Coles says its not going ‘cashless’ after ‘cash process update’ sent to staff

There is a potential for Coles supermarket and liquor stores to temporarily become cashless over the Easter long weekend due to “industry wide” issues.

Staff at Coles supermarket and liquor stores have been warned they may have to temporarily convert to “card only” sales over the coming days amid “industry wide challenges” with cash movements.

A “cash process update” memo, recently shared to social media by a Coles liquor worker, was sent to stores across the country informing staff of temporary changes being put in place from March 27 to April 5.

However, Coles has reiterated that these steps are temporary and do not mean the supermarket giant is going cashless.

The move comes amid claims from major currency management service provider, Armaguard, that it is at risk of insolvency as Aussies continue to use less cash in the daily lives.

The memo shared online was specifically sent to Coles liquor stores, which includes Liquorland, Vintage Cellars and First Choice.

The memo on the cash process update was sent to staff at Coles supermarket and liquor stores. Picture: Reddit

The memo informed staff that cash collections from Armaguard would be paused from March 27 to April 5. Picture: Reddit

On Tuesday, workers were instructed to consolidate the use of cash to a single register, noting that from today and through to Friday next week, all cash collections from Armaguard would be paused.

According to the memo, if cash reserves become low during this time, staff have been instructed to convert the store to “card only” by printing and displaying notices at open registers.

Each customer should then be reminded that cash may not be used prior to starting the transaction.

If a customer questions why cash purchases are not being accepted, staff are instructed to say: “Our change reserves have been impacted by a decline in cash transactions, along with industry wide challenges with cash movement services. All card purchases are still accepted.”

Stores that share services with Coles Supermarkets will be able to source change through these locations while available.

A Coles spokesperson said “industry wide challenges” with cash movements were the reason behind the temporary advice being put in place.

“We are not transitioning to cashless transactions. Due to industry wide challenges with cash movements, we are taking some temporary steps to prepare for disruption to Armaguard services,” the spokesperson said.

“Cash transactions continue to be available in all Coles supermarkets and Coles Liquor stores.”

A Coles spokesperson said the supermarket giant is not transitioning to cashless payments.

The decreasing use of cash across the country has been a hot topic in recent years, with Dr Angel Zhong, an associate professor of finance at RMIT, predicting Australia could become “functionally” cashless by 2030.

“That means cashless payment will become the dominant way of payment,” Dr Zhong told news.com.au.

“But it does not mean that cash as a legal tender will lose value or disappear from society.”

She explained in a functionally cashless society, the percentage of cashless payments will be over 90 per cent, making cash payments rare.

Dr Zhong said Australia was leading the way globally.

“We have surpassed the US and Europe in the adoption of digital payments,” she said.

“We are also the birthplace of large scale Buy now pay later services, such as Zip and Afterpay.”

Contrary to claims often shared on social media, businesses in Australia can choose what payments they accept, including whether or not they accept cash.

However, the Australian Competition and Consumer Commission (ACCC) says consumers must be made aware of these terms and conditions before they make a purchase.

“Businesses should be clear and upfront about the types of payments they accept, and the total minimum price payable for their goods and services,” the ACCC website states.

Originally published as Coles says its not going ‘cashless’ after ‘cash process update’ sent to staff