2019 MGA IR issue 04 June

Issue

04 JUNE 2019

Reddrop Group continues to go from strength to strength.

YOUR INDUSTRY NEWS PROVIDED BY MGA INDEPENDENT RETAILERS

Aussie and Proud?

So are we.

For the last 30 years eftpos has been providing competitive and convenient payment solutions to all Australians.

Today, we have become the first payment service to adopt the Australian Made logo.

Tomorrow, is a new day: we are updating our infrastructure and seeking to adopt the most innovative product technology.

This is our commitment to Australian consumers, merchants and the local industry.

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OUR MISSION The mission of MGA Independent Retailers is to deliver the best possible industry specific business support services to independent grocery, liquor, hardware and associate store members.

MGA NATIONAL SUPPORT OFFICE Suite 5, 1 Milton Parade, Malvern, Victoria, 3144 P: 03 9824 4111 • F: 03 9824 4022 admin@mga.asn.au • www.mga.asn.au Freecall: 1800 888 479

RETAILER DIRECTORS Debbie Smith (President): Queensland Grant Hinchcliffe (Vice President): Tasmania Graeme Gough: New South Wales Michael Daly: Victoria Ross Anile: Western Australia Carmel Goldsmith: New South Wales Chris dos Santos: South Australia Lincoln Wymer: Victoria Jeff Harper: Victoria

MGA CHIEF EXECUTIVE OFFICER Jos de Bruin 03 9824 4111 E: jos.debruin@mga.asn.au

Contents 5

CEO welcome

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ACCC Small Business Advisory Council Meeting

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Banks roll out cheaper tap-and-go payments for business

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Reddrop Supermarket Group Conference 14-18 May 2019

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Australian businesses hit hard by email scams

10 The benefits of training 12 “Billy Tea” — a local independent business in Brisbane 13 Update — WA’s Container Deposit Scheme 14 Small business owners “relieved” by election result 16 Workplace flexibility — a growing trend 17 Seppelt unveils latest luxury collection release 18 MGA attends NAB Innovation Trade Mission to Israel 20 National Online Courses — MGA Industry Training 22 “You’re demoted!”

23 Least Cost Routing — reducing merchant fees 24 Manage Training System 25 MGA National Liquor Committee welcomes new member 25 Liquor industry stalwart calls time 26 Too old or too young — it shouldn’t be a problem.

27 Can my landlord force me to trade?

28 New Ministers for Liquor, Gaming & Racing 28 Germany’s beer purity law

CORPORATE PARTNERSHIP & MEDIA SALES

30 Induction — why it’s a good start

Mark Paladino 0417 264 331 E: mark.paladino@mga.asn.au

32 Mitchelton Wines host MGA Liquor Committee Meeting

EDITORIAL & PRODUCTION

35 Educating the timber industry of the future

Genevieve Laidlaw E: genevievel@mga.asn.au

36 Drakes Supermarkets QLD 2019 charity golf day

FOLLOW US ONLINE

37 Queensland Small Business Week — 27-31 May

31 I saw the sign — new signs to help explain liquor laws

34 Deal with workplace bullying promptly 35 Reliable Product Source… Timber Supply

37 RBA warns of ‘lock-out’ risk from the rise of phone payments

www.facebook.com/ MGAIndependentRetailers

39 Return of Michaelia Cash provides much-needed continuity for business

www.linkedin.com/company/ mga-independent-retailers

43 DrinkWise partners with AFL

www.twitter.com/ MasterGrocers

COVER: Reddrop Supermarket Group Conference.

41 Protecting your business from payment scams

45 MGA welcomes a wealth of experience to the team!

47 Corporate Partner Profiles 49 Smash and grabs — is your business ready?

MGA Corporate Partners DIAMOND

PLATINUM

GOLD

SILVER

BRONZE

ASSOCIATE

WAREHOUSE AND BRAND PARTNERS tasmanian independent retailers

CEO REPORT

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CEO Welcome Welcome to the June edition of MGA’s Independent Retailer magazine.

The past month or so has been a roller coaster ride for MGA supermarket, liquor and timber and hardware members around Australia, as they tried to ascertain what the result of the federal election held on Saturday 18 May, was going to deliver for their businesses and families.

I can say firsthand that our members were living in fear of a potential Labor government and the impacts of many Labor Party business policies on the sustainability and viability of their businesses.

Members deemed these business policies as antifamily enterprise and private business, that would drive higher costs and uncertainty to do business.

The threat of higher taxes on family trusts, increased capital gains tax, reduction in negative gearing provisions, abolition of franking credits, Sunday penalty rates (200%) being reinstated and increasing taxes on consumers all have a negative effect on business confidence, sales and costs of doing business.

The drop in business confidence and uncertainty for the future during the lead up to election day was palpable.

These fears our members were holding can now be put aside and we now have the opportunity to once again look forward to taking advantage of the strong Australian economy to grow our businesses with more certainty and confidence.

Who would have thought that against all odds, according to the election polls leading up to the election day, that the Coalition would win the hearts and minds of voters and not only retain power but slightly grow their presence in the next term of the federal government?

As with all state and federal governments, regardless of which party, MGA & MGA TMA looks forward to working closely with all sides to help further grow the presence and prosperity of Australian family enterprises and private businesses within the supermarket, liquor and timber and hardware sectors.

There are currently, many matters being addressed by MGA around the states and at a federal level including; the National Wage review, federal tobacco laws and regulations, Container Deposit Scheme in WA, new

tobacco regulations in WA, local producers project in Qld, planning and zoning matters in Victoria, trading hours issues, payroll tax discussions and so the list goes on.

The Fair Work Commission (FWC) has announced the FY2020 wage increases that will affect the General Retail Industry Award (GRA). As from the first full pay period after 1 July 2019, wages under the GRA will increase by 3%. MGA’s recommendation in its submission to the FWC was for no more than a 1.2% increase after our industry sector experienced a collective 6.7% wage increase in the past 2 years, as well as, a 25% increase in casual employee rates on Saturdays, overtime payable to casual employees pre7.00am and late nights that became effective this year.

The key economic performance indicators for the Australian economy are strong with economic growth running at 2.3%.

The key economic performance indicators for the Australian economy are strong with economic growth running at 2.3%, the cash interest rate at 1.5%, the inflation rate is at 1.3%, the Australian Dollar vs the $US is US$ 0.69 and unemployment levels are hovering at a very low 5%.

If our members wish to train and develop your staff, we highly recommend you take advantage of MGA’s training modules and courses. These courses have been designed and developed by experienced retailers and trainers at MGA. See www.mga.asn.au for more details.

Until next edition – good trading!

Jos de Bruin CEO MGA Independent Retailers

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INDUSTRY NEWS

NATIONAL

ACCC Small Business Advisory Council Meeting MGA is a member of the ACCC Small Business Advisory Council which met on 3 May. Members of the Council, which is led by ACCC Deputy Chairman, Mick Keogh, joined the meeting from all states and territories around Australia via live video link.

Members include other industry association leaders, regulators such as the ATO, ASIC, Small Business Ombudsman, Small Business Commissioners, and ACCC Directors and department heads.

ACCC Chairman Rod Sims addressed the meeting by giving a summary of a number of matters under investigation and gave Council members an opportunity to ask questions and make comments.

The ACCC report presented by Chair Rod Sims stated that on 26 February the ACCC’s Compliance and Enforcement Policy for 2019 was launched. The Compliance and Enforcement Policy sets out priorities for the year and the factors that the ACCC takes into account when deciding whether to pursue matters.

will be a focus concurrently with the ACCC’s Digital Platforms Inquiry.

Former Coalition Small Business Minister Bruce Billson was a guest of the meeting and shared insights into matters relating to the franchise sector.

A number of topics were covered including competitionrelated issues, unfair contract terms (dairy processors, waste management industry), industry codes, false and misleading claims (Murray Goulburn Co-op, Employsure), country of origin claims, education and liaison activities, mergers authorisations and notifications, Food and Grocery Code of Conduct and Franchising Code review, Electricity Retail Code, scams, product recalls, Digital Platforms inquiry and various reports from the small business commissioners.

A number of topics were covered including competition-related issues, industry codes, Digital Platforms Inquiry and various reports from the Small Business Commissioners.

Ensuring that small businesses receive the protections under the Competition and Consumer Act 2010 (CCA), with a focus on the Franchising Code of Conduct and unfair contract terms, is also a priority in 2019.

New priorities in 2019 include:

• large retailers supplying high-value electrical

appliances and whitegoods, such as refrigerators, computers and washing machines

• dealing with anti-competitive conduct and unfair business practices impacting competition in commercial construction markets

• advertising practices on social media

platforms and subscription services, which

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Insightful comments were made by industry association leaders in the meeting concerning the alleged misleading and unconscionable behaviours by a private business delivering employment and workplace support services – Employsure.

Members of these organisations complained in the meeting about the aggressive nature by Employsure to secure ongoing and costly contracts. Members also state that Employsure has disparaged and damaged the reputation of industry associations such as MGA by claiming they were not providing members with a comprehensive workplace relations support service rendering their businesses at risk of non-compliance.

The ACCC Report dated Friday 3 May 2019, that was presented to the Small Business Advisory Council stated the following in regard to Employsure.

In December 2018 the ACCC instituted proceedings against Employsure Pty Ltd (Employsure), an employment relations company.

INDUSTRY NEWS

NATIONAL

Banks roll out cheaper tap-and-go payments for business The ACCC alleges that Employsure misled small business consumers by representing that it was affiliated with a government agency when that was not the case, targeting small businesses who were seeking the free workplace relations helpline operated by the government, with the primary objective of signing these businesses up to longterm contracts with ongoing fees. In some cases, the advice sought by these businesses was available free of charge from the Fair Work Ombudsman. The ACCC also alleges that Employsure represented to consumers that it provided a helpline for free workplace relations advice when the primary function of that helpline was to secure marketing leads to sell its services.

The ACCC alleges that Employsure engaged in the misleading conduct in breach of the ACL through its use of Google Ads campaigns and on its websites between January 2016 and November 2018.

The ACCC also alleges that between August 2015 and June 2018 Employsure engaged in unconscionable conduct towards four small businesses who contacted Employsure, believing that they were speaking with someone from, or associated with, a government agency.

Additionally, it is alleged that during the period of November 2016 to at least October 2018, Employsure’s contracts contained unfair terms, including terms that it made it difficult for small businesses to exit the long-term contracts.

The ACCC is seeking declarations, pecuniary penalties, injunctions, consumer redress orders for the four small businesses, corrective publications and compliance orders, and costs.

Major banks predict a ‘large’ proportion of its small and medium business clients could save money by changing how their customers’ tap-andgo debit payments are processed, as the industry responds to pressure over the cost to merchants of electronic payments.

Following a 2017 threat of industry-wide regulation from the Reserve Bank, major banks including National Australia Bank have in recent weeks started allowing business owners to decide if they want contactless debit card payments to be processed by eftpos.

Banks are rolling out changes that will cut many businesses’ costs from tap-and-go debit payments.

Previously, such payments were processed by Visa and Mastercard, which in many cases results in higher costs for businesses.

National Australia Bank will start allowing most of its customers to choose how contactless debit card payments are routed over the coming weeks.

Commonwealth Bank expects to launch its offering by the end of June.

The changes are likely to save businesses tens of millions of dollars, with small bank Tyro reporting its clients have saved $2.7 million in fees since it introduced “least-cost routing” last year.

The spate of activity is the result of public pressure on banks, including from Parliament’s banking inquiry and the Reserve Bank’s threat of late 2017, over a previous practice whereby tap-and-go debit card purchases were automatically sent through the Visa and Mastercard networks.

Retailers previously estimated that the routing of debit payments through the international card schemes’ systems was costing them hundreds of millions in extra fees.

Source: Clancy Yeates — business reporter.

