Beer taps

Devastated pubs will stay shut until July

May 10, 2020
By Alana House

Many pubs will stay shut during stage one of eased shutdown restrictions in Australia, as they can’t afford to reopen under the new rules.

Under stage one of the Australian Government’s three-stage plan to reopen the economy, pubs, clubs, cafes and restaurants may open and seat up to 10 patrons at one time, maintaining 4sqm spacing per person. Stage two would increase capacity to 20 patrons, and 100 patrons by stage three.

Stage three is expected to be sometime in July.

“Hotels have been left blindsided,” AHA chief executive Stephen Ferguson said. “They basically will not be able to reopen their businesses until stage three of the recovery process.

“We are told only 10 people can sit and have a meal in a pub restaurant area even if that area could safely socially distance 50 or 100,” he said “Why can only 10 people be allowed in a dining area of a huge venue that could safely socially distance 120?”

Ferguson questioned the consistency of the government’s approach, noting that people are cramming into supermarkets and working side-by-side on building sites.

“Hotels have done the right thing, put the health of staff and patrons first the moment this pandemic hit – and we will continue to do so – but common sense needs to prevail here too,” he said.

Scott Leach, AHA NSW and National President, also wrote an opinion piece for The Daily Telegraph over the weekend, discussing the toll the shutdown is having on struggling pubs.

Victorian pubs face long wait for news

Victorian Premier Dan Andrews announced this morning that restaurants, pubs and cafes will have to wait another three weeks to hear when they can open up again.

“If you think about cafes and restaurants – my thinking here is that if we wait these three weeks, when we move to open, go beyond just takeaway, for cafes, we might not have to stick with the number of 10,” he said.

“We might be able to go higher. I won’t speculate on what that number is. I think the feedback from many businesses is that at just 10 patrons, it’s hard to be viable.

“If we wait three weeks, if we do the testing, have that further assurance, that the significant steps we took today isn’t causing us trouble, that we can’t manage, then I think we can take a bigger step potentially in June for cafes and restaurants and get them to a point where they are viable.

“Their business model has changed. I think takeaway will be a feature for a long time. If we can supplement and complement that with table service at more than 10, there’s every chance for a more viable model. That’s our thinking.

“Assume the rules don’t change any time in the next three weeks and we will have more to say in full detail once we get to the point where we make decisions for June.”

Dining rules not profitable

WA Premier Mark McGowan announced on Sunday that up to 20 customers at a time would be allowed to have a sit-down meal in a pub from May 18, so long as there was room to allow four square metres of space per patron.

Windsor Perth

However, the manager of The Windsor in South Perth (above), Max Fox-Andrews, told ABC News the venue was likely to stay closed.

“Given the size of the venue, and given the kitchens and the power and the perishable product we’d have to purchase in order for us to remain open, we go by the saying ‘it’s better to be fully open, than half-open’,” he said.

“The core of hospitality is plentiful numbers, and it needs plentiful numbers to create atmosphere.

“With 20 people I don’t believe that can be created. I also believe it’s not profitable for a business of our size.”

SA AHA calls for 40-50 people limits

AHA SA chief executive Ian Horne told Adelaide Now that SA’s plan to allow maximum gatherings of 20 people on June 8 was not viable for most pubs.

Marshall said: “We are now working with the industry to make sure that we can return to table service at pubs, cafes and restaurants in early June.

“I think there will be a slow start because, essentially, lifting the restrictions to 10 diners outdoors only will give some relief to very small businesses.

“We are sitting down with industry at the moment working out what that viability model looks like for pubs, cafes and restaurants so that we can return them to a viable situation as quickly as we can.

“We won’t compromise health and safety, but we think that the industry are putting forward very well-considered plans that we will look at in the coming week.

“If you are going to be serious about starting, to get the maximum number of people, viability has got to come at somewhere around 40 or 50-plus (patrons).”

Most Queensland pubs won’t reopen

The Queensland Hotels Association said the State Government’s restrictions on pubs mean most will stay shut.

Chief executive Bernie Hogan said told ABC Radio Brisbane: “It absolutely lacks practicality — there’s no way a pub can really support itself with 10 people.

“I think realistically, most pubs in South East Queensland will just simply not open.”

Rob Comiskey, director of the Comiskey Group which owns and operates the Eatons Hill and Sandstone Point Hotels, said his pubs would stay shut for at least another eight weeks.

He told the Courier-Mail that the Government wasn’t taking into account the varying sizes of venues when it announced its blanket 10-person rule.

“I could have one per 10sq m and still be able to operate successfully (seating 350 people), and I can’t do that,” he said.

“Sandstone Point is even worse. We’ve got 7ha of site (licenced) – we’re allowed 10 people.

“It would take more than 10 (staff) to open.

“I can’t see how you can open with 10 or 20 people. The expenses would be more than the turnover, even if you take into account JobKeeper.

“We were hoping in some ways to be open in June. Now we’ll have to stay shut now at least until July 11.

“I understand what they are trying to do and I support their efforts, I’m not rubbishing them on that, I just don’t understand the rules.

“It’s pretty devastating for us, we’ve got another eight weeks of this, at least.”

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