Small businesses in NSW are being urged to plan ahead, following the introduction of new ANZAC Day trading laws.
ANZAC Day is a deeply solemn occasion, and retailers and employees have always respected the sacrifice of Australian service men and women and the significance of the day to the nation.
For this reason, it has always been a complex day for trading.
Last year, the NSW Government made headlines when it banned large (non-exempt) businesses from operating on ANZAC Day, allowing small (exempt) businesses to continue trading if they wished. What wasn’t acknowledged or made clear at the time was that many small businesses should consult with their landlord to understand whether they will be able to trade.
The National Retail Association expressed concerns about the changes, adopting the position that the NSW Government took an off-balance approach by dividing the sector.
Previous restrictions in NSW struck the right balance. Small businesses were (and still are) able to trade. Large businesses were allowed to trade from 1pm, and all retail workers were (and still are) able to elect not to work in order to pay their respects. These arrangements offered consumers the ability to shop if they chose to, and ANZAC Day was a reasonable trading day. The new laws will disrupt this balance.
Smal retailers typically rely on large retailers to attract significant foot traffic, which the new legislation doesn’t take into account. Customers don’t traditionally venture out to shopping centres to visit one smaller store; the clout brought in from larger stores has a trickle-down effect for smaller enterprises.
With large businesses now closed on ANZAC Day, small businesses would be deprived of the usual foot traffic and trading environment. Additional expenses (outgoings) would need to be borne by small businesses that are able to open.
The crux of the issue is this: if businesses allowed to trade are located in a shopping centre, they cannot unilaterally decide to open their doors—they must first come to an agreement with the centre’s management. We urge NSW small businesses to consult with their landlord well in advance, to ensure stock levels and team members aren’t arranged unnecessarily.
While the intention behind the new trading laws may have been to support small retailers, the reality is that these changes may create more challenges than opportunities.