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INDUSTRY NEWS

NATIONAL

Reddrop Supermarket Group Conference May 14-18, 2019 Michael and Tina Reddrop, owners of the newly-named Reddrop Group of licensed supermarkets, have progressed rapidly over the past few years and have grown their family business into a 15 store group of supermarkets branded both Foodworks and “The Local Grocer”.

Stores are located in north-eastern and western Victoria, Melbourne and Griffith, NSW. Michael and Tina took over the family’s Alexandra supermarket from Michael’s father, Norm Reddrop, almost 20 years ago and have continued on with Norm’s tradition of providing customers with great service and an exceptional shopping experience.

The Reddrop Group had their annual group conference “retreat” at the Vibe Resort Complex in Marysville, in country Victoria between 14 to 18 May. The conference provided the rich opportunity for over 40 of the Reddrop Groups’ management and senior staff to come together to align to a common set of retail, merchandising, commercial, compliance and human resource best practice methods and standards of doing business, in a very competitive and challenging marketplace.

All Reddrop Group store managers are empowered to understand the stores and businesses they manage. They are encouraged to be involved with their local markets and to serve their local communities, to meet their needs and to deliver to their customers’ expectations.

Congratulations to Michael and Tina Reddrop, Operations Manager Lincoln Wymer and all the management and staff of Reddrop’s head office and stores for producing some very fine results to date.

It is inspiring to see independent supermarket operators such as the Reddrop Group committed to growing their business by investing in new stores, new store concepts, store refurbishments, innovative ideas and product ranges and most importantly their staff, who “turn up” every day to delight their customers. Well done Reddrops!

Owner Michael Reddrop and Operations Manager Lincoln Wymer

Guest presenters included MGA, Foodworks CEO Rick Wight and Area Manager Darren Watson, Coca Cola Amatil, MB Refrigeration, as well as short company presentations from a number of supporting suppliers including Soul Fresh, Treasury Wine Estates, JC Nuts, Mondelez, CUB and tobacco companies Philip Morris and British American Tobacco.

The high quality and transparent content of the presentations and the activities during the conference set the tone for an exciting and invigorating trading year ahead for Reddrop management and staff.

mga.asn.au | June 2019 | Edition 4

INDUSTRY NEWS

NATIONAL

Australian businesses hit hard by email scams

MGA has received many cases of members having their computers and devices hacked and systems disrupted over the past couple of years.

Many members have also succumbed to scams as well, costing members precious time and often substantial resources to resolve. The ACCC is the watchdog organisation when it comes to scams and has issued the following statement.

Australian businesses reported more than 5,800 scams with losses exceeding $7.2 million in 2018, a 53 per cent increase compared to 2017, according to the ACCC’s Targeting Scams report.

Much of this increase is due to the $3.8 million reported lost to sophisticated ‘business email compromise’ scams.

When combined with losses reported to the Australian Cybercrime Online Reporting Network, these scams cost Australian businesses over $60 million.

“Scammers are hacking business email systems and impersonating the intended payment recipient. The scammers request changes to bank account details so that the business makes the payment to the scammer instead of the legitimate business,” ACCC Deputy Chair Mick Keogh said.

“Depending on how long the scammers get away with this and how large the transfers are, this scam can be devastating to a business’ bottom line – to the extent of forcing small and medium businesses into closure.”

This scam targets businesses of all sizes and even small local sporting clubs and community groups. Any organisation that transfers money via bank accounts is a potential target. Scamwatch has even received reports of the hackers intercepting house deposits that have been sent to conveyancers, real estate agents or law firms.

Small businesses with fewer than 20 staff were most likely to be targeted by scammers and accounted for more than 75 per cent of reports to the ACCC. Businesses were most likely to be targeted with false billing scams (1,819 reports) but investment, hacking and phishing scams also caused significant losses.

“Australian businesses must protect themselves by ensuring their staff are aware of these scams so they can identify and avoid them.

Every business should have clear processes for transferring money and a procedure for verifying requests to change bank account details that uses multiple modes of communication,” Mr Keogh said.

MGA members are encouraged to visit www.scamwatch. gov.au to learn more about scams targeting them and how to protect themselves. They can follow @scamwatch_gov on Twitter and subscribe to Scamwatch radar alerts.

MGA’s members can also sign up to the ACCC’s Small Business Information Network to receive emails about new or updated resources, enforcement action, changes to Australia’s competition and consumer laws, events, surveys and scams relevant to the small business sector.

Source: ACCC.

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TRAINING

NATIONAL

The benefits of training There are many reasons why planned induction and continuous training of your employees is beneficial to your organisation. Your business, whether it is large or small, can benefit in many ways by investing in your people. Your staff are your biggest asset.

Unfortunately, the attitude towards training across all industries tends to be negative with attitudes such as:

• It’s a waste of time • Waste of money and unproductive • Once I train my employees they leave after a short time.

Having a simple, cost-effective training system in place – irrespective of the size of your business – will reap great benefits that will outweigh any negatives in the long term.

Here are just some of the ways in which your business will prosper by investing in training your employees.

INCREASED PRODUCTIVITY TO YOUR BUSINESS • Training your employees in each area of your business will result in streamlined rostering

• Trained employees can cover vacated shifts thereby reducing the need to recruit other

• Calling on your current staff and offering them more hours of work increases loyalty to the organi-sation

• Training ensures the efficiency of the day to day operations of the organisation

• If your employees are well trained, they are able to

work in a team, or independently, without the need for constant supervision from management

IMPROVEMENT IN THE QUALITY AND CONSISTENCY OF WORK • Training your employees in your organisational

procedures sets standards that you require in your business. By providing clarity about how you wish to operate the business will avoid confusion and lack of accountability

• Well trained managers will be able to focus on continuous improvement for future growth rather than focusing on ‘fixing’ past and current issues.

• Training improves customer service and therefore, the business profitability grows

mga.asn.au | June 2019 | Edition 4

• Customers appreciate well-trained employees because

they receive better service and they will return to a place that provides a high standard of service

RECOGNISING PERFORMANCE GAPS • Employees may come with an array of skills and

knowledge but are not always the perfect match.

Employers need to be aware of employee performance gaps and they should address and train their employees to remedy any area of need by applying a Training Needs Analysis (TNA)

• If an employee requires further training, it is wise to assist the employee as promptly as possible to improve and avoid reliance on others to complete tasks. In return, this aids the productivity of your team

REDUCE ACCIDENTS, WASTAGE AND CUSTOMER COMPLAINTS • Workplace accidents are costly for any employer.

Therefore, a major benefit of training in safe workplace practices is the avoidance of accidents. Reinforcement of safety requirements will also be beneficial to a business.

Employees that are trained in standardised processes ensures minimisation of wastage

• Safe working techniques result in less damage to the business assets, to employees and customers

AVOIDANCE OF LITIGATION • Organisations are bound by laws, regulations and codes

of practice. There is a need to protect your employees, your business and the public from any possible dangers in the workplace. Only by providing safety knowledge in the workplace will they be protected along with your business

• As an employer, you have a legal obligation to ensure that

your employees know exactly what rules they must follow to protect themselves and to protect your business.

Providing employees with the right information and right techniques within the day to day operations of the business will reduce the risk of receiving fines or even worse, being forcibly shut down

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TRAINING

N W O IL A AV E BL A

REDUCE EMPLOYEE TURNOVER/ ABSENTEEISM • When employees receive induction and

continuous training, they feel valued. Employees feel secure with their work processes and they have confidence in you, the employer. They have trust in their workplace which reduces absenteeism and employee turnover

• Training offers employees opportunities for

Steve Webber Chief Winemaker De Bortoli Family Winemakers

themselves, allowing movement within the team and support for management

ADAPT TO CHANGE AND PREPARE FOR GROWTH • Training can ensure your employees and business can adapt to challenges, changes and growth, especially with the constant emergence of new technology. This allows employees not to fear change but to be part of the change

Contact your De Bortoli representative for more details or visit debortoli.com.au

• Training should be available to all your employees not just a select few and it does not have to be formal and expensive but planned to suit the operational needs of the business

IS

• As an organisation, your experienced employees are your investment and the training that you provide will help them, to help you to achieve success in your business

M A NY S H A DE S

Training should be a return on investment, not a burden. Remember your employees are an asset to the business and should be valued as such.

Contact MGA Industry Training today on freecall 1800 888 479 option 2 to discover the solution best suited to your business.

Tailored training solutions for your business.

MGA INDUSTRY TRAINING ARE HERE FOR YOU! Call our specialist team 1800 888 479 (option 2)

Family winemakers since 1889

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INDUSTRY NEWS

NATIONAL

“Billy Tea” — a local independent business in Brisbane MGA is constantly challenging the planning, zoning and development practices in towns and cities around Australia. Whilst in principle we all understand what sustainable, walkable shopping and vibrant community hubs are and we believe state governments and local councils support this notion, nothing can be further from the truth.

Whenever we hear from our politicians and local councillors that small business is the engine room, or the backbone of the economy, MGA is, of course, cynical. No sooner have they quoted this statement and they go ahead with yet another large development without any consideration for the impacts on small businesses and family enterprises.

State governments and local councils “picture of success” planning visions are continuously compromised, chilling MGA members certainty and confidence to invest and grow their businesses.

Jonathan Sri, Gabba Brisbane Councillor says, “Normally I don’t promote individual businesses, but I think this is an important story that needs to be shared, as it’s symbolic of a broader trend that’s undermining and fragmenting our community... Like a lot of small businesses, this little independent corner store down on Hoogley Street in West End is struggling to keep its doors open.

One of the main reasons that big supermarkets outcompete these local shops on price is that the major supermarkets externalise costs onto the rest of the community e.g. we as ratepayers have to bear the added burden of paying to address the traffic congestion that bigger shops tend to exacerbate.

Local small businesses like this one are crucial elements of a connected community. Not only does their presence help reduce traffic congestion, but they serve as informal hubs of information exchange and local support.

This little shop (which I’ve always referred to as the ‘Billy Tea’ shop but which is actually called Xpress Convenience) is independently owned and operated. They do their best to keep their prices low and do a far better job than the major supermarkets at minimising waste and expired stock. If you’re concerned about how much food the bigger supermarkets waste, that’s another compelling reason to support these guys.

The primary reasons for this are monopolistic and unjust practices from larger competitor supermarkets like Coles, and rapidly rising rents due to gentrification.

If you live down in 4101, consider spending a bit of your money here rather than at the major corporate supermarkets, and next time you’re heading down to Orleigh Park, stop in to buy an ice-cream.

The shop owner, Sharyn, told me that her monthly rent has increased by a whopping amount in the last ten years.

I think this is a compelling argument for the introduction of rent controls in the inner-city.

Source: Jonathan Sri – Councilor for the Gabba

Part of my long-term vision for Brisbane is to create walkable neighbourhoods, where people can use public and active transport to get around, without needing to rely on private vehicles.

To achieve this, we need to support mixed neighbourhoods, where low-impact small businesses like this one are nestled into the heart of residential areas. That means that rather than people driving from a residential precinct to a major supermarket, they will have a local shop within walking distance.

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INDUSTRY NEWS

WESTERN AUSTRALIA

UPDATE — WA’s container deposit scheme MGA is pleased to announce that significant progress has been made toward a seamless Container Deposit Scheme (CDS) being developed and implemented in WA sometime in early 2020. Leveraging the learnings from other states, picking out what has worked and not worked, will help to reduce the cost and increase the effectiveness of the scheme.

MGA is a member of the WA CDS task force and has expressed a strong interest in registering all WA members to be “collection points” for containers.

It is vital for members to consider offering a CDS collection point as this will involve members with consumers, and consumers will return their empty containers, receive their refunds in the form of vouchers and redeem these vouchers in members’ stores.

It is the intention of the WA Government that WA communities will have better access to container collection points than anywhere else in Australia.

Environment Minister Stephen Dawson recently announced WA

Return Recycle Renew Limited has been selected to operate the scheme which starts early next year. WA Return Recycle Renew is a not-for-profit company which will be responsible for running the container deposit scheme and ensuring it meets all objectives set by the state government.

