New Laws Extending Retail Gift Cards up to 3 Years is Bad for Business

October 12, 2017

 

For some time the NSW Business Chamber has been calling on the NSW Government to demonstrate a stronger commitment to regulatory reform and examine its approach to reducing the burden of red tape on NSW Businesses. “Our annual Red Tape Survey of almost 1,000 NSW Businesses estimated that businesses are weighed down by around $10 Billion in compliance costs each year, with the annual cost of complying with government regulatory requirements reported as being $58,000 for the average respondent” said Joe Townsend, Regional Manager NSW Business Chamber. The recent announcement by New South Wales Minister for Better Regulation, Matt Kean will see gift cards having a mandatory three-year expiry date has been labelled as unnecessary regulation burden and significant additional administrative costs on NSW retailers. NSW Business Chamber, who has over 20,000 business members’ has joined forces with the Australian Retailers Association, Australian Goods Association, Franchise Council of Australia, Pharmacy Guild of Australia and Restaurant and Catering Australia who all strongly oppose the reform. “With the proposed amendments to NSW only, this additional burden on small family retail businesses will restrict trade and competition between NSW and other states. With no means of monitoring the use of gift cards across state boarders, NSW businesses will have to carry extra liabilities and amend their administrative practices” said Joe Townsend. The focus of Government should be to provide better assistance to employers to take on apprenticeships and trainees, help industries to grow through better workplace relations, encourage innovation and value for money through competition in government-funded service delivery and ensure we build the transport, communications and energy infrastructure me need. “Historically we have seen what happens when our state reform agenda stalls, NSW Businesses get left behind. We need to consistently focus on removing red tape, which benefits local businesses, and removes barriers to trade and investment” said Joe Townsend. Media Contact: Joe Townsend 0429 993 822 Joe Townsend Regional Manager - New England North West, NSW Business Chamber 454 - 456 Peel Street Tamworth NSW 2340 Tel: 02 6702 3104 | Mob: 0429 993 822 | Web: www.nswbusinesschamber.com.au