Shop Trading Hours Act

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FOREWORD

This discussion document focuses on the Easter weekend as three regulatory frameworks (Shop Trading Hours Act Repeal Act 1990, Sale of Liquor Act 1989, and Holidays Act 2003) create inconsistencies for businesses and the community, including employees and consumers during this period.

As part of the Quality Regulation Review (QRR) the Minister of Justice and Minister of Labour have been asked to report on resolving these inconsistencies. The QRR is the Government's response to acknowledging the critical role played by regulation and regulatory frameworks in shaping the business environment within which economic activity takes place. A key focus of the QRR is not only the removal of unnecessary regulatory constraints on economic growth, but also the need for continuous quality improvement of regulatory frameworks and processes.

Submissions to the QRR, primarily from businesses and industry organisations, highlighted inconsistencies with the Shop Trading Hours Act Repeal Act 1990, Sale of Liquor Act 1989 and the Holidays Act 2003 relating to trading restrictions over the Easter weekend.

The call for changing the rules to address these inconsistencies is most strongly expressed by businesses in those regions or areas that attract significant numbers of domestic holidaymakers and international tourists, but were not included in the list of shop trading exemptions prior to the 1990 law change. Examples of events and places that attract significant numbers of tourists over Easter are Wanaka (Warbirds over Wanaka) and holiday destinations like Rotorua and Hamner Springs.

While there are some exceptions, both the Shop Trading Hours Act Repeal Act 1990 and the Sale of Liquor Act 1989 restrict trading during Easter in order to show respect for and to facilitate the social, cultural and religious significance of the Easter weekend. The options proposed for public consideration and comment reflect the differing views on how to recognise the significance of the four-day Easter weekend. For example, whether continuing to recognise the significance of the Easter weekend involves ensuring that retailers and retail workers have time off work to be with their families, or whether it is about enabling shops to trade to meet tourist and consumer demand, or about preserving the religious significance of the weekend by restricting trading.

The key issue for this paper is whether Easter should remain as a holiday weekend. Within this context this discussion document outlines three decision areas. In order to balance the often competing interests of business owners, employees and the wider community you are asked to consider each of the three decision areas as part of a package.

The first decision area focuses on what should happen to the Shop Trading Hours Act Repeal Act 1990 and Sale of Liquor Act 1989, particularly in regard to Easter Sunday. Three options are presented in relation to this issue. The second decision area focuses on what should happen with the status of Easter Sunday, and four options are presented in relation to this issue. The third decision area focuses on whether the enforceability and penalty regime for the Shop Trading Hours Act Repeal Act 1990 needs amendment and on the issue of adequate employee/leaseholder protection against the compulsion to work/trade on Easter Sunday.

Some of the options around possible changes to the Holidays Act 2003 are likely to affect service industries and employers who operate seven-day-a-week businesses across both the private and public sectors.

We strongly encourage employers, unions, industry groups, individuals and other groups in society to consider this discussion document and provide their views on options for possible changes that could be made to the Shop Trading Hours Act Repeal Act 1990, the Sale of Liquor Act 1989 and the Holidays Act 2003.

In responding to this discussion document it is important to realise that there is no guarantee that Parliament will deliver the legislative changes to address these issues. The current Shop Trading Hours Act Repeal Act was introduced in 1990, with the intention of removing all remaining trading restrictions. The shift to total deregulation met with both public and parliamentary opposition, and the few remaining restricted days were included in the legislation after a "conscience vote." A conscience vote means that members of parliament are not required to adopt a party position when voting on a Bill. The same situation applies to amendments to the Sale of Liquor Act 1989.

There have been nine attempts to change the shop trading laws since the 1990 Act was passed. In all cases, except in 2001 when garden centres had the ability to trade on Easter Sunday reinstated, none of the changes was passed.

The issues raised in this discussion document are important to us and we request that you provide detailed reasons to support or oppose the options that have been included for discussion or provide any other options that you may consider relevant.

Hon Annette King
Minister of Justice

Hon Trevor Mallard
Minister of Labour

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