| Easter Trading
|
Introduction
Parliament has revisited the restriction of trade on Good Friday and Easter Sunday. Two Bills proposing to reduce this restriction have proceeded through their first reading and the Commerce Select Committee has recommended that they be passed into law.
This Issue Snapshot considers the current law relating to Easter trading, outlines the contents of the two Bills and considers some of the arguments in favour of and in opposition to the Bills.
The current law
Under the current law, all shops must be closed on Good Friday and Easter Sunday, as well as on Christmas Day and Anzac Day morning. As New Zealand has moved towards seven day trading these three and a half days have become the only days remaining on which shops are not expected to open their doors. These days are protected under the Shop Trading Hours Act Repeal Act 1990. Shops that disregard these laws are prosecuted and may be fined up to $1,000.
There are exemptions to these rules, provided for under the Act. Petrol stations, pharmacies, and souvenir shops may remain open on these days and, since 2001, garden centres have been allowed to open on Easter Sunday only. Special exemption for the Easter weekend has also been given to Queenstown and Taupo, in recognition of their status as tourist destinations.
Impetus for the Bills
There is an argument that the current law is inconsistent. Certain shops, and some towns may trade under the exemption, while shops in neighbouring towns must close. This dissatisfaction has prompted two new private member’s bills: the Easter Sunday Shop Trading Amendment Bill and the Shop Trading Hours Act Repeal (Easter Trading) Amendment Bill. The Bills are very similar in content and, as they were drawn from the ballot in close succession, the Commerce Select Committee considered them together.
Detail of the Bills
The Easter Sunday Shop Trading Amendment Bill was put forward by National MP, Jacqui Dean. It proposes allowing trade on both Good Friday and Easter Sunday and across New Zealand. This Bill would extend an exemption to all territorial authorities, who can opt out if they would prefer not to have Easter trading happen in their districts.
The Shop Trading Hours Act Repeal (Easter Trading) Amendment Bill was put forward by Labour MP Steve Chadwick. It differs from the first Bill by seeking an exemption to allow trade on Easter Sunday only. This amendment would allow territorial authorities to consult with their communities to decide whether or not they will accept the exemption.
Both amendments include provisions that would protect shop employees against being compelled to work on these days. Furthermore, both Bills would let leaseholders decide whether or not to open their stores.
Arguments in favour of the Bills
Economic growth and opportunity
As tourism is a major industry in New Zealand, it is argued that the prohibition from trading on these days comes at a cost to the retailer. Trading can be lucrative on these days, and proponents of the Bills argue that the mandatory closure is, in effect, prohibiting economic growth. Remaining open, according to supporters of the Bills, would also offer financial benefit to those employees who choose to work on those days, due to the increased pay when working a public holiday.
Opponents of the Bills, however, argue that the Bills do not seek to allow shops to open for trade on Anzac Day or Christmas Day. If this is such a strong reason for getting rid of prohibition on trade, why stop at the Easter weekend?
Consistency in the treatment of different regions
Another argument put forward by those in favour of the Bills is that they would help to clear up the current inconsistencies in the law, which have resulted in some tourist towns losing customers to adjacent localities, as they do not have the needed exemption. It is argued that all regions should be offered an equal opportunity to trade, regardless of their location. Parliament should not offer the opportunity for growth and prosperity to some areas but not to others.
Freedom from government intervention
An additional argument in favour of the Bills relates to government intervention. Supporters of the Bills argue that the government should be involved as little as possible in restricting the freedom of individuals, including retailers. Whether or not a shop-owner wishes to keep his store open over the Easter weekend should be up to that shopkeeper. Likewise, consumers should have the freedom to forego shopping during this time if they prefer.
Arguments against the Bills
Importance of tradition, ritual for families
Opponents of the Bills argue that it is important to retain those few days a year where we prioritise family and our common traditions over business and commerce.
Rituals and traditions are created during public holidays, when families have the opportunity to spend time together, free from the interruptions and pressures of the marketplace. Allowing shops to be open would have an effect on this time together, creating a situation where family members may be required to work, or where family members spend additional time at supermarkets and shopping malls, instead of having the day free for activities which strengthen family life and the social fabric.
Although the amendments seek to offer protection to workers against being forced to work on these days, opponents are concerned that this protection is not enough. The incentive of earning extra money for working these days is may encourage workers to consider working over spending time with family; or employees may pressure their staff to work.
Recognition that business and consuming goods and services are not the most important things
There are 361.5 days in every year that shops are open for trade. Opponents of change argue that it is unnecessary to reduce the remaining three and a half even further.
Tourism is already a thriving industry
Tourism is already a thriving industry in New Zealand, and it is not essential for shopkeepers to open on every day possible in order to satisfy these customers or make ends meet. The closing of shops on Good Friday and Easter Sunday is a part of our country’s culture, something tourists can appreciate, and accommodate. There are also many things our country offers to do besides shopping, which they can do on the limited number of days stores are closed.
New Zealand already has long working hours
The International Labour Organisation put out research that found New Zealand has the second longest working hours in the Western world, second only to Japan.[1] Shop workers are among the lowest paid in New Zealand, and it should be important that some protection is extended to those who work in this seven day-a-week, 24-hour-a-day industry. The enforced day off is of great value to these people, and should be considered of greater benefit than the profit gained by a store owner staying open an extra day.
Progress of the Bills to date
As mentioned above, the Commerce Select Committee considered and heard submissions on the two Bills together, with submissions closing on 28 July 2006. The Select Committee reported back to Parliament on 13 December 2006, recommending that both Bills be passed, with specified amendments made.
What happens now?
The Bills are now waiting to come back before Parliament, and must pass their second and third reading before becoming law. Though the Bills have been through the Select Committee process together, this does not mean that they will necessarily be debated in parliament at the same time. Surveys undertaken by individual members of Parliament show that retailers are more open to remaining open on Easter Sunday than Good Friday, so the Bill proposing trade only on the Easter Sunday may be favoured. However, it remains to be seen how the amendments will be received by Parliament.
Conclusions
The Easter holiday is one of the few family holidays that we have left in New Zealand. This uninterrupted break may be threatened by the proposed legislation. Although the legislation offers much more freedom to retailers, it forces employees have to choose between earning extra money or spending time with family and friends.
New Zealand already has long working hours, and it is questionable whether the increased profit to the businesses by remaining open on these days is worth the cost to individuals or families.
Further, the public observance of holidays such as Easter Sunday, Christmas, Anzac Day and Good Friday shows what we value as a society; a sign of allegiance to our traditions, and the things that bind us together. By closing shops on these days, we affirm that family, faith, recreation and tradition are more important to us than wages, profits and the demands of the consumer.
By amending our shop trading laws, our political leaders show what is important and valued in our culture, and what they, as people, think of our traditions and our cultural heritage. To act in the interest of the common good, we ought to make decisions not just on the basis of business, but on the basis of what is best for the whole society, and the social fabric it is our duty to maintain.
Links
Read the Shop Trading Hours Act Repeal (Easter Trading) Amendment Bill
Read the Easter Sunday Shop Trading Amendment Bill
Endnotes
[1] International Labour Organisation, "Working Time and Workers' Preferences in Industrialized Countries: Finding the Balance," (New York: Routledge, 2004).