Some comments made recently by Environment Minister Dawson include:

• An open and competitive process

was used to identify the preferred scheme coordinator and I’m encouraged that WA Return Recycle Renew is best placed to deliver a high performing scheme for our state.

• I am also very happy to announce

that Western Australians will have better access to refund points than residents in any other Australian state or territory.

• The number of refund points per head of population will be better in WA than in any other state or territory in Australia.

• As a regional Member of

Parliament, I want to be sure

that remote communities do not miss out on the opportunities arising from this scheme. That’s why there will be at least one refund point in every remote town with 500 people or more, and we will be looking at a range of other options for smaller communities.

• From the CBD to Rottnest, Albany to Wyndham, Western Australians will have refund points spread across the state to ensure you can return your containers easily.

• With beverage containers

accounting for 44 per cent of the volume of litter in WA, this scheme run by our new coordinator is key to reducing litter and improving the state’s recycling rates.

• The scheme is a great win for

the environment but it’s also anticipated to create up to 500 jobs across the state.

MGA will keep members informed of any progress. In the meantime, MGA will facilitate “collection point” expressions of interest on behalf of all Western Australian members with the Scheme coordinator.

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INDUSTRY NEWS

NATIONAL

Small business owners “relieved” by election result MGA is a Board Member of the Council of Small Business Council of Australia. The welfare and prosperity of MGA’s family enterprises and private businesses are at the heart of what MGA stands up for every day.

MGA’s members face many challenges, many of which are put before them by unsavoury policies, regulations and laws that state and federal governments lay before them without any consultation and consideration of the consequences.

COSBOA has congratulated Scott Morrison on achieving an outcome for the election that few predicted, stating that the overwhelming response of small business owners was one of quiet relief rather than outright celebration.

Peter Strong, CEO of COSBOA, said, “The result gives certainty to the small business community. It is a strong rejection of the far left but it also asks the new Coalition government to moderate the extremism of the far right within its own ranks.”

The surprise result demonstrates the ongoing importance of the small business voting block. Less than 3 weeks from polling day, a Sensis

2019 GALA Ball mga.asn.au | June 2019 | Edition 4

survey showed that some 42% of the self-employed would vote for the Coalition and that 35% were still to make up their mind. It certainly appears that most of these undecided people voted for the Coalition in the end.”

COSBOA and its members are very pleased that small business people can get back to work knowing that big unions will not be interfering in their operations, that many ordinary Australians will get a tax break that they will hopefully spend to grow the economy, and that small business people themselves will also benefit from changes to the tax system.

COSBOA also wants the strengthening of unfair contract regulation to occur quickly, which would add to the growing confidence of the small business community.

Mr Strong added “We shouldn’t forget that as much as it was a surprise, the Coalition only just got across the line.

We believe that this sends a further message that the new government

must limit the influence of the far right within its own ranks and address the vitally important issue of national energy and climate change policy.

Energy policy cannot be meaningfully addressed without simultaneously addressing climate policy. There is an urgent need to develop national consensus on this issue if we are to prevent sharp increases in energy prices in the future – not just in the next 2 years.”

Peter Strong added, “We look forward to working with the Government on positive change that strengthens the economy – not just maintains it – as Australia’s 2.5 million small business owners (and their more than 4 million employees) prepare for the economic challenges that lie ahead.”

MGA will be meeting federal government ministers and MPs with the COSBOA Board in Canberra on 18 and 19 June and will set the agenda for policy discussion at that time for the next 2 – 3 years.

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LEGAL AND HR

Take control of your energy bills GREAT NEWS! Energy prices are predicted to drop in the upcoming quarters, and this could bring potential cost reductions to your business through the renegotiation of your contract rates. This could bring savings for you as soon as next month’s billing cycle.

Even if you are in a contract, you may be eligible for a renegotiation allowing you to benefit from a lower price almost straight away.

If you’re interested in saving money on your electricity, simply send through a copy of your latest bill for us to review and we will be in touch to discuss the results.

IT’S THAT EASY! Aussie NRG helped me negotiate my bills with my energy retailer and saved me approximately $100,000 per annum for my group.

Aussie NRG goes out of their way every time and go above and beyond to help out in any way they can. I would recommend their services with both pleasure and confidence in their ability to find the best possible outcome.

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STRATH VILLAGE SUPA IGA

CONTACT THE MGA ENERGY TEAM FOR YOUR OBLIGATION FREE ASSESSMENT 1300 849 908 | energy@mga.asn.au

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LEGAL AND HR

NATIONAL

Workplace flexibility — a growing trend Workplaces today operate using either an award or an agreement which sets down the rules for the day to day running of the business. All businesses rely on the availability of staff and the ability to arrange working hours, to ensure that services are delivered efficiently to customers. This means knowing staff availability to fill the trading hours to operate the business efficiently.

Work rosters are usually determined well in advance for each team member in accordance with the appropriate industrial instrument and this contributes to the smooth running of the organisation.

Generally, the objective is to arrange the working hours of staff to coincide their availability and the needs of the business. Occasionally an employee will approach the employer with a request for a more flexible working arrangement and depending on the circumstances the employer may be legally obliged to implement the alterations sought by the employee.

The Fair Work Act 2009 (the Act) states that an employee can request a change to working arrangements subject to certain conditions. If the employee is a parent of, or cares for a child under school age, is a carer or has a disability, is 55 years or older, is experiencing domestic violence

mga.asn.au | June 2019 | Edition 4

or cares for a member of the household who is experiencing domestic violence, then in any of these circumstances an employee may make written application to the employer with a request for flexible hours. The reasons for the requested change must be clearly set out.

Reaching an agreement for flexibility in many cases is relatively easy, subject of course to the arrangements being reached by both parties. It may include arrangements for when work is performed, overtime rate, penalty rates, allowances or annual leave loading. Situations will vary and examples of requests for flexibility can include situations such as an employee needing to arrange to pick up children from school, or a parent needing to take a child to sport on certain days, or an employee caring for an elderly family member who may want to be absent on certain days or at certain times.

Anyone can have difficulties with these personal arrangements and generally, this can be resolved between the parties. What isn’t acceptable is if the demands on an employer are unrealistic and therefore, unreasonable. For example, an employer cannot be expected to reduce an employee’s hours to allow for time off and need to employ someone else yet maintain the employee’s salary. An employer cannot be expected to suffer a financial impact on the business in order to grant flexibility.

Where there is conflict on the issue of flexibility the employer must provide written reasons for the refusal and hopefully, the parties can reach a compromise and resolve the dispute.

If you have any queries at all regarding flexible working agreements, or about workplace relations generally, please contact MGA’s Legal and HR team for further advice.

LIQUOR NEWS

NATIONAL

Seppelt unveils latest luxury collection release This June, Seppelt Wines releases The 2019 Luxury Collection – an annual showcase of the celebrated styles and quality Seppelt is renowned for.

Ten wines make up this year’s release, each exemplary of their vintage, region and style. Led by the flagship 2017 St Peters Grampians Shiraz, the Collection also includes the sought-after Drumborg Vineyard releases and the anticipated formal release of 2008 Show Sparkling Shiraz – a noteworthy vintage, displaying remarkable cellarability and style.

“The 2019 Seppelt Luxury Collection wines are a testament to the diversity and quality of our vineyards,” says Adam Carnaby, Seppelt Winemaker.

“Sourced from an array of Victoria’s most renowned winemaking regions, these wines are crafted to truly reflect their regional nuances - unique characteristics which are quintessentially Seppelt in style.”

“In particular, the 2017 St Peters Shiraz is a real tribute to what the Grampians region can deliver.

Utterly distinctive, this year’s release was again sourced from the finest, most intense fruit – resulting in a powerful wine, equally displaying great finesse, that will continue to evolve with age.”

Delivering a promising vintage, 2019 also marks a number of significant milestones for Seppelt, namely; 55 years since the forerunner to St Peters Shiraz, ‘Great Western Hermitage’, was first crafted and the renowned Drumborg Vineyard was planted in 1964.

This is the second year Seppelt’s premier wines are released in unison, helping provide consumer clarity around the winery’s leading expressions and guidance for vintage release timing.

The complete 2019 Seppelt Luxury Collection will be available from leading retailers nationwide from Wednesday 5th June 2019.

For more information visit www.seppelt.com.

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INDUSTRY NEWS

INTERNATIONAL

MGA attends NAB Innovation Trade Mission to Israel From 22 to 29 March 2019, MGA was privileged to be invited by National Australia Bank (NAB) to attend an Innovation Trade Mission to Israel, hosted by the Australian Israeli Chamber of Commerce. As noted in the previous edition of the Independent Retailer, Israel is fast becoming Silicon Valley 2.0.

In the past 10 – 15 years Israel has rapidly grown its economy by focusing on solving problems around the world with technology-based solutions. Startup businesses are a way of life in Israel where anyone with an idea that can solve a problem or make life easier through technology-based solutions is embraced. In fact, universities, the government and small businesses all work very closely and collaboratively to nurture, incubate and invest resources into new business ideas.

The fast emergence of Artificial Intelligence (AI) based technology has touched and advanced many industries and agricultural sectors, for example, retail tech, food tech, agri-tech, medi-tech, edu-tech, transport tech, freight tech, auto tech, finance tech and the list goes on.

Tech companies such as Intel have been operating in Israel for decades and employ more than 14,000 people. Intel supplies processors for computer system manufacturers such as Apple, Lenovo, HP, and Dell. Intel also manufactures motherboard

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chipsets, network interface controllers and integrated circuits, flash memory, graphics chips, embedded processors and other devices related to communications and computing.

Failed attempts to bring new ideas and start-up businesses to life are applauded and revered as much is learned from the efforts made and can be reinjected back into the next great idea.

MGA, together with a group of delegates from Australia with various industry, agricultural, venture capital and private equity backgrounds had the amazing opportunity to meet with some of Israel’s most successful startup business founders, investors, venture capital firms, as well as government agencies supporting startups.

MGA is very determined to help find a solution toward future proofing the independent supermarket and liquor industry. Technology-based solutions to enhance shopper experiences are one way to stimulate a response from customers and to keep our member’s businesses relevant in the 21st century.

Online shopping, whilst slow at present, is likely to accelerate in popularity with consumers

INDUSTRY NEWS

as processes, systems and services are improved. This will weigh heavily on the sustainability of independent supermarket owners if they don’t change with the times.

Bricks and mortar shops are at risk of being caught in the middle of a tech revolution that is moving rapidly. As an industry, we must keep up with technology and invest back into our businesses to attract consumers into our stores with enhanced shopping experiences.

In the previous edition, MGA spoke about SuperSmart, a recent startup. It’s a business that has developed a fast and efficient in-store shopping system allowing consumers to scan their own products and have all the contents of a trolley assessed electronically at the end of a customer’s shop, allowing prompt payment at a register.

The second startup company MGA visited was TRIGO. Trigo has developed a unique shopping experience that is hassle-free and will save customers valuable time. It’s a concept for the future where customers simply activate a smartphone app as they enter the store and then shop for whatever grocery, fresh or liquor products they want. The sensors in cameras located strategically in the store will accurately detect the products a customer has taken from the shelf and send the information, with full product details and pricing to the smartphone app. Once the customer has

finished shopping, they simply walk out of the store, past detection units at which point the groceries are charged and automatically paid for by the customer’s preferred credit card method of payment. A receipt is immediately emailed or sent by text to the customer. An amazing artificial intelligence-driven shopping solution.

Trigo has set out to automate retail stores at scale and provide store owners with streamlined retail operations, valuable consumer insights and a seamless shopping experience for all customers. Driven by highly sophisticated algorithms, Trigo’s solution delivers seamless and accurate results, all with minimal set-up and maintenance requirements. The system also provides shoplifting prevention, by fully tracking the store’s entire product range throughout the retail space, creating a non-theft store. It can provide store owners with real-time inventory updates that are easily integrated with existing inventory solutions Installation is very easy and affordable with phase 1 involving camera installation. A camera network comprising simple units that require minimal resources and cause no interference are installed and phase 2 involves loading all product information into Trigo’s smart AI system enabling all product movements and purchases in the store to be monitored and tracked accordingly.

