Many companies and businesses think extending trading hours will benefit them in the long term. But is
this
really the case? Across Queensland 57% of businesses said ‘yes’ to the deregulations of trading hours. Trading hours are a certain set of hours put in place for when businesses can and can’t operate during that day. Recently the State Government has made major changes with the trading hours of retail businesses in Queensland. By cutting Sunday penalty rates
this
increases trading hours from 7am-9pm. As good as it sounds extending trading hours will only leave a negative outcome.
As of now the trading hours in Queensland are 7am to 9pm, Monday to Saturday and 9am to 8pm on Sundays and public holidays all under the Trading (Allowable Hours) Act 1990 supported by the Trading (Allowable Hours) Regulation 2004.
Although
, there can be exceptions to what type of
store
the business runs. Exempt, independent and non-exempt. Stores that are exempt usually operate in a stated area for an event
this
includes stores
such
as florists, chemists, galleries etc. These shops have unrestricted trading
they can operate and close any time of everyday throughout the year including public holidays. Independent are a sub-unit of exempt stores. These businesses are run
, partnership or by a proprietary company. No more than 30 people are allowed to engage in the
store
at one time (including the owner) and no more than 100 engaged in all shops across Queensland. These retailers can open
have restrictions during specific holidays (Good Friday, Christmas, Anzac Day) to remain closed.
However
, if the
store
is a food or grocery
store
these restrictions do not apply. Supermarkets, department and hardware stores are larger
they are non-exempt stores. Trading hours for these stores depend on their location. An example of
this
tourist areas, where non-exempt stores can operate during 6am to 9pm from Monday to Friday, 7am to 9pm on Saturday and 9am to 6pm for Sunday and public holidays.
This
has yet been changed by the Queensland Government allowing stores to open longer.
Take the view of a workers perspective. Think about the
How is it
Many people and businesses will majorly be affected by
this
reform
, especially those of which are located in regional and remote areas. As there are still connections between the businesses and the community. Changing trading hours will boost the competition against larger scale retailers leaving smaller businesses with a negative impact. Retailers
such
as Woolworths will
then
be operating longer attracting more and more consumers/customers, leading them away from smaller businesses who are competing against them. Leaving them with no choice but to shut down. “Major retailers have undue influence on small independent retailers. There is not a level playing field. Small retailers will struggle to compete if trading hours were deregulated” - Survey Respondent, Central Queensland. Without the current laws we have now (Trading (Allowable Hours) Act 1990) there would be less order in how businesses operate.
Again, businesses in favour of
this
reform
highlight that
this
could be “increased opportunity for sales” but according to the Chamber of Commerce & Industry Queensland (CCIQ) two-thirds of businesses said that their sales, profit, employment and investment would not be impacted by
this
change
. Meaning that the majority of Queensland wouldn’t need these deregulations. Along with 66% of businesses agreeing to maintain regular trading hours in Queensland.
This
would
also
have no effect on exempt stores which are currently
unrestricted hours even for public holidays. “The cost of employment mean many small businesses find it isn’t worth opening for extended hours, on Sundays and public holidays. Penalty rates in their current format are from the dark ages and act as a deterrent for employment” - Survey Respondent, South West Queensland
Impact on economy
With over 50% of businesses agreeing to keep regular trading hours why would the government even want to introduce
this
reform
in the
first
place? There is no doubt that smaller businesses will be heavily impacted by
this
change
because when larger retails open so will small businesses as there is always going to be that competition between the two.
All stores in Queensland must follow these so-called trading hours
when they can open and close following the Trading (Allowable Hours) Act 1990. The Queensland Government has proposed to deregulate
this
act by extending trading hours.
This
reform
would negatively affect stakeholders
such
as small business who compete against larger
although
if the
change
then
most larger businesses wouldn’t be affected by
this
, again leaving smaller businesses more impacted. Meaning there is no need for
this
change
.