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. NATIONAL

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.

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.

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.

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!