7 minute read
GAMING CRITICS IGNORING THE FACTS
from Hotel SA Sep 2024
by Boylen
From the President
DAVID BASHEER
The constant noise surrounding the need for greater harm minimisation around the country can be so deafening at times that it threatens to drown out the facts…
What frustrates hoteliers is that so much of the excellent harm minimisation measures already in place appear to be totally ignored by those who have no finishing line to their calls for even more draconian measures.
South Australia has proudly led the way in harm minimisation measures for many decades, with the rest of the country focused on what they can learn from our jurisdiction.
The vast majority of our harm minimisation measures are also industry funded. That rarely gets acknowledged.
Also never mentioned is the fact that for the past 20 years, revenue growth from gaming in our State has been at below-inflation levels.
In fact, the growth in gaming revenue is less than half of the growth in retail sales for the same period.
Calls by the anti-gambling industry for even more stringent regulations solely aimed at pubs and clubs displays an ignorance to what is happening in the on-line world.
With the attention always on our bricks and mortar venues, in an era when anyone can have a casino in their pocket, online gambling is allowed to flourish unchecked.
Government Statistics
According to a 2022 report by Gambling Research Australia (a partnership between the Commonwealth and State Governments) gambling participation in Australia declined from 64.3% in 2011 to 56.9% in 2019. In that same period, online gambling has doubled from 8.1% to 17.5%
That same study found problem gambling rates online were more than double that of the traditional gaming cohort.
In 2011, 12.6 % of problem gamblers participated in online activities. Staggeringly, that number had skyrocketed to 30.7% by the 2019 study.
You can see the trajectory…
The growth in online gambling has been driven by faster internet speeds, the convenience of betting on smartphone apps, extensive advertising and creative betting options - all of which are strictly prohibited in our bricks and mortar venues.
The Facts
So, in what areas does South Australia lead the nation that requires other States to play catch up?
The AHA|SA has its self-funded early intervention agency Gaming Care, brilliantly led by Anna Moeller and Tom Owens, that has taken staff training and harm minimisation measures to a nation leading model.
We are the only State with Facial Recognition, which is now proven to be the most effective method of protecting banned patrons from entering gaming venues and playing machines.
Automated risk monitoring which alerts staff to gamblers potentially betting beyond their means, and a range of maximum bet and cash access restrictions.
South Australia’s modest load up limits on gaming machines are a world away from Casinos or some interstate jurisdictions that have load up limits up to 50 times greater than experienced here.
The above limits are an important harm minimisation tool, but it also means the risk of money laundering is virtually impossible in our venues.
We are one of only two states with third party barrings.
No state has a longer mandatory shut down time for trade.
Additionally, our maximum bet has been halved since 1994 despite inflation.
We have had a reduction of machines since 2005. The government forced reduction was only borne by hotels and did not apply to the clubs sector or Adelaide Casino.
And we do not enjoy the benefits of the Eastern States of marketing opportunities like Link Jackpots.
Despite all of this, our members remain the target for misguided criticism.
In closing, let me give you another fact. South Australian hoteliers pay the highest rate of gaming tax in the country. By comparison, the tax levied on an online casino based out of Uzbekistan is zero.
These issues need to be remembered each time an impressively funded agency or researcher finds a new reason to target our members and our industry.
Migration
This column has devoted considerable space to explain how the political push to restrict migration numbers is negatively affecting our members.
The policies of both Federal Labor and Liberal differ, but both discriminate heavily against our industry. Our national office has made this issue a key priority and both parties are well aware of our concerns.
Very broadly, our issue with the Liberal policy is the heavy reduction in net migration numbers. With Labor, it is their judgement to remove from the priority one migration list a series of skilled jobs already beset by shortages, such as chefs, cooks and managers.
Recently, a real life example of this emerged in the Barossa with another two hardworking and ambitious employees having to leave Australia while their applications for Permanent Residency languish in a queue.
A member hotel had employed a British person on a working visa in Australia since November 2019. She arrived in the Barossa with her partner (also English on a working holiday Visa 417).
Her partner is a qualified chef and had taken a full-time sous chef position at a high profile Barossa establishment that is renowned for employing qualified chefs of outstanding abilities.
Now, at the height of a labour shortage where chefs are in short supply – and the situation is extreme in our regions - the pair have now been forced to leave Australia and return home, waiting for their applications to be processed.
This is political madness!
We have two talented and hardworking people from a kindred Commonwealth country, wanting to stay in Australia. They are exactly the calibre of people we need. It is utterly ridiculous and unfair on the employee and the employer.
What examples like this demonstrate to potential overseas job applicants is that Australia is a difficult country to do business with. In a global market where competition for talent is very real, case studies like our Barossa pair offer little incentive for potential chefs and managers to choose Australia as a destination.
As SA Premier Peter Malinauskas recently observed, Australia does not have a migration crisis. We need migrants. What we have is a housing crisis. At the macro level, migration has become a political issue because of the housing crisis and decades of poor planning. At the coalface, two good employees have been lost to the Barossa tourism region and a time when they are desperately needed.
Better News
On a more positive note, last month AHA|SA officials met with the British Consul General to unlock opportunities that our Free Trade Agreement with the UK may present. It is hoped the agreement will make South Australia a preferred destination for young British people seeking a hospitality experience in Australia. It opens up both work and tourism opportunities for our State and we are working with all parties to maximise this benefit.
Also in the last month, Premier Peter Malinauskas has torpedoed a Federal Government push to restrict the number of overseas students entering Australia. He has endured South Australia has received a much needed carve out
The issues causing these restrictions are very much Eastern States-based and overseas students are critical to the South Australian economy. They provide important workforce numbers for our members, add to local demand and importantly, family and friends visiting those students are an important component of our tourism sector.
We thank the Premier for his important intervention.
IGC Appointment
Ben Doyle has recently been appointed to the Supreme Court, which is a great honour.
Whist delighted for Ben, sadly his appointment means he has resigned as Chair of the Independent Gaming Corporation.
Ben has served the IGC with distinction, providing great stability and wise counsel in his role as a Director and then Chair. We thank him for his invaluable contribution.
IGC has appointed Ian Horne to fill Ben’s board vacancy. No one in South Australia has a stronger CV to sit on IGC’s board and we welcome the unique skill set and insight Ian will bring.
The board will elect a new Chair at its next meeting.
Online gambling rates are more than double that of traditional gaming.
Source: Gambling Research Australia (a partnership between the Commonwealth and State Governments).
