A raft of relaxed rules introduced during the COVID pandemic – such as takeaway alcohol services, 24-hour retail deliveries and flexible long service leave schemes – are set to stay and will boost the state’s economy by more than $3 billion in the next 10 years.
New analysis from the NSW Productivity Commissioner, to be published on Tuesday, found many reforms driven by the pandemic had “provided significant direct benefits to the community and an ongoing boost to the economy” by digitising key services and giving both workers and businesses more flexibility.
A suite of planning measures will give businesses greater flexibility.Credit: Edwina Pickles
Commissioner Peter Achterstraat calculated that the economic benefits of retaining several COVID measures would reach $3.1 billion in the next decade and has urged the government to keep experimenting with ways it can cut red tape.
“As we transition to living with COVID-19, our paper highlights the need for governments to continue to experiment with regulatory changes that promote new ways of working and living,” he said.
“This will help grow the economy and improve standards of living for the people of NSW.”
The government has committed to relaxing takeaway and home-delivery alcohol rules for licensed restaurants or bars, but with slight caveats compared with the measure from 2020 that allowed small bars to deliver cocktails directly to Sydney’s doorsteps.
NSW Productivity Commissioner Peter Achterstraat has found some responses to COVID have delivered productivity benefits.Credit: Edwina Pickles
Those businesses would be able to sell takeaway or home delivery alcohol limited to one bottle of wine, a six-pack of beer or equivalent, and only with an accompanying food order.
The amended rule would deliver $197 million to the economy, after considering both consumer spending and alcohol-related harms, the analysis said.
Achterstraat found the changes that would deliver the biggest benefits to the economy were those that delivered employment flexibility, specifically by giving employees more ways to access benefits such as long service leave.
Workers can now choose to take long service leave in smaller blocks – such as one or two days a week, or several smaller blocks – and an employer can agree to less than one month’s notice. This is set to deliver $1.9 billion to the economy alone over a decade.
A suite of other planning measures will give businesses greater flexibility – and generate $250 million over 10 years – by allowing restaurants or commercial kitchens to operate “dark kitchens” for food delivery, permitting food trucks to operate at any time with a landowner’s consent, extending retail hours, and enabling 24-hour retail supply chain deliveries.
Achterstraat’s analysis also found improvements to digital processes trialled during the pandemic would deliver $700 million in benefits over a decade.
Allowing regulatory interviews by government agencies to be held via audio-visual link, for example, would deliver $6.5 million, while letting certain conveyancing documents be electronically signed would generate $195 million.
Moving strata and community land association meetings online, with an option for electronic voting, could yield up to $213.6 million over 10 years.
NSW Treasurer Matt Kean said the analysis had outlined the ongoing benefits of those COVID measures and would help inform future regulations.
“Measures such as supporting businesses with more flexible retail operating hours and improving how people access long service leave have provided much needed support during the darkest days of the pandemic,” he said.
“I look forward to hearing from regulators, the community and business representatives about future reform opportunities.”
Achterstraat said he was pleased the government had taken the commission’s recommendation to make some of the measures permanent following a thorough evaluation process.
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