New ABS data reveals suburb-level financial impact of Sydney’s Covid-19 lockdown

The Sydney suburbs where workers have been hit hardest by the lockdown are revealed in new data from the Australian Bureau of Statistics.

Fairfield has felt more financial pain than anywhere else in Sydney since late June, with a 14.9 per cent fall in the official payroll index.

According to The Daily Telegraph’s analysis of Australian Bureau of Statistics data released Thursday, Canterbury has been next hardest hit, with a 13.3 per cent dive, followed by nearby Bankstown, with a 12.5 per cent reduction.

The results reflect the fact that these areas have faced the most severe restrictions on personal and business activity.

Empty streets at Fairfield. Picture: NCA NewsWire/Joel Carrett

Local businesses say the Fairfield has been turned into a ghost town. Picture: NCA NewsWire/Joel Carrett

The parts of Sydney with the smallest falls in payrolls have been North Sydney and Mosman, with just a 5.2 per cent decline.
Leichhardt has had a drop of only 6.3 per cent.

The surprise packet in the results is arguably Blacktown North, with a slide of only 6.4 per cent, given it is among the “areas of concern” as defined by NSW Health.

Westpac senior economist Justin Smirk said “Sydney is being hit at least as hard, if not harder, this time that it was in early 2020.”

The ABS payroll index measures the number of people getting a salary from an employer.

So, if a person is stood down without pay, it would cause a drop in the index.

Fairfield businessman Kevin Chandapanda said he was living “hand to mouth”.

Mr Chandapanda has operated Fairfield Physiotherapy & Healthcare for more than six years.

He said turnover was down by as much as 70 per cent.

“Things have been really quiet,” Mr Chandapanda said.

“Sometimes I have to sacrifice my own money to give it to staff.”

He also engages about a dozen healthcare specialists as contractors and said he was worried about whether they would return once the lockdown ends.

At the moment, the only services his centre is able to provide are in the areas of psychology and psychiatry, via telehealth.

There is strong demand, he said, including from business owners in the local area.

Cafes and other stores had gone bust, he said, but they may be able to return because rents were relatively low.

He said his own landlord had cut rental charges by 30 per cent.

Outside of Sydney, payrolls in Gosford and Dapto have been crunched the most, both falling about 9 per cent.

These areas were put into lockdown well ahead of the imposition of statewide restrictions.

The only area of NSW where more money is going to workers than at the start of the severe restrictions is the Upper Hunter.

Upper Hunter councillor James Burns noted the mining, construction and thoroughbred industries in the district were still able to operate.

“But there’s no doubt people in town are hurting,” Mr Burns said.

As an example, he said Scone had five hairdressers which were unable to trade at the moment.

“That’s a lot of pay cheques that get cut each week. It’s 15 people not getting paid,” Mr Burn said.