Technology-based solution innovation will continue to change the retail landscape.

It is ever so important MGA’s “bricks and mortar” members take a deep and ongoing interest in what technology can do for their stores to enhance their customers’ shopping experiences in a bid to future proof their stores.

MGA wishes to sincerely thank NAB for the opportunity to be the only organisation representing family enterprise and private businesses in the retail sector to be part of this Innovation Trade Mission. Compelling insights gathered from the Innovation Trade Mission will be shared with members on an ongoing basis.

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TRAINING

National Online Courses MGA delivers training and compliance solutions specific to the needs of independent retailers. We have a range of training and compliance solutions readily available for members. *Log in to our website with your member login to order your courses at these member prices.

Call us on 1800 888 479 if you need your log in details.

Manage Training System (MTS) Manage Training System (MTS) is an easy to use training program – set up training per department, allocate courses to staff, monitor results and have complete training records for all staff. Either use included HR policies or upload your own including staff rosters!

Customer service training Ensure your staff have the skills and knowledge to build relationships with your customers, suppliers, fellow team members and management.

CUSTOMER SERVICE BASIC

CUSTOMER SERVICE ADVANCED

Duration: 20-30 minutes Member price: FREE

Duration: 45 minutes Member price: $20

mga.asn.au | June 2019 | Edition 4

TRAINING

Online & face to face training MGA Industry Training offers discounted training for all members. Courses are online or can be conducted face to face at your business for 10 or more employees! Responsible Service of Alcohol, Food Safety, Employment Law, Customer Service, plus more!

Tobacco training This course covers information on the legal obligations for the sale and service of tobacco, non-tobacco smoking products, smoking accessories, e-cigarettes and e-cigarette accessories in each respective state/ territory. Training ensures your staff comply with Tobacco Retailing Laws – protecting your business.

STATE BASED TRAINING Duration: 30 minutes Member price: FREE

Don’t forget to log in for your member discounts!

Visit www.mga.asn.au to see our range of training courses!

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LEGAL AND HR

NATIONAL

“You’re demoted!”

The issue of demotion may arise in many circumstances, but when is it lawful?

Demotion is legally defined as a “significant reduction in … remuneration or duties; and … [the employee] remains employed with the employer.”1 Demotion should not be confused with a lawful and reasonable direction given to an employee to undertake duties, which form part of the scope of employment.2 If the reduction is “significant”, an employee may claim that he or she has been dismissed. That leaves us with the question, what is “significant”? There is case law that provides guidance on this question.

For example, in a 2016 decision,3 it was determined that a reduction of $1.00 per hour in an employee’s remuneration and removing certain supervisory responsibilities constituted “significant reduction” in the employee’s wages.

So, when can you actually demote an employee without the risk of terminating their employment and facing a claim? Well, there are limited situations, but it can be done legally.

acceptance of the demotion, he or she would be subject to a new employment contract.7 That should be reflected in writing and presented to the employee as soon as practicably possible.

These circumstances include:

If there are no express provisions in the employment contract or applicable instruments or if authorisation is not obtained from the employee, an employee can claim to have been demoted, even if the employee remains employed with the business in the demoted role without completely consenting to the demotion.8

• a provision or clause in an

employment contract that contains an employer right to demote or vary certain aspects of the role, such as title, remuneration, location, department, classification;4

• a provision or clause in a Modern Award, Collective or Enterprise Agreement;5 and

• consent or authority (best practice – written) from the employee.

If you are ever faced with the possibility of having to demote an employee, it may be worth considering alternatives, particularly in situations where the employee may not consent to the demotion.

If you are ever faced with the possibility of having to demote an employee, it may be worth considering alternatives.

If a demotion involves “significant reduction” in duties or remuneration but is rejected by an employee, the business may need to pay out the applicable notice and redundancy package required.

If a demotion is lawful, the contract will be deemed as having been terminated.6 If the employee remains engaged by the business after

1 Fair Work Act 2009 (Cth), s 286(2)(c).

2 Miller v University of New South Wales [1999] 1307 IRCommA. 3 Phillip Moyle v MSS Security Pty Ltd [2016] FWCFB 273.

4 Hermann v Qantas Airways Ltd, PR925901.

5 Ibid.

6 Charlton v Eastern Australia Airlines Pty Limited, PR972773 [2006] 154 IR 239.

7 Tokyo Network Computing Pty Ltd v Tanaka [2004] NSWCA 263.

8 Irvin v Group 4 Securities Pty Ltd, PR925901.

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If you require any further information or assistance, please do not hesitate to contact our Legal and HR team directly on 1800 888 479 (option 1).

INDUSTRY NEWS

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NATIONAL

Least Cost Routing — reducing merchant fees As MGA members will have read from previous articles, MGA has been advocating to reduce the ever-increasing costs of merchant (your business) banking fees.

In a recent speech, the Assistant Governor of the RBA Michele Bullock strongly advocated merchant payments choice in the online and offline world and competition in the debit card market in Australia.

Debit cards are the non-cash payment method of choice for many Australians. Debit cards are connected to a customer’s deposit account and draw funds for payment directly from that account. Over the past 10 years, the annual number of debit card transactions per person in Australia has risen from around 80 to around 260.

Most debit cards in Australia are dual-network cards. That is, payments made using these cards can be processed across two networks. The network brand on the front, and the most obvious, is typically an international scheme – Mastercard or Visa. On the back is usually the eftpos brand, the Australian domestic debit system.

The Payments System Board and the Reserve Bank have been supportive of these cards because they provide convenience and choice to both consumers and merchants.

When dipping or swiping their card, consumers could choose the credit button to direct the transaction through the international scheme or the cheque/savings button to direct it through the eftpos system. Merchants could also indicate to customers which network they would prefer to be used.

So dual-network cards can play a role in keeping downward pressure on the costs of card acceptance to merchants

(and indirectly to consumers).

The move to contactless payments (‘tap-and-go’), however, has muted some of the competitive pressures that can come from dual-network cards. Since eftpos moved to tap-andgo later than Mastercard and Visa, a substantial number of payments that were previously processed by the eftpos network are now being processed by the international schemes. While consumers would not have noticed anything different, businesses have seen their costs of card acceptance rise as processing through the international schemes is more expensive than eftpos.

The RBA has attempted to ensure that merchants (your businesses) continue to have the choice by obtaining commitments from banks to allow their merchant customers to choose the network through which contactless transactions are processed.

Some smaller acquirers – for example, Tyro and First Data – have been faster than the major banks to provide their customers with this functionality. But the major banks are now offering, or are about to offer, merchant choice. This should assist in keeping downward pressure on the fees that merchants pay.

But as payments move to different form factors, such as mobile phones or wearables (watches and rings), and new technologies are introduced, there is a risk that some may use it as an opportunity to lock out competitors.

The Reserve Bank is of the view that in moving to new technologies, merchants and consumers should continue to have a choice of debit card network.

Rules or policies of any scheme that have the effect of removing choice will reduce competition and result in rising costs to merchants. The RBA will be looking closely at developments in the debit card market to ensure that, as far as possible, there is a level playing field for the alternative debit schemes.

EFTPOS IS NOW ABLE TO OFFER MEMBERS A CHEAPER PAYMENT FACILITY – IN FACT, IT IS GENERALLY 40% OF THE COST OF A TRANSACTION VIA A SCHEME CARD SUCH AS MASTERCARD OR VISA. Assistant Governor of the RBA Michele Bullock said, “The RBA will also work with the ACCC as necessary to identify and address any anti-competitive behaviour. In the specific case of least cost routing, we (RBA) would not want to see the benefits to competition from this innovation thwarted by issuers taking eftpos off dual-network cards.”

MGA wishes to encourage all members to speak with their banks about including eftpos into their payments facility to offer consumers a choice and to significantly reduce merchant banking fees.

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TRAINING

NATIONAL

Manage Training System Manage Training System (MTS) is an easy to use training program that will enable the upskilling of employees, delivering efficient functionality and productivity to your business.

MTS gives employers the opportunity to further enhance staff skills and knowledge at an affordable cost while providing a disciplined, structured and flexible staff training system.

MTS is a valuable training tool for employers, as it also provides accurate records for tracking of staff training and for reporting purposes. Download progress reports to track employee’s outcomes.

MTS includes a large range of essential and advanced workplace staff training course solutions, which includes a variety of compliance training courses that will meet the employer’s legal obligations as well as offering a large range

of general professional development courses. All courses can print out a certificate of completion, if required.

An extensive range of Safe Work Instructions (SWIs) are also included and provide employers with an alternative “paper based” form of training rather than formal online training. SWIs are essential to maintain consistency when training staff.

MTS provides employers with a simple low-cost solution to train staff onsite and delivers a strong return on investment.

If you have any questions about MTS or any other training enquiries, contact MGA Industry Training on 1800 888 479 or visit mgaonline.com.au.

Edgemill contributes to independent liquor growth Dear Independent Liquor Retailers, Financial Year 2019 has been a break out year for Edgemill Group off the back of a record year of growth in FY18 with the launch of some exciting innovative products such as BeGin Pink Gin and Old #15 Bacon Bourbon along with our first higher value sku in Black Bart Spiced Rum. Not to mention the incredible success of the “new look” Rare Penny wine range. Our audacious innovation program will continue in FY20 in both wine and spirits.

FY19 saw the independent liquor market grow share in Australia and I would like to think Edgemill Group’s commitment and dedication to our independent liquor retail partners has played a part in this incredible result.

I wanted to take this opportunity to sincerely thank those independent partners who have not only contributed to the growth of the independent liquor segment

mga.asn.au | June 2019 | Edition 4

but who have been instrumental in the success of Edgemill Group.

The Liquor Stax team and Guy Bohan have been partners with Edgemill since the beginning and we are proud to continue this partnership well into the future. Others who have been supporting Edgemill from the outset have been Michaels’ IGA, Champions IGA, Fassina in SA, along with Karl, Caesar and the team at Ritchies IGA who were first to market with Black Bart Spiced Rum with incredible success and who continue to support Edgemill Group at every turn.

As I write this article Blake Coates will move into another role but the support of Blake and Rod Pritchard and Joel Zamek and the entire IBA team has been tremendous and it heartens me to think that a small family owned company like Edgemill whose very existence relies on the independent retailer is given every chance to compete with the big boys.

Lastly but by no means least I want to thank the team at Edgemill Group for their tireless and passionate commitment to the Edgemill Group cause and who offer their unwavering support to the men and women who work hard every day to build viable and strong businesses in the face of stiff competition.

On behalf of Alex Stavrakoulis and myself I wish you all a happy new financial year and I look forward to another successful year for FY20.

Kind Regards, David Hounsome National Sales & Marketing Manager 0424 155 024

LIQUOR NEWS

NATIONAL

MGA National Liquor Committee welcomes new member MGA is pleased to announce the appointment to the National Liquor Committee of Jeremy Goodale, GM Sales Victoria / Tasmania. Jeremy’s appointment comes after the retirement of John Rodriguez who served on the National Liquor Committee for over 7 years.

MGA National Liquor works tirelessly to ensure that any current or new federal and state regulatory issues that impact our members’ businesses, and industry, are addressed to help prevent and reduce red tape and cost burdens, minimising the impact on the day to day running of members’ businesses.

Jeremy will bring a wealth of industry knowledge to the table that will further assist the development and growth of the independent liquor sector.

The MGA National Liquor Committee welcomes all feedback from members on issues they feel needs to be addressed. You can contact us by calling the national hotline 1800 888 479.

Liquor industry stalwart calls time Having served the liquor industry for 38 years, 14 with the now defunct San Remo Group and 24 years with ALM/IBA, John (Rocket) Rodriguez has decided to call time.

