Adelaide University study reveals cost of Omicron rules to hospitality sector

An Adelaide uni study has revealed that thousands of SA workers had their jobs torpedoed in December.

More than 10,000 hospitality staff were out of work each day because of “inequitable” rules to stop the spread of Omicron, an industry report found, sparking a plea for the urgent easing of restrictions.

An Adelaide University study, published on Thursday, will reveal the financial burden of the summer restrictions, especially on CBD venues.

The Australian Hotels Association-commissioned report found up to 10,400 hospitality workers a day, on average, lost work after tougher rules were enforced for a month from Boxing Day.

This was equivalent to 1 per cent of the state’s total workforce being unemployed.

South Australian Centre for Economic Studies researchers, who surveyed 90 business owners, found almost half of venues suffered up to a 40 per cent fall in turnover. It found 25 per cent density limits were insufficient for the vast majority of hotels to be financially sustainable.

“As a consequence, venues have suffered considerable financial stress and were at an increased risk of … failure,” it found. An “inequitable nature of restrictions” was a “major point of contention”, it said.

Goody Hotel worker Bianca McDonald with xo-owner Matt Rogers. Picture: Matt Loxton

Owners felt “unfairly singled out”.

“Such restrictions did not apply to other public spaces with similar risk profiles, especially shopping centres, supermarkets and large sporting venues,” the report concluded.

It also found that Omicron risks and restrictions, mixed with SA Health’s messaging, “generated fear and discouraged people from leaving their homes”.

Rule confusion also sparked customer “friction”.

The Goody co-owner Matt Rogers, 57, said trade at his Goodwood pub dropped by almost a third during January’s. “In the 30 years I’ve been in the game, it was absolutely brutal,” he said.

The AHA last week wrote to Police Commissioner Grant Stevens pleading for “urgent assistance” after the relaxing of rules a fortnight ago failed to lift trade.

The Covid-19 Ready Committee will today debate a new tranche of directions, as authorities closely monitor a sudden spike in cases.

SA Health on Wednesday recorded 1958 new cases – 580 extra in 24 hours – after all school classes returned and the Fringe opened.

Despite “conflict” over new rules, senior government sources say changes could be revealed as early as Thursday after sign-off from Mr Stevens.

This may include allowing buffets, singing, dancing and standing up drinking, including at events such as weddings, along with lifting indoor density to 75 per cent.

Full-capacity crowds at Adelaide Oval are also anticipated, while 50 per cent work-from-home rules are under review amid pressure to ease mask use.