COSBOA has raised concerns that the focus on the biggest supermarkets as a source of essential products for consumers is creating a potential health risk, as more people congregate in a smaller number of retail premises.

COSBOA says it supports the government in its approach on confronting health issues as the priority, but says that it needs to be inclusive when consulting business and industry on solutions. 

“Our understanding is that people need to stay away from each other as best they can, yet we see the big supermarket chains of Coles and Woolworths becoming hubs for people to purchase material while the smaller supermarkets, convenience stores and service stations in the suburbs are treated as secondary outlets,” Peter Strong, CEO of COSBOA, stated.

“It has reached the stage where the larger supermarkets are allocating special times for older people to shop bringing this vulnerable group together in large numbers. Wouldn’t we be better having people travel less distance for their necessities and meet less people as they do so?”

“The recently formed Supermarket Taskforce based in the Department of Home Affairs has been tasked with ensuring supplies are maintained to supermarkets but as Coles and Woolworths are the retailers on the task force we feel there will be less of an emphasis on supply to all outlets then there might be. This includes local butchers and specialised food outlets.”

Mr Strong added, “We need to ensure the needs of all outlets are considered, not just the big ones. The health issues and social distancing is much more easily achieved in the suburbs. The home delivery services and support of aged care facilities by the local butchers and grocers and other outlets is rarely mentioned but is vitally important. They must have the product to maintain support to the community in these times. We are hearing that the duopoly have cornered the market on items such as Perspex, needed for safety barriers and have purchased whole farm lots of potatoes. This creates problems for small business in the suburbs.” 

Mr Strong also acknowledged the real problems in staffing facing these smaller outlets. “This is not about a lack of employees, as most suburban stores have employees from their local area,” he said. “Yet many of the smaller convenience stores and butchers, pharmacists and other businesses need to open longer hours to maintain services and deliver goods as they develop new business models, products and behaviours to deal with the crisis. They want to extend trading and working hours for sales, repacking shelves, deliveries and product preparation but the high penalty rates are limiting the speed of reaction and the lack of flexibility with reallocating staff is also creating real difficulties in management of product and costs. The workplace relations system is responding too slowly to this crisis. Someone needs to step in now to create certainty for supply to suburban businesses and for employment to ensure access for vulnerable consumers in a safe environment.”

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