Small businesses need certainty amid lockdown

Government must increase aid to struggling businesses, says opposition party

Small businesses need certainty amid lockdown

Insurance News

By Gabriel Olano

Small businesses face a lot of pressure and uncertainty during New Zealand’s lockdown, and the government must provide them with some certainty during trying times, according to opposition party ACT New Zealand.

ACT small business spokesperson Chris Baillie said that businesses have been struggling to cover their costs over the past weeks under lockdown.

“For many, the wage subsidy doesn’t entirely cover wages. The payment may just cover rent, power and insurance – costs that don’t go away over a lockdown,” Baillie said. “They’ll also continue to take a hit during levels 2 and 3 as they’re limited to what can take place, these restrictions can make it impossible to turn a profit.”

Due to the pressures being faced by businesses, ACT called on the government to postpone implementing several measures that it believes would further contribute to businesses’ burdens. These include minimum wage increases, a new statutory holiday, so-called Fair Pay Agreements and paid time off for parent/teacher interviews. ACT also said the COVID Recovery Fund should be set aside to help businesses survive lockdown.

“Jacinda Ardern and her ministers should be more upfront with New Zealanders about how they’re making decisions that impact us all,” Baillie said. “Hustling staff and supplies within hours of decisions being made is stress businesses don’t need.”

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