Road map out of lockdown needs more direction, says IPA

Institute of Public Accountants head of policy and advocacy, Vicki Stylianou, said the lack of co-ordination in regard to the road maps has brought out the worst in the federation.

“We have to get back to investing our time in productive activity with long-term benefit. Right now, we, as a professional body, are spending roughly 80 per cent of our time helping members navigate the nightmare of State and Federal support packages. There is no consistent approach to business support and cracks are appearing everywhere. We’re so far into this, there is no real fix, we just need to get out the other side,” she said.

“In striking a balance, we need to give more [weight] to the non-health aspects – not just the economic recovery but things like the physical and mental impact on children of prolonged remote learning. These non-health aspects should be given more weight.”

Victoria and NSW have both released their road maps with two slightly different approaches, each in line with the national cabinet agreements to wind back restrictions when 70 per cent of the eligible population is fully vaccinated.

Victorian Premier, Daniel Andrews, announced his government will conduct trials to support businesses as much as possible in the lead-up to a vaccinated economy. The government is planning both one-off events as well as considering allowing businesses to operate with higher patron caps if all staff and patrons provide proof of vaccination.

The Victorian government is also now considering funding options for councils and businesses to operate activities outside of bricks-and-mortar establishments.

For NSW businesses, restrictions will ease the Monday after the state hits the 80 per cent (aged 16 and over) double-dose vaccination target. Hospitality venues will still have to operate at the one person per four square metres indoor rule and one person per two square metres outside.

NSW Premier Gladys Berejiklian said the 80 per cent road map will also remove the limit of fully vaccinated guests for weddings and funerals, and remove customer caps for personal services such as hairdressers. However, she added that employers must continue to allow employees to work from home if the employee is able to do so.

Although these road maps signal a staged returned to business as usual, some business associations are still unsure of how they will be implemented in practice.
The Business Council of Australia has estimated lockdowns are costing the economy $3 billion per week and chief executive of the ACB, Jennifer Westacott, has indicated that the lack of clear information in regard to how and when restrictions will be eased is making it difficult for businesses to plan ahead.

In an opinion piece in The Age newspaper, MYOB’s chief executive, Greg Ellis said the MYOB’s data shows EFT deposits had declined 31 per cent in NSW, 30 per cent in Victoria and 50 per cent in ACT in the week preceding 7 September. At the same time, invoice creation was down 27 per cent in NSW and decreased 47 per cent in ACT.

“Our data shows gross pay for [small-and-medium business] employees has declined 30 per cent in NSW, 20 per cent in Victoria and 45 per cent in ACT, demonstrating the effects of the 2021 lockdowns on people’s pockets,” Mr Ellis said.

“If you consider that small businesses are a significant national employer, representing 41 per cent of the Australian workforce, the ripple effect of this situation to the economy is immense.”