News Round-Up

More financial support for Auckland businesses and a lack of SME process in reducing their carbon footprint feature in the latest news round-up from The Icehouse.

As New Zealand moves to the Red setting of the Covid Protection Framework, Prime Minister Jacinda Ardern has indicated she will be ready to release a three-stage plan for dealing with the Omicron outbreak on Wednesday of this week (tomorrow).

More financial support required?

There's little change for many business set-ups between red and orange under the current guidelines. Retail (e.g. shops, banks, outdoor markets, takeaway only businesses) can open with capacity limits based on one metre distancing, while working from home may be appropriate for some workplaces. For the latest information and more info on workplace guidelines visit business.govt.nz.

Business groups have asked for more financial support from the Government, with Auckland’s Heart of the City chief executive Viv Beck telling the NZ Herald; ‘Business continuity planning is essential. The information that will be coming out early next week from Government is critical. We will be doing what we can to ensure there is guidance for businesses available to assist them through this time,’ Beck said.

Stuff focuses on the supply chain shock after Finance Minister Grant Robertson’s mid-range estimate of 350.000 people expected to self-isolate. ‘That is more than 12 per cent of the entire employed labour force in New Zealand. A reasonable chunk of those people would be able to work from home, but it represents a significant and probably lengthy disruption to businesses, supply chains and lives.

‘Keeping supply chains running smoothly, which was a key underpinning factor for New Zealand’s previous lockdowns in 2020 and 2021, will be more challenging this year – a fact clearly recognised and explained by Robertson on Sunday.’

Reducing carbon footprint

Away from Covid, RNZ reports that more than 40% of SMEs don’t have processes in place to minimise their carbon footprint, despite 82% admitting they are concerned by climate change issues.

‘The research by accounting software firm MYOB should be considered in the context of the past two years, when small businesses battled to stay afloat. ‘From staying up-to-date with industry trends, Covid-19 compliance and managing the business, SMEs have had a lot on their plate, and finding the most suitable sustainability actions and initiatives for their business can require a decent time investment,’ says MYOB head of go-to-market Jo Tozer.

‘However what's evident from other insights in our survey is the desire is there. So the 43 percent that don't currently have processes really need support and education to help them become more sustainable.

‘The survey also found 44 percent of SMEs would like funding or tax incentives from the government for climate initiatives. Chartered Accountants Australia and New Zealand business reform leader Karen McWilliams, said while SMEs were stretched for time and resources when it came to implementing sustainability practices, they could not afford to miss out.

‘Larger organisations with sustainability requirements are likely to give preference to sustainable SMEs in their supply chain, and consumers are increasingly demanding sustainable products,’ McWilliams said. 

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