We need to see the return of tried and tested support schemes like the Leasing Code of Conduct, which provided protections for small businesses and established a process for rent relief negotiations between landlords and tenants. Rents are the biggest pain point for Melbourne retailers right now, and while the Victorian Government’s Commercial Tenancy Relief Scheme is well intentioned, there are flaws in the way rent relief is calculated that remain unaddressed.
“The Leasing Code would go a long way to supporting retailers in NSW as well, as business costs mount with the lockdown in that state confirmed for at least nine weeks.”
Mr Zahra said the 7-day lockdown in the ACT adds to the pandemic pain felt nationally and has again resulted in confusion over what is defined as essential retail.
“We’re 18 months into this pandemic, and we’re yet to see a nationally consistent set of protocols on what defines essential retail,” Mr Zahra said.
“Lockdowns mean different things in different states and territories, and it’s a pain-staking exercise to work out what businesses have to close, what can stay open and whether contactless shopping like ‘click and collect’ is allowed.
“This is the first time the ACT has gone into a lockdown since the early days of the pandemic, but that’s no excuse. Once again, businesses are left scrambling to work out how they’re impacted by the health orders which are too vague and confusing.”