John started his career back in 1981 working in liquor retail with the then very strong retailing group San Remo, working his way through various management roles before moving to ALM/IBA where he has spent the last 8 years as Victorian Sales Manager, building a rapport with the industry at all levels and guiding his team on a daily basis.

John was also a long-term serving member of the MGA Liquor Committee, his knowledge of the industry and the issues it faced assisted the committee in setting its policy direction and priorities with state regulators on liquor regulatory changes. John was a tireless worker and contributor to the committee and his enthusiasm and dedication to seeing independent packaged liquor licences succeed will be missed.

When asked what the future held, John said: “I am looking forward to spending more quality time with my lovely wife Caroline and my fantastic kids, Catherine, Michael and Thomas, as well as watching my beloved Essendon Football Club win some more games and in time, another Grand Final!”

On behalf of the entire MGA Board of Directors and the MGA Liquor Committee and staff, we thank John for his positive contribution to the independent sector and wish him all the best in his future endeavours.

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LEGAL AND HR

NATIONAL

Too old or too young — it shouldn’t be a problem.

Ageism is alive and well in some workplaces and it shouldn’t be.

We have laws in Australia which make it clear that to treat a person less favourably because they are regarded as being too old or too young is an offence. The Age Discrimination Act (2004) Clth. (the Act) protects the interests of both older and younger employees who are often vulnerable to the actions of those who discriminate against them.

All too often an older applicant is not able to apply for an advertised job because the employer claims to be looking for a person who can join in a ‘vibrant young team’ or a young person is discriminated against because the advertisement states that “only mature persons should apply.” This may constitute unlawful discrimination and can result in heavy fines.

When offering employment employers should consider prospective candidates of all ages. There may be certain aspects of the position that will require specific qualifications and there is no question that these requirements would have to be met depending on the position. Experience and academic qualifications may be uppermost in the employer’s mind when seeking for the right candidate. However, it would be unacceptable to advertise a position that is discriminatory based on being “older”, “able to assimilate with senior/ older colleagues”, similarly it would be unacceptable to advertise for someone “young and energetic, wishing to join a “young team”.

Even after a person has been employed for a length of time there should never be an assumption, based on years, that person is unable to do the job. It may be different of course if the employee becomes unable to

perform the ‘inherent requirements of the job’ and an employer would need to take advice on the steps that need to be taken in these circumstances.

But if the employee can carry out his or her duties after satisfactorily working unhindered for many years, it would be discriminatory to assume incapacity solely based on chronological age. Similarly, blaming inability based on youth because an employee fails to comprehend certain working procedures would not necessarily imply misunderstanding is based on being young. It may well be that the explanations provided were simply unclear.

Having a productive workplace is a priority for any employer and avoiding the pitfalls associated with discrimination is sound workplace practice. Workplaces need to have the correct procedures in place to ensure compliance with the law.

Independent Solutions provides POS software (Profit Track™) to Independent Retailers to make everyday tasks easy. We have recently added new technologies to include:

Cashless Self-Checkout

CashGuard Payment

Internet Shopping

Café Bump Bar Style System

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1800 020 946

LEGAL AND HR

NATIONAL

Can my landlord force me to trade?

The majority of MGA’s members operate as tenants under a lease of premises, rather than owning the physical premises of their store(s) in their own name, or a company name.

For such businesses, this means that there can be a number of restrictions on how they conduct their operations, which are usually found both in lease regulations and in their lease documentation, which in most instances is a retail lease, rather than a residential or commercial lease.

Generally speaking, business owners who operate as tenants under a retail lease are free to operate their business autonomously and without significant interference by their landlord. However, one area which may impact day to day operations is trading hours (separate to any government regulation on trading hours).

of the day. Furthermore, provisions obligating tenants to trade on public holidays (where not prohibited by law) are not uncommon. Failure by tenants to abide by these provisions will often result in the landlord claiming costs from tenants, including damages and legal costs.

These types of provisions can often seem to be quite unreasonable, considering that tenants continue to pay rent even on days when they are not trading. Therefore, penalising a tenant by imposing additional costs when they do not trade can seem particularly onerous.

Generally speaking, the reason landlords often include such clauses in retail leases is related to the fact that if all retailers within a particular shopping precinct are seen GENERALLY SPEAKING, BUSINESS OWNERS to be open WHO OPERATE AS TENANTS UNDER A RETAIL during LEASE ARE FREE TO OPERATE THEIR BUSINESS specified AUTONOMOUSLY AND WITHOUT SIGNIFICANT centre hours, INTERFERENCE BY THEIR LANDLORD. then it can encourage customers to visit the precinct as a Many leases, particularly in whole, and in turn be attractive to shopping centres or shopping other potential tenants, which can strips, will place an obligation on increase the value of the premises. retailers to trade either on certain days of the week or at certain times

LEGAL & HR ADVICE TAILORED TO YOUR BUSINESS NEEDS

However, such clauses in retail leases will generally not be enforceable if they place an unreasonable obligation on tenants to trade on certain days.

Most obvious is the situation where a trading obligation is placed contrary to government trading hour restrictions – in fact, where this is the case, such clauses forcing traders to remain open will be declared void. Other circumstances where a ‘forced trade’ provision may not be enforceable may include where the business is running at a loss and negotiating with the landlord on the terms of the lease going forward.

If business owners foresee that they will not be able to trade for any reason, on a day that they usually would have, or on a public holiday (where trading is not restricted), it may be in their best interest to approach their landlord prior to discuss their options before closing their doors.

Members are urged to check their current lease provisions for clauses obligating them to trade. If you have any queries at all regarding such clauses in your lease, or about your lease generally, please contact MGA’s Legal and HR team for further advice.

As part of your membership, MGA’s Legal and HR team are here to help you and your business with advice that is personalised to your situation.

1800 888 479 (option 1) or (03) 9824 4111.

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LIQUOR NEWS

NATIONAL

New Ministers for Liquor, Gaming & Racing As recently reported by Liquor, Gaming NSW, following the NSW election in March, Victor Dominello has been sworn in as the Minister for Customer Service and is responsible for liquor and gaming legislation, with Kevin Anderson being sworn in as the Minister for Better Regulation and Innovation, and is responsible for racing legislation.

Liquor & Gaming NSW (L&GNSW), the Office of Racing, and the Office of Responsible Gambling will become part of the newly created Department of Customer Service.

The new department includes the NSW Government’s Behavioural Insights function, Data Analytics Centre and Service NSW, enabling L&GNSW to leverage these key capabilities to boost the digital strategy and risk-based regulatory approach.

The move to Customer Service will put L&GNSW at the centre of the Government’s drive to see NSW become a world leader in digital technology and customer service.

As part of a reconfiguring of the public service following the election, senior executive roles have been consolidated. As a result, there is no longer a standalone Deputy Secretary for Liquor, Gaming & Racing, the role held by Paul Newson.

Paul is currently assisting the Department of Customer Service’s senior executive team to support the integration into the new cluster and will remain a Trustee of the NSW Responsible Gambling Fund. Paul is a highly regarded senior public servant and has achieved much during his time as Deputy Secretary, including positioning L&GNSW as

an internationally leading regulator.

Paul is looking forward to the next phase in his career, including options to continue to advance regulatory policy and practice and contribute to public service leadership.

From Monday 1 July, Rose Webb, Deputy Secretary of the Better Regulation Division in the Department of Customer Service, will have responsibility for Liquor, Gaming & Racing.

The Executive Director roles have also been consolidated. Natasha Mann, currently the Executive Director for Regulatory Policy & Strategy will become the Executive Director of Liquor, Gaming & Racing from 1 July. Charlie Dowsett, currently the Executive Director of Regulatory Operations, will remain until 1 July.

Germany’s beer purity law Five hundred years ago, in April 1516, Germany introduced a Beer Purity Law under which beer can only be made from water, malt and hops.

Known as the Reinheitsgebot or “purity order”, it was originally brought into effect in Bavaria for health and economic reasons. From a health perspective, it was designed to stop the use of herbs, some of them poisonous, in brewing. Economically its restricted brewing to barley, so that

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there was enough wheat and rye in the nation to produce bread.

Germans, it could be argued, were the original hipsters, craft beer makers well before their time.

To this day some believe German beer tastes different and cleaner than that produced in the rest of the world due to the restricted ingredients, which forces producers to search for only the highest quality water, malt and hops.

By comparison Australia, where Captain James Cook is said to have introduced beer to “preserve water”, permits additives such as antioxidants, colouring and flavouring agents, foam stabilisers and preservatives.

While Germany’s Beer Purity Law was slightly amended at the end of the 19th century to also allow yeast, this strict law, one of the oldest food regulations in the world, still stands today.

INDUSTRY NEWS

NATIONAL

CRAFTED FOR THOSE WITH G RE AT TAS TE Jacob Schweppe created the world’s first sparkling beverage brand in 1783. Inspired by his passion for craft, quality and the finest ingredients sourced from around the globe, we’ve taken our favourite soft drinks and re-imagined them for the modern palate.

Schweppes & devices are trade marks used under licence in Australia by Asahi Beverages.

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TRAINING

NATIONAL

Induction — why it’s a good start A well-designed employee induction program not only saves you money and time in the long term but avoids money being spent on covering absences and hiring replacements.

When organisations do not provide a structured induction, it means the new employees are left to pick up the necessary information on their own.

This can lead to new employees not learning the “right” way of doing things, loss of productivity and serious issues such as safety and other compliance breaches.

New employees who are part of a well-structured onboarding orientation program are 69% more likely to remain at a company for up to three years.

A poor onboarding program often leads to losing an employee due to their experiences of being confused, feeling alienated, or lacking confidence.

Benefits of induction programs include:

• Workplace safety • Increased retention rate • Improved employee morale • Increased productivity • Understanding of the laws and codes that they need to operate/perform to.

Your induction program should include:

• Policies and procedures • Face-to-face introduction to key staff • Tour of the workplace, pointing out important facilities • Safety and emergency procedures • Instructions on how to complete day-to-day tasks in a safe manner.

5 REASONS INDUCTION TRAINING IS ESSENTIAL Workplace culture New employees need to align and understand your workplace culture. By doing so they will ‘fit’ into the team and work more cohesively.

Compliance Train employees about your company policies on safety, bullying, sexual harassment, and other critical policies.

This will help to protect the business by preventing incidents and ensure your business is compliant.

Retention Inductions programs help employees to adjust to their new role and make a smoother transition into the business.

This ultimately helps the retention

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of employees and saves on recruitment costs and helps employees to feel supported.

Productivity Employees learn the right way of doing things from the beginning, instead of being shown shortcuts.

Saves time and money Saves your business time and money in the long term as a well-developed induction program can be easily replicated for each new employee.

There are training systems available to automate this process and new learning modules can be added as required.

At MGA we offer the MTS – an online training system – that can be tailored to meet your business operations. We offer support for not only the initial induction program but throughout your employees’ journey with you.

The system tracks your employee’s progression with induction modules but alerts you when they need to update their certificates (if required).

So, before you hire the next “crew” have a plan in place to ensure that this group of employees have a good start.

For your tailored induction program, contact MGA Industry Training on 1800 888 479 today.

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LIQUOR NEWS

VICTORIA

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Act 19

LIQUOR LICENSING LAW

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Liquor Control Reform Act 1998

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A series of new signs will help licensees and staff explain Victoria’s liquor laws to customers.

The signs, which have recently been released by the Victorian Commission for Gambling and Liquor Regulation (VCGLR), focus on the theme of young people and alcohol.

Topics for the new signs were determined following a VCGLR survey of licensees who were asked for feedback on what subjects would be most useful for staff at their premises.

By far the most popular topic was the purchasing of liquor for minors.

Packaged liquor licence holders in particular need to be careful when it comes to parents or adults who may be buying liquor for those who are

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underage. Secondary supply is a serious offence under the Liquor Control Reform Act 1998.

