The Prime Minister has revealed that Auckland will stay in lockdown until 11:59pm on Sunday and the city and the rest of New Zealand will remain at alert level 2 after that.
News that Auckland will remain in level 3 lockdown for another four days, while the rest of the country remains in level 2 has been labelled "unnecessary" and "another blow" by the hospitality industry.
Prime Minister Jacinda Ardern announced today that Auckland's level 3 restrictions would remain at leastuntil 11.59pm on Sunday, August 30, before being phased into level alert level 2 with the rest of the country from Monday, August 31.
Gatherings for Aucklanders will be restricted to 10 people at level 2.
Marisa Bidois, chief executive of the Restaurant Association, said they were currently looking at closure rates of between 10 and 12 per cent of all hospitality businesses as a result of the restrictions.
"We're looking for the quickest possible return to level 1 trading but we had expected the Government might extend the level 3 period within Auckland until Friday. The closure for another full weekend, which are key trading days for hospitality is another blow.
"The majority of our industry is made up of small owner operator businesses that cannot sustain these ongoing closures and restrictions.
"Quite simply, there will be at least 10 per cent of our industry closed which translates to around 13,000 jobs rising if these restrictions continue."
This was echoed by other business groups.
While BusinessNZ welcomed the clarity on timeframes for moving down alert levels, chief executive Kirk Hope said exemption processing decisions and timeframes for Auckland businesses and their employees had cost them time and money when they can least afford it.
"These processes - including communications processes - must be of a much higher standard for the remainder of the time that Auckland is in alert level 3.
"The BusinessNZ network is keen to work with the Government on adapting and communicating guidelines for future alert level changes, so businesses can respond to their new environments quickly."
'Business takes hit for team of five million'
Auckland Business Chamber chief executive Michael Barnett issued a press release saying business was "carrying the burden for the team of five million" and must do whatever it takes to survive.
"While we understand the Government's trade-offs to contain the long tail of this incursion and protect public health before the economy, business is taking the brunt of the current elimination strategy and the failure at the border to keep the virus out and consequently keep people in jobs in the community," he said.
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"We're being told we've learned a lot about how to stamp out flare ups and that draconian lockdowns will not always be necessary. We're using QR codes, apps and good hygiene, and have accelerated the speed and capability to test, track and trace contacts, and still Auckland is shut."
"The prolonged level 3 lockdown in Auckland will have a harsh impact across the country which remains in a level 2 holding pattern. There will be a personal toll on people's wellbeing and mental resilience, not just jobs and business continuity," he said.
"Business must do whatever it takes to get through this and minimise the risks. Review your revenue, cut costs, rework your supply chains again, use the funding support packages on offer and above all take good advice and look after your own health."
