'Don’t cancel Christmas' - Retailers plea to Martin and Varadkar ahead of new Covid restrictions
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Retailers have written to Taoiseach Micheál Martin and Tánaiste Leo Varadkar pleading for the coalition government not to “cancel Christmas” and support the survival of retailers across the country.
Retail Excellence, which represents over 2,000 retailers, said a move to Level 4 or beyond would close an unprecedented number of retailers who will “never return to the market" and risk a further 60,000 jobs in addition to the 30,000 that have already been lost in the industry.
Under Level 4 and 5 restrictions most retailers would be forced to close up shop, with pharmacies and supermarkets among the few allowed to stay open.
“The impact upon business owners, retail staff and the wider economy will be at a level previously unimaginable,” the letter states.
The group said the importance of Quarter 4 and the Christmas trading period to retailers is of vital importance with around 70% of profits made in the run-up to the big day.
“Many retailers trade at a loss for 6 months of the year,” the letter states, “a successful Christmas allows retailers to survive and reopen in January.”
We are deeply concerned about NPHET's advice to move to level 5. Closing non essential retail for such a long period at this critical juncture, where they have just received their final Christmas deliveries will cause significant damage. #DontKillChristmas pic.twitter.com/SioNGVXiig
— Retail Excellence Ireland (@RetailExIreland) October 16, 2020
Morale amongst retailers and staff is at an “all-time low,” and they won’t survive without government support this Christmas, Retail Excellence said.
Retail Ireland, the Ibec group that represents the Irish retail sector, have also expressed serious concerns about a move to Level 4 or 5.
This would involve the closure of "thousands of retail businesses, with tens of thousands of retail staff out of work," they said.
“No other European country is actively looking at the level of nationwide retail restrictions currently being considered for Ireland," Retail Ireland Director Arnold Dillon said.
"The retail sector has radically transformed how it operates, with face masks, social distancing and other hygiene measure, to ensure a safe and highly controlled environment for customers and staff."
"With only a fraction of Covid clusters linked to retail settings, it is crucial that policymakers set out the risk assessment that has informed this decision," he said.
Minister Heather Humphreys and Denis Naughten TD have urged local businesses to avail of Local Enterprise Office's Trading Online Voucher Scheme, but industry bodies are wary of the emphasis being put on online trading.
“The reality is that typical Irish retailers will continue to rely upon a strong combination of brick and mortar operations," Retail Excellence said.
"They simply cannot compete on a level playing field with the might of offshore internet giants," the group said, citing Amazon as a key threat.
Retail Ireland said businesses who don't already have "a developed online offering" will particularly struggle.
The Trading Online Voucher offers financial assistance in the form of a 90% grant of up to €2,500, along with training and advice to help businesses to drive online sales.
The scheme was expanded this summer after Local Enterprise Offices received three years' worth of applications in three months following the lockdown in March.
Mr Naughten said local businesses should be looking at implementing click and collect services ahead of the Christmas season and said businesses who previously received support under the scheme can apply for a second voucher, where upgrades are required – such as adding a click and collect service to a website.
“With the busiest time of year looming for retailers now is the time to get businesses online or to introduce a click and collect service,” he said.