Aussies rushed out of their homes to shop, dine and be entertained after emerging from Delta lockdowns in November, but the ebullience was short-lived, with the Omicron wave battering trade and stoking fears some retailers are now teetering on thexjmtzyw edge of collapse.
Australian Bureau of Statistics figures released on Friday showed turnover increased in 12 of 13 selected industries in November, led by accommodation and food services (up 15.9 per cent), and arts and recreation services (up 14.1 per cent).
Retail was in third place, up 7.4 per cent, led by non-food retailing.
“The rise in accommodation and food services can largely be attributed to the continued easing of Covid-19 restrictions in November, particularly for NSW and Victoria,” head of the ABS business indicators branch Branko Vitas said.
Then the highly-transmissible Omicron variant struck, sending consumer confidence to its lowest level in 30 years, ANZ-Roy Morgan data earlier this week revealed.
On Friday, the Australian Retailers Association said a survey showed 65 per cent of businesses in the sector had up to half of their workforce in isolation, with 62 per cent rating current trading conditions as “poor” or “terrible”.
ARA said 63 per cent were concerned about the performance of their business over the next three months.
“Retailers would normally be thriving at this time of year with the post-Christmas sales and people out enjoying their summer holidays, but Omicron has been like a wrecking ball through the retail economy and small businesses in particular are suffering as a result,” ARA chief executive Paul Zahra said.
“Unlike in 2020 and 2021, businesses are navigating these challenges with little to no support from government.
“There’s no JobKeeper, no JobSaver and there is little in the way of cash grants to help businesses pay the bills during this unprecedented downturn.”
ARA and the Tourism and Transport Forum have released a six-point call for urgent government action “to prevent business collapse” including expanding close contact isolation exemptions.