The second sign is also on the theme of young people and alcohol. It states that if a customer looks under the age of 25, staff will request to see identification. Feedback from licensees suggests that staff at times can feel uncomfortable requesting identification from someone who they believe to be under the age of 25. This new sign will help inform customers about what they should expect when purchasing liquor as well as support staff to be more confident in asking for identification.

Although the new signs are optional, MGA recommends to all members that they take advantage of their messaging and display them in store along with their mandatory signage.

The new signs are now available for download on the VCGLR website along with a number of other optional signs and other resources to help your staff and customers understand and explain Victorian liquor laws.

If you have any queries regarding liquor signs or any other liquor licensing enquiries, contact the MGA national helpline on 1800 888 479 or visit vcglr.vic.gov.au.

98

32

LIQUOR NEWS

NATIONAL

Mitchelton Wines host MGA Liquor Committee Meeting On Wednesday 17 April Mitchelton Wines kindly hosted MGA’s National Liquor Committee meeting at their Nagambie winery.

The winery located on the Goulburn River, around 1 hour 40 minutes from Melbourne, looked magnificent surrounded with vine leaves in full autumn bloom.

The winery, cellar door and tower were drawn by Robin Boyed CBE, one of the country’s most renowned architects and was completed by Ted Ashton in 1974 following the death of Boyd in 1971.

The first plantings date back to 1969 when entrepreneurial Ross Shelmerdine planted his first crop of vines, naming the new winery after Major Thomas Mitchell who came across the area in 1836.

The 55-metre tower soon became a recognised icon in the Victorian winemaking landscape. More recently, under the ownership of the Ryan family Managing Director Andrew Ryan engaged the architectural practice of Hecker Guthrie to design the new cellar door and 54 room hotel.

As Mitchelton’s owners, the Ryan family is committed to preserving its integrity as a leading Victorian fine wine producer, while also evolving this much-loved winery to become a unique wine, food and hotel destination in the heart of the Goulburn Valley.

mga.asn.au | June 2019 | Edition 4

LIQUOR NEWS

The national liquor committee addressed a broad range of issues impacting members in particular:

• NSW

CDS impact and border region stores continuance of the Eligible Store Temporary Assistance Package.

• ACT

ACT Drug Strategy Plan 2018-2021

• VIC

Kaufland market entry

• NT

Alcohol Policies & Legislation – Exposure Draft Liquor Bill 2019

• QLD

Sale of Packaged Liquor by independent supermarkets

• WA

Container Deposit Scheme

All the scheduled committee dates are on the MGA members’ webpage and we would encourage and welcome financial members to attend. For further information contact George Kovits MGAL President on free call 1800 888 479.

In closing, and on behalf of the MGAL Committee, we thank Mitchelton MD Andrew Ryan and National Sales Manager Marcus Aquilina for their generous hospitality.

33

34

LEGAL AND HR

NATIONAL

Deal with workplace bullying promptly Bullying includes various types of behaviour including hurtful, humiliating or demeaning conduct which may be aggressive. It may include practical jokes, malicious gossip, exclusion or shouting at a colleague.

The behaviour may be exhibited by a person in authority or by another employee but if it happens on more than one occasion then it is an offence. Unfortunately, bullying as a behavioural characteristic is not a new phenomenon; it has been happening since time immemorial but it is only in recent times that it has become a workplace issue that can result in serious legal consequences for an employer.

How does bullying affect the workplace? In 2017 Safe Work Australia released data1 which revealed that one in three women claimed that they suffered a mental disorder involving harassment or bullying, 37% of employees reported being sworn at or yelled at whilst a work, and almost 20% of employees experienced discomfort due to sexual humour. There are increasing numbers of complaints of bullying either to the Fair Work Commission or in claims for workplace stress caused by bullying in a worker’s compensation claim.

Fortunately, we do not hear of claims that are so serious that ‘Brodie’s law’ needs to be invoked.

In 2011 Brodie Panlock, aged 19 years, was so badly bullied at work in Melbourne that she took her own life and this resulted in making serious bullying a crime in Victoria and punishable by 10 years imprisonment.

Victoria is the only state that currently makes bullying a criminal offence.

Of course, not all employees who are victims of bullying report the conduct or take any action, they often either just accept the behaviour as the norm in the workplace or they leave and move on.

Where a bullying claim is made against the business the financial impact of such a claim can be costly.

There can be monetary damages but there are also other losses such as losing valuable staff experience when people leave, the lowering of staff morale, increased sick leave, then there can be legal fees if it all ends in litigation and damage to the reputation of the business.

IT IS VITAL TO HAVE ALL THE WORK PROCESSES AND PROCEDURES IN PLACE TO ENSURE THAT THE WORKPLACE IS A SAFE AND COMFORTABLE ONE.

The Productivity Commission in 2016 estimated that Australian businesses lost up to $36 billion due to workplace bullying but qualified its estimate saying that there was limited reliable concentrated data available at that time.

Because of the serious consequences for staff and the business, it is in the best interests of employers to take

1 https://www.safeworkaustralia.gov.au/doc/infographic-workplace-bullying-and-violence

mga.asn.au | June 2019 | Edition 4

serious action to keep workplaces bullying and stress-free.

It is vital to have all the work processes and procedures in place to ensure that the workplace is a safe and comfortable one, including stating that you have a culture of respect and project a clear mandate that there is zero tolerance of bullying at work.

The workplace policy should clearly state what constitutes bullying and that it will not be tolerated. The policy should be on display and be revisited regularly. It should be made clear to staff that the business does not tolerate one person deliberately undermining another, and that you expect each employee to afford courtesy to all other employees.

Whenever consultation or discussion between employees is required it should be made clear that every individual’s opinions will be heard and respected, even if their viewpoint is not used.

A business will not be successful while there is an unhealthy, uncooperative environment. If an employee does not wish to accept the workplace culture and cooperation that the business requires then the employer should act swiftly to dispense with that person’s services. If a person does not fit your culture and the matter is left unattended for too long, it may become too late to remedy correctly and the outcome will be timeconsuming and costly.

TIMBER NEWS

NATIONAL

Reliable Product Source… Timber Supply Inconsistent timber supply continues and unfortunately will present issues in the years ahead, in part, as a result of lack of insights and planning for future needs of Australia’s forest industries across the full value chain.

“Australia’s forest industries are responsible for 120,000 jobs across the full value chain and are worth $24 billion to the Australian economy annually. It’s vital that politicians, candidates and political parties take notice of the industry’s needs. This applies especially to candidates in electorates where forest industries are prominent in the economy”.1 In attempting to secure certain aspects of timber supply and prepare for long term future requirements the federal government recently backed the Regional Forest Agreements (Vic).

The Regional Forest Agreements (RFAs) underpin the certainty for industry, with proposed five-year reviews, and desirable state by state consultation.

OneFortyOne is a leading Australian wood products business producing and distributing a large range of timber products from their sawmills located in Mount Gambier, South Australia a key supply source for many MGA TMA members.

Their plantation is located within what is known as the ‘green triangle’ regions and as reflected in its name, it is one of Australia’s major forest regions.

It is the largest softwood plantation in the region, comprising more than 80,000 hectares. Sustainable forest management epitomises the very ethos of OneFortyOne. Their estate

and management practices are recognised as being best practice, and that endorsement is sealed through their independent certification to the Australian Forest Certification Standard (AS4708-2013).

MGA TMA is very pleased to announce the appointment of OneFortyOne as the first industry MGA TMA corporate partner.

AFPA is the peak national industry body representing the resources, processing and pulp, paper and bioproduct industries covering the forest products value chain. AFPA represents all elements of the value chain from sustainable harvesting of plantation and multiple use natural forest resource including forest establishment and management, harvesting and haulage, processing of timber resources and manufacturing.

1 Source: Ross Hampton AFPA (Australian Forest Products Australia) CEO

Educating the timber industry of the future Like any industry, the timber and hardware category relies heavily on the credibility, experience and knowledge of its workforce for future growth and survival.

MGA TMA have recently launched a much needed, series of necessary Timber Product Knowledge Seminars supported by industry experts in providing regular basic timber training for members.

The first of these sessions was held at the end of May and exceeded expected participation with a full house. Keen support has been offered for future planned dates.

Aspects of these sessions cover topics such as:

• Timber industry supply chain – forest to market

• Certification and legal and sustainable timber supply

• Timber grades and markings • Timber product sizing and specifications

• Storing of timber These sessions are a very important aspect to MGA TMA membership and provide a unique dedicated service for members.

35

36

INDUSTRY NEWS

QUEENSLAND

Drakes Supermarkets QLD 2019 charity golf day The Annual Drakes Supermarkets QLD charity golf day for 2019 was held in early May at the Carbrook Golf Club.

This is the sixth year that the event has supported Ronald McDonald House South East QLD.

A very big thank you must go out to all the suppliers and contractors who supported the day and make it what it is.

It was a sell-out event which saw 160 suppliers, contractors and Drake staff enjoy a fantastic day of fundraising, fun, food, drink and a round of golf.

An amazing $74,993 was raised for the day and brings total donations to $255,439 over the last six years for Ronald McDonald House SEQ.

There were Mexican, Greek, American, Aussie and Asian themed holes on course for everyone to enjoy as well as the competition holes for longest drive, nearest to pin and straight drive.

THANK YOU TO ALL INVOLVED!

The team from Ronald McDonald House SEQ were set up at the 10th tee off where you could purchase a birdie, eagle or albatross and if you did were also offered a cheeseburger.

mga.asn.au | June 2019 | Edition 4

INDUSTRY NEWS

NATIONAL

RBA warns of ‘lock-out’ risk from the rise of phone payments The Reserve Bank has warned that growth in payments driven by smartphones, watches and other wearable devices must not stifle competition, as this would push up costs for business.

As more consumers move towards using their smartphone as a “digital wallet”, payment scheme eftpos has recently complained that they are too often being excluded in favour of Visa and Mastercard’s debit payment systems, and the RBA has recently echoed these concerns.

as had occurred previously.

RBA’s Michele Bullock, an assistant governor with responsibility for the financial system, said that the shift to tap-and-go payments had caused payment costs for businesses to rise.

“As payments move to different forms factors, such as mobile phones or wearables, and new technologies are introduced, there is a risk that some may use it as an opportunity to lock out competitors,” Ms Bullock said.

This happened because there was a sharp increase in payments going via the higher-cost Visa or Mastercard network instead of through eftpos

She said most banks were now dealing with this issue by giving businesses the option to divert these payments via eftpos, but the RBA was closely watching the next shift towards “digital wallets.”

The Reserve Bank is of the view that in moving to new technologies, merchants and consumers should

continue to have a choice of debit card network. “The Reserve Bank is of the view that in moving to new technologies, merchants and consumers should continue to have a choice of debit card network. Rules or policies of any scheme that have the effect of removing choice will reduce competition and result in rising costs to merchants,” she said.

The RBA would keep a close eye on the debit card market, she said, to make sure there was a level playing field and would work with the Australian Competition and Consumer Commission to detect any anti-competitive conduct.

Queensland Small Business Week — 27-31 May organised a unique combined industry event to wrap up Queensland Small Business Week.

MGA and the MGAQ Committee committed to working with the Queensland Small Business Minister, Hon Shannon Fentiman MP, to support and promote Queensland Small Business week that commenced on 27 May. The final event for Queensland Small Business week was an exhibition of local food growers, producers, manufacturers and local beverage producers such as boutique brewers and wineries. This prestigious event was held in the Boggo Road Gaol, Dutton Park, between 4.00pm and 7.30pm on Friday 31 May 2019.

Emma Rice from the Queensland Small Business Unit, together with her team,

The purpose of this event was to showcase and demonstrate to ministers, MPs and the public, not only the high quality of locally produced foods and beverages but how well local Queensland businesses can work together in the one location, in an ecosystem, toward helping each other grow their businesses.

This event was a Queensland showcase for what can be possible to drive economic growth within an ecosystem of small Queensland businesses, most of all for independent supermarkets.

All three industries were showcased in a venue that demonstrated the potential of a strong small business

ecosystem working together to grow each other’s businesses.

