Wednesday, 8th April, 2020
View Michael Barnett’s presentation, as well as Bernard Hickey update on the global economic landscape.
If the government doesn’t respond with assistance for rent and tenancy costs more businesses will fail, according to Auckland Business Chamber Chief Executive Michael Barnett.
Already 30% of businesses who took part in the Auckland Business Confidence Survey, released this morning, have indicated they won’t survive COVID-19.
But Barnett believes we could save some of these businesses with an immediate package.
“We have spoken with government, have made recommendations and quite frankly I am hoping the government will do this one thing because it is the one thing that will have a big impact on business,” he says “If we can remove rental costs for the next couple of months I believe more businesses will survive.”
While the survey indicates that only 9% have made people redundant the Chamber is urging businesses to try and give employees the benefit of the employment subsidy.
“91% have not made people redundant, which to me is what business is all about. Yes, we have had some who have used the shutdown as an excuse but most businesses are honest. I think this is a positive result… This is not a time to cull. It’s time to use your employees to contact customers, plan for what your business will look like in four to six weeks’ time.”
The Chamber is pleased with the 80% of businesses who have applied for the subsidy and urges all businesses to consider it.
Less than half of businesses are continuing to operate in lockdown conditions.
A summary of key results is below:
- 47% of businesses surveyed are continuing to operate in lockdown conditions
- 70% are confident their business will survive the pandemic
- 9% have made staff redundant as a result of the pandemic
- 77% say government support will help them during lockdown
- 80% have applied for the wage subsidy
- 4% of essential services require new staff
- 47% are talking to their landlord in regard to rent relief
For more information contact Michael Barnett, mobile: 0275 631 150.
Michael Barnett, Chief Executive, Auckland Business Chamber.