Travel industry support: Pat Conaghan Cowper MP pushes for package to go to Federal Cabinet
Australia’s eroding travel industry sector has reached a critical point in its journey, and now Cowper MP Pat Conaghan is taking the matter to the top. He is lobbying the support of other Nationals colleagues - including the Deputy Prime Minister - for a Federal cabinet meeting.
Mid-North Coast
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Empty travel industry outlets scatter the Mid-North Coast’s business districts, and those that are operating, do so on revised hours, minimal staff and reduced wages.
The state of the nation’s travel sector is dire. Australians working in travel-related businesses are facing significant pressures from the impact of COVID-enforced travel bans and restrictions on border movements.
There’s essentially nowhere — other than government — for the sector to run to, given it relies so heavily on overseas markets to operate. The industry, unlike other sectors, simply can’t pivot and sail through the headwinds.
It’s an issue Cowper federal National MP Pat Conaghan has seen hit his electorate harder than anything else, and now he’s taking the matter to the top.
“After meeting with travel agents from my electorate in September and facilitating a zoom meeting with travel representatives from across Nationals and LNP electorates recently, the Nationals Members of Parliament have discussed the industry’s plight and are calling for an industry-specific support package,” he said.
Still in its infancy, details of the package are not yet known, however conversations are manifesting between Mr Conaghan, the peak industry body — The Australian Federation of Travel Agents (AFTA) – and Deputy Prime Minister and Conaghan’s Nationals colleague, Michael McCormack.
The end goal is to put together a proposal on industry-specific measures and table this to the Federal cabinet.
Mr Conaghan said he is acting not only on behalf of affected businesses operating in Cowper, but for all regional and rural (mostly women) and men who work in the sector.
“Travel agents were one of the first businesses to be affected by the coronavirus pandemic and they will be one of the last to recover being dependent on international borders opening for their business,” he said.
“I want the travel industry to know the Nationals have your back and we appreciate 40 per cent of your travel agencies operate in regional and rural Australia and 80 per cent of your workers are women,” he said.
The Australian travel industry is made up of approximately 4000 businesses and it employs about 40,000 Australians.
Travel agents currently have only domestic tourism products to sell, drastically reduced revenue, no time-frame for the industry to recommence and limited avenues to pivot their business operations to gain new sources of revenue.
According to (AFTA), agencies have continued to process travel credits and refunds for Australians over the past eight months, despite having to return the commissions earned on these sales, and have been integral in assisting Australian residents to return home from overseas.
AFTA CEO Darren Rudd said There is still $4 billion owed to Australians in refunds from internationally based airlines, hotels and tour operators.
“Travel agents have successfully secured $6 billion back for their customers already,” he said.
“It’s a process that is complex, frustrating in the current circumstances and time consuming.
“Travel agents are doing this for free while continuing to bear the associated operating costs.
“Without tailored support, this already financially untenable situation becomes unbearable. If travel agents are forced to close their doors, not only will more jobs go but who will look after those consumers still waiting to get their money back?
“This is why we are so grateful for every bit of support including from so many MPs including Pat Conaghan in raising the desperate need of travel agents and travelling Australians.”
Last month, The Mid-North Coast News spoke to travel agent Robyn Flanagan, who said a government bailout to help rescue the travel industry from the clutches of COVID-19’s economic stranglehold was needed by Christmas.
“We are now going into our slow period,” she said. “This is traditionally the time where we don’t make any money until February … what the hell is it going to like by then if don’t get any help?”
Domestic travel, she said, will only allow her business - Wauchope Travel - to survive for so long. It’s the major markets in Europe and the US which have really hurt the bottom line.
“It’s the UK, it’s the US, it’s Europe and it’s cruising.”
“It’s a really unviable business model at the moment. What we need is just to be propped up, we need to be able to sell, we need product.”
Despite the economic carnage that the industry has had to withstand, she remains hopeful.
“We will come back … we won’t come back with bang, it will be slow, but we will come back.”