Guest speakers at this event included Minister Shannon Fentiman, MGAQ Committee member and model local Sunshine Coast business supporter, Roz White, David Kitchen, President of the Queensland Independent Brewers Association (Ballistics Brewery) and a member of the Queensland Wine Industry Association.

Minister Fentiman officially welcomed attendees and outlined the picture of success for independent supermarkets to be able to support local producers – food and beverage, as well as, encourage creative thinking, facilitate innovation and applaud thought leadership.

37

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INDUSTRY NEWS

39

NATIONAL

The return of Michaelia Cash provides some much-needed continuity for small businesses.

The Australian Small Business and Family Enterprise Ombudsman, Kate Carnell welcomes the return of Senator Michaelia Cash to Cabinet as Minister for Employment, Skills, Small and Family Business.

Image source: manmonthly.com.au

working through with Senator Cash.

“Senator Cash’s return as Small and Family Business Minister demonstrates the importance of this sector in Australia, getting on with the important work that’s already begun since the Minister’s initial appointment,” Ms Carnell said.

“Small business has been crying out for certainty, and now they want to see the federal government follow-through on its promises to small business and get the job done.

“Minister Cash ‘gets’ small and family business and has already shown true commitment to the sector.

“There are a number of small business issues we are particularly keen on

“Small businesses have told us their major concerns are tax cuts, energy prices, cash flow, finding the right people with the right skills to employ and simplifying industrial relations so they can more easily employ.

“Access to affordable capital is fundamental to the growth of small to medium enterprises (SMEs), so the delivery of the Australian Business Securitisation Fund and the Australian Business Growth Fund is essential.

“The delivery of the government’s payment times policy is crucial to small businesses, as is the continued downward pressure on power prices.

“It’s encouraging to see ‘skills’ included the Minister’s new title. Investing in change to address the needs of rural and regional small businesses

in particular will create productive communities.

“And we will continue to work with the government to deliver greater access to justice for SMEs. “We welcome the opportunity of working with Attorney-General and Minister for Industrial Relations on the simplification of Australia’s workplace relations.

“We have identified a number of simple steps to tackle the overly complex industrial relations system for small businesses that would make a real difference to the sector.

“We look forward to working closely with Senator Cash and her team to continue better outcomes for the engine room of our economy.”

Source: Australian Small Business and Family Enterprise Ombudsman.

40

LEGAL AND HR

Scanning Code of Practice kits available now!

NATIONAL

Scanning Code of Practice If an item scans at a price higher than the shelf price you are entitled to receive that item free of charge.*

Scanning Code of Practice

Where multiple identical items are purchased, you are entitled to receive the first item free of charge and the remaining items at the correct shelf price.* If a Scanning Code of Practice matter cannot be resolved at store level ask for a feedback form or contact MGA on: 1800 888 479 * Conditions apply. For details, enquire at the Service Desk.

Scanning Code

For computerised checkout systems in independent supermarkets

Scanning Code of Practice If an item scans at a price higher than the shelf price you are entitled to receive that item free of charge.* Where multiple identical items are purchased, you are entitled to receive the first item free of charge and the remaining items at the correct shelf price.* If a Scanning Code of Practice matter cannot be resolved at store level ask for a feedback form or contact MGA on: 1800 888 479. * Conditions apply. For details, enquire at the Service Desk.

Scanning Code

Scanning Code

Our Scanning Code of Practice kits come complete with everything that your business needs to ensure you are delivering the best service and value to your customers.

The kits come complete with a handbook, posters and stickers that come in a variety of combinations for you to choose from, so you can select the most effective option for your business.

GET YOURS ONLINE NOW! MGA.ASN.AU | 1800 888 479 mga.asn.au | June 2019 | Edition 4

INDUSTRY NEWS

NATIONAL

Protecting your business from payment scams Being able to accept payment by credit or debit card is essential in today’s world. But businesses need to guard against scammers whose actions may cost them dearly.

Cashless payments have become the norm for Australian businesses.

Customers expect to be able to pay for goods and services by credit or debit card − or even by way of mobile app − however little they cost. Businesses that don’t offer electronic payment facilities, or have a merchant terminal, may well lose sales as a result.

But while the electronic payment system is efficient and convenient, for businesses and customers, it can also be targeted by criminals looking for a quick dollar.

It’s important to be alert to payment fraud and to take steps to protect your business against it. Failure to do so may result in your business being left out of pocket for chargebacks and value of fraudulently obtained good and services.

Educating yourself about payment scams Criminals can be very creative.

Some devote considerable energy to identifying and exploiting potential weaknesses in the electronic payment system. Here are a couple of ways they’ve managed to exploit unsuspecting Australian businesses.

Terminal takeover Temporarily ‘taking over’ the merchant terminal can allow scammers to re-key a transaction amount, or pay for goods and services using a stolen card number. One Gold Coast cafe found this out the hard way when two diners came to pay for their $25 breakfast and insisted on holding

the terminal ‘for security reasons’.

While one customer distracted the cashier, the other cancelled the original transaction, entered another for $2,500 and made payment by manually keying a stolen card number into the terminal. After receiving a receipt which showed he’d been charged $2,500, the customer demanded an immediate refund.

He insisted this be paid onto his companion’s card as he himself was late for work. Hoping to defuse the situation, the cafe owner agreed to do so, only to receive a chargeback notice a week later when the owner of the stolen card reported the transaction as fraudulent.

Third party payment scams Processing payments on behalf of third parties can also be costly. It certainly was for one Sydney dance school owner. After exchanging numerous emails with a potential client, he agreed to accept credit card payment over email, including an extra payment for the driver responsible for driving the family’s children to their weekly lessons on their tuition bill.

Apparently, the driver didn’t have his own merchant terminal.

Prior to classes commencing, the owner processed the family’s payment of $1,200, comprising $700 for lessons and $500 for the driver, using credit card details that had been emailed through. The next day, the driver arrived and collected his $500 in cash.

But the family’s children subsequently failed to turn up for their lessons and emails to the ‘parent’ who’d booked

them went unanswered. The following week, the dance school was notified the card details had been stolen. In addition to the $1,200 chargeback, the business was out of pocket for the $500 paid out in cash.

Stopping scammers in their tracks Being alert to fraudulent payment activity can reduce the chances of your business falling victim to scams. Here are some simple tips to follow:

• Keep payment terminals behind the counter. Don’t allow customers to edit or manually enter transactions and, if you don’t require the key entry feature on your terminal, ask your banker to switch it off.

• Never accept payments on behalf of third parties, or for services you did not provide.

• Don’t agree to forward payments to other businesses.

• Don’t allow people to leave debit and credit card details with you for processing after they’ve left the premises.

• Never refund money to a card other than the one originally presented.

• Educate your staff about scams by discussing scam alerts and instances of fraud.

• Trust your instinct – if you have

concerns about a transaction, contact your bank for guidance.

To learn more about protecting your business from fraud and scams, visit the NAB Security Hub. Source: NAB

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LIQUOR NEWS

43

NATIONAL

Hahn launches latest beer in iconic range Hahn continues its 31 year history of pushing the boundaries with the launch of Hahn Ultra Crisp – the latest chapter in Hahn’s brewing story.

The product? A full-strength 4.2% ABV, full-flavoured lager that is not only lower carb, 99% sugar free, preservative free… but also gluten free. Created using a groundbreaking multi-million dollar brewing process five years in the making, this lager is brewed entirely from rice, making it appealing to the increasing number of consumers looking for a lighter way to enjoy full strength beer, without compromising on taste.

Endorsed by Coeliac Australia as gluten free and appropriate for those with coeliac disease, all the ingredients in Hahn Ultra Crisp are also naturally gluten free with additional vigorous testing ensuring no traces of gluten are present.

Jeff Potter, Lion’s Brewing Research and Development Director said the design of Hahn Ultra Crisp was driven by demand for great tasting beer that meets the evolving needs of Australian beer drinkers.

“There are some beers out there which use rice as part of the grain mix to balance the flavour, but we are the first in Australia to create a beer that is brewed entirely with rice, instead of grains like wheat or barley. The challenge for us was to work out how to make Hahn Ultra Crisp taste great without using the traditional grains which usually produce the flavours of beer as we know it.

“Once we figured that out, it was

a matter of creating the perfect combination with aromatic hops and a specially chosen yeast, and the result is a crisp, dry beer with light citrus aromas and a clean finish that holds its own when it comes to flavour,” Potter said.

Amy Darvill, Lion’s Brand Director for Classic and Contemporary beers, said Hahn is excited to continue evolving to meet the needs of the modern beer drinker, and in doing so launching a product which will be truly incremental to the beer category.

“Just as the low carb beers like Hahn Super Dry did over 12 years ago, Hahn Ultra Crisp will change consumer expectations around beer and bring hundreds of thousands of Australians with a gluten intolerance into the beer category.

“Hahn has always been at the forefront of brewing innovation to create products that consumers want, including Hahn Premium, Hahn Premium Light, Hahn Super Dry and Hahn Super Dry 3.5. As much as we love these brands – they were all launched a long time ago.

Our drinkers’ needs have changed, and we need to respond to them,” Darvill said.

Hahn Ultra Crisp was available from February from leading retailers around the country. It will have an RRP from $17/330mL 6-pack and $47/330mL 24-case (plus CDS if applicable).

For further information please visit www.hahn.com.au, or follow Hahn on Facebook and Instagram.

DrinkWise partners with AFL to promote responsible attitudes towards alcohol Australians love to socialise and attending events takes up much of our recreation time. Through the You won’t miss a moment if you DrinkWise initiative, DrinkWise continues to establish new partnerships and enhance existing relationships with industry, sporting codes and music festivals, to remind consumers about the importance of moderation at events.

2019 is the third consecutive year of our partnership with the AFL. This partnership, which includes ownership of the DrinkWise Score Review, allows us to promote responsible attitudes and behaviours towards alcohol consumption via messaging at grounds and during telecasts.

The DrinkWise Score Review will be supported by on-ground signage, messaging in the Footy Record and placement of our ‘Unmissable Moments’ ad series with AFL greats Eddie Betts, Damien Hardwick and Nick Riewoldt.

The partnership goes beyond messaging, with both the AFL and DrinkWise working on strategies to improve crowd behaviour at games, to ensure an enjoyable and family-friendly experience for all spectators.

Our partnership with the AFL will also enable DrinkWise to promote our moderation messaging at the Red Centre AFL game in Alice Springs – an annual AFL tradition which showcases indigenous talent while raising awareness and understanding of cultural and social issues in the Northern Territory.

Source: Simon Strahan | DrinkWise CEO

INTRODUCING

HAHN ULTRA CRISP is an easy-drinking, lower carb lager brewed with a revolutionary new process using rice instead of the standard barley or wheat to create a cleaner, crisper tasting beer that is Lower Carb, Preservative Free, 99% Sugar Free & Gluten Free.

A refreshing new full strength lager with a clean crisp taste.

THE

NEXT GENERATION OF BEER

*35% less carbs than regular beer

INDUSTRY NEWS

NATIONAL

MGA welcomes a wealth of experience to the team!

WELCOME JENNIFER CASLEY

WELCOME CLAIRE WILSON

LEGAL AND HR SERVICES LAWYER

TRAINER AND ASSESSOR

Jennifer recently joined the MGA Legal and HR team in May 2019. Jennifer is a solicitor of the Supreme Court of Victoria and holds a Graduate Diploma in Legal Practice from Leo Cussen Institute.

Welcome to our new trainer and assessor, Claire.

Jennifer has had a variety of experiences prior to joining MGA. She was trainee lawyer at a major immigration law firm, and also worked as an insurance paralegal. Most recently, she was working as a legal/ HR assistant in the management team of an electrical goods distribution company.

Jennifer’s role as internal legal contact involved working with an external company lawyer on various commercial and intellectual property matters.

One of Jennifer’s major accomplishments has been overseeing the construction of a new warehouse from execution through to completion, and post completion.

Throughout her studies at Monash University, Jennifer volunteered regularly at Monash Oakleigh Legal Service and now continues to mentor Monash law students at the clinic.

Outside of work, Jennifer enjoys exercising her creativity by playing the piano and guitar, as well as singing and songwriting. She also regularly undertakes ballet classes.

Jennifer is proficient in Spanish and enjoys international travel. She has recently travelled to Italy, France and Argentina and hopes to continue to see the world and learn about different cultures.

Jennifer looks forward to supporting our members and their businesses.

Claire’s background is in hospitality, events, business and customer service, and she has worked in a range of environments from wedding venues, hotels and small businesses.

Claire joins the MGA team with over a decade of experience as a trainer and assessor delivering a range of qualifications to different cohorts – face to face and online, teens to adults and everything in between.

Her objective in training is giving people skills and knowledge within the workplace to support them for their own jobs, but not only that but using these skills and knowledge in other parts of their life. In return, this offers rewarding experiences and growth within any team environment.

Claire assists in offering solutions and pathways, when possible, to broaden and support individuals and businesses alike.

If she doesn’t have a solution straight away, she will find one for you! Claire thrives on being part of the learning journey and meeting new people.

Claire does have a tendency of injecting emails with smiley faces and is always ready for a chat.

Claire’s interests are cooking (but not being MasterChef), food and wine, spending time with her family and friends, horse riding and watching her son play football.

Claire looks forward to supporting you in your future training endeavours.

45

INTRODUCING ICE BREAK BOLD ESPRESSO Ice Break is #1 IN QLD* and #2 NATIONALLY^

Iced coffee is MASSIVE and makes up 54% of total flavoured milk sales# (meaning it’s important for category growth)

Real & strong with 3 shots of dark roasted Robusta coffee blended with fresh full cream milk

Ice Break BOLD Espresso

PACK SIZE

PRODUCT CODE

EAN

500mL

60734

9310036060734

For more information please contact your Parmalat Territory manager, OR PHONE: 1800 000 256 FAX: 1800 335 188 EMAIL: sales@parmalat.com.au

IN M SU AR PP KE O TI RT NG

NEW PRODUCT

$2 M

*Iri Aztec Data Grocery & P&C MAT to 17/09/17. ^SOURCE: IRI Aztec, MAT 26/11/17, Volume, Total Grocery + P&C Flavoured Milk. # IRI Aztec, MAT 26/11/17, Volume, Total Grocery + P&C Flavoured Milk.

INDUSTRY NEWS

47

NATIONAL

Corporate Partner Profiles The following corporate partners offer great products and services and are strong supporters of MGA. Your support of their businesses is greatly appreciated and encouraged. Support those who support you!

We make the complex simple.

One company, multiple solutions. Founded on the guiding principles: integrity, honesty and trust.

Retail Technologies Point of sale, back office and head office software.

Professional Service IT consulting & sales, help desk support, CRM design & development, digital applications.

Cloud Technologies Microsoft Azure Stack Hybrid, Private & Public Cloud, Microsoft & Office 365, Infrastructure / Platform / Software-as-a-Service and Data Centre Colocation.

Connectivity & Security Phone, internet services, cabling, networking and connectivity, security cameras / monitoring hubs, digital security, virus and threat minimisations systems, risk analysis and disaster recovery planning.

Contact GPK today.

1300 000 475 | info@gpkgroup.com.au

20 years, I was very sceptical about receiving better insurance cover from Adroit Insurance.

After much reservation, I was convinced to at least get a comparative quotation from Adroit.

To my amazement, they were not only many, many $000’s cheaper but also provided me with more added cover! I have since used Adroit for all my 4 stores and would highly recommend other members to at least put Adroit to the test by getting a quotation on your business insurance needs.

No matter the need we’ve got a tailored solution to suit. Let us do the hard work and you rest easy knowing that your business is protected from any unexpected occurrences.

Let the team of insurance experts deliver a quick and easy no obligation quote for the insurance solution that suits you.

What do MGA members say?

I have had the same insurance broker for over

Joel Middleton 0432 593 390 | joel@mbrefrig.com.au Shaun Davis 0447 981 921 | shaun@mbrefrig.com.au

Aussie NRG can provide solutions to diminish the costs associated with your electricity bill with their extensive range of services.

MB refrigeration is a highly motivated and enthusiastic team of refrigeration experts, with over 40 years’ combined experience in commercial refrigeration.

The experienced team have vast refrigeration expertise and specialise in supermarket installation and service. They are ready, willing and able to assist with any of your commercial refrigeration requirements.

mechanical and BMS

At Adroit, we have created a series of business insurance solutions to ensure that you get the best cover for your business needs.

• Re-commissioning of existing systems

Contact 1300 402 753 | myadroit.com.au

• Holistic supermarket builds – Refrigeration

Every business has its own unique set of risks as part of its corresponding industry and individual needs.

plant and equipment

Albert Di Pietro – Owner Nillumbik Cellars

Specialists in:

Business Insurance No two businesses are alike, even within the same industry.

• Plant optimisation • Design and manufacture of refrigeration

• Natural refrigerant (Transcritical Co2) installation/commissioning & service

• New store fit outs • Refurbishment of existing stores • Preventive Maintenance Programs (PMP) • 24 hour service department • Sales of refrigeration cabinets • Heat reclaim services • Consultant services • Refrigeration energy auditing • Energy saving solutions such as plant

optimisation, refrigeration display cabinet doors, LED lighting, high efficiency fan motors,

• Design and engineering of supermarket systems

A partnership with MGA Independent Retailers has allowed Aussie NRG to extend its reach across Australia, providing MGA members with the unique services it offers as well as their own existing energy reduction practices.

Here’s what one of our members said after a recent interaction with Aussie NRG: “I just wanted to thank you, and especially Angela, for the assistance we were given by Aussie NRG upon receiving an enormously high power bill, after not receiving a bill at all for over 100 days.

Angela arranged for me to swap suppliers but not just that, she was able to negotiate a backdating of the new supplier’s commencement date, and a shorter billing period of the original supplier. This resulted in savings to IGA Creswick of approximately $9,000 for 7 months. These savings will increase going forward due to the new supplier having cheaper rates.

Thanks again Max, I think that is now over $100k Aussie NRG have saved us over the last 5-6 years.”

Steve Sellars Owner | Director, IGA Creswick Plus Liquor Get in touch with Aussie NRG for more information on bill audits, metering, group buys, load factor reset, tariff reset, usage audits and solutions to save you money on your energy bills.

1300 440 224 | contactus@aussienrg.com

INDUSTRY NEWS

NATIONAL

Smash and grabs — is your business ready?

Move over Bitcoin – tobacco is fast becoming the new criminal currency.

With the ever-increasing cost of tobacco in Australia criminals are now targeting tobacco for their illicit activities. Unfortunately, this means supermarkets and liquor stores are high on the criminal’s radar for potential robberies.

In January this year, The Australian newspaper confirmed the ATO estimates that black market tobacco accounts for approximately $600m a year in lost excise revenue, which equates to 30,000,000 cigarette packs annually.

Susan Black, Commander of Special Investigations at the Australian Border Force, said: “Tobacco is one of the highest-taxed commodities in Australia and across the world. It’s currently taxed at $0.81 per stick, and by 2020 that will go up by another 12%.” This will only add further fuel to the blackmarket tobacco trade in Australia.

Unfortunately, when supermarkets or liquor stores are targeted by criminals the results can be frightening and the repair costs significant. We have seen serious property damage caused by smash and grabs, in some cases, the property damage and the loss of income has been a higher loss for the business than the value of the cigarettes stolen. In the unfortunate

event of an aggravated robbery staff can be left with long-lasting mental and/or physical injuries.

Insurers have seen an alarming spike in tobacco-related claims against supermarkets and liquor stores in the past few years and they expect this trend to increase moving forward. The main losses include stolen tobacco stock, the cost of repairing property damaged such as a car being used as a battering ram to gain access, as well as cover provided for loss of revenue for any downtime experienced. There are several cases where business owners have experienced multiple robberies as criminals identify them as easy targets.

Here are 10 tips stores can implement to minimise their risk moving forward: 1. Review the value of tobacco kept on premises.

2. Consider lower tobacco stock values with more frequent deliveries.

3. Install bollards at all entry points, including any side and back doors.

4. Move to portable tobacco cabinets which can be moved to strong rooms overnight.

5. Additional tobacco stock always stored in a strong room.

6. Strong rooms need to be purpose built for security – not just a locked storeroom.

7. Limit the number of staff who have knowledge of, or access to, the strong room.

8. Confidentiality agreements for staff who have access to the strong room.

9. CCTV, visible security signage, motion sensors alarms, all with back to base monitoring.

10. Internal and external pull-down gates or shutters for exposed areas.

Adroit Insurance & Risk is MGA’s recommended insurance advisor for members. We understand the risks you face and we have tailored products to give you the right protection all at exclusive member prices.

Contact us today to find out more 1300 402 753 | myadroit.com.au

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PROTECTFOGCANNON.COM.AU

THE ULTIMATE DEFENCE AGAINST THEFT What does a business do when alarm systems and CCTV Cameras aren’t stopping the crimes they were meant to? The answer might not be what you would expect: a PROTECT FOG CANNON™. Yes, fog!!

More and more businesses are turning to fog to protect their employees and businesses from robberies and burglaries as it stops the crime before it happens. And, if you’re thinking about fog to protect your business, there is no better company to speak to than PROTECT Fog Security. As the industry leader of PROTECT Fog Cannons™ in the world, with over 100,000 units installed world-wide — companies such as BP, Mobil, Caltex, Z Energy, Champions IGA, Telstra, Louis Vuitton and hundreds of small family businesses have become part of the ‘fog-revolution’.

A PROTECT Fog Cannon™ can be integrated with any existing alarm system and provide the one thing that alarm systems and cameras don’t: the ability to stop a crime before it happens.

By releasing fog at a high rate, PROTECT Fog Cannons™ are capable of filling your store with enough fog in 30-60 seconds to reduce visibility to the point where it’s impossible to see what the burglar came to steal.

The New Zealand Police hailed the scheme a success after the PROTECT Fog Cannons™ stopped three burglaries in three weeks. “It prevents offenders from getting anything” said Detective Sergeant Kevin Tiernan. And one of those businesses that had the unit installed credits it with saving his life after burglars entered his business and threatened him with hammers and a knife.

I think the PROTECT Fog Cannon™ saved me. It was so helpful, it was a dangerous situation that could have ended with a very different outcome.

– Rajat Sehdev, Owner, Pleasant Heights Supermarket And, in Australia, Champions IGA Group have been very happy with the installation of their PROTECT Fog Cannons™ The fog system, like cameras and alarms, has become a critical step in ensuring that if a thief does get in, the fog ensures they cannot see what they came for.

– Brendan Goddard CEO, Champions IGA Group The results of PROTECT Fog Cannon™ technology speak for themselves, so it seems you just have to ask yourself one question: When thieves come to your business to steal and vandalise is your business secure?

In 2018, the New Zealand Government decided to use $1.2 million dollars of their budget to subsidise the installation of PROTECT Fog Cannons™ into 400 of convenience stores most likely to be targeted for robbery. So successful was the program, that they increased that number to over 600+ PROTECT Fog Cannons™ just 6 months later.

For more information on how PROTECT Fog Security can secure your business, visit PROTECTFOGCANNON.COM.AU

We cannot stop this...

…but we can PROTECT what the burglars came for!

2019 MGA Course Guide is available now!

The complete 2019 MGA Training Course Guide is now available outlining all our courses on offer to keep your business and staff compliant.

MGA Industry Training courses are practical and relevant. Delivered and supported by accredited, specialist staff, who work in partnership with industry to ensure we offer modern, up to date training that complies with legislation.

Available as both online and face to face courses, MGA Industry Training provides the flexibility to suit your individual or organisational needs.

GET YOURS ONLINE NOW! MGA.ASN.AU | 1800 888 479