17 April 2025

Retailers want the ability to open over Easter. Easter trading hours have been a long-debated topic and the current legislative framework is regionalised with local authorities deciding whether or not stores can open in their area. Retailers have told us that they want to decide whether or not they can open, not the local council or Government. Consumers have the ability to shop online at any time, but a bricks and mortar store has restrictions not aligned with the trading environment in 2025. 

Retailers have told us that “It seems very inconsistent (and without good reason) that some stores can trade while others can not, simply because they are in a different council area” said Retail NZ Chief Executive Carolyn Young. “We believe retailers should have the choice if they want to open.”

The quarterly Retail Radar survey continues to report that retailers confidence of surviving the next twelve months has risen to 73%, this is despite 57% of retailers not meeting targets for the first quarter of 2025 and mixed expectations for quarter two sales. Retailers are focused on the potential uplift in consumer confidence later in the year, with almost half of mortgages to be re-fixed in the next six months, further cuts likely in the OCR, unemployment expected to peak in the first half of the year and importantly inflation is under control and seems stable within the required target of 1% – 3%. When prices are stable, households can better plan their spending, which flows through to retailers.

Continuing the trend of the last 15 months, inflation/cost of living (69%) and insurance increases (49%) are the key concerns for retailers, slightly down from the levels last quarter. Additionally cost of payments/merchant fees (46%) continue to be top of mind for retailers followed by wage increases (42%). 

With the Government having a strong legislative calendar for 2025 we asked members about potential changes to the Holidays Act. 

Many retailers have a number of part-time employees, so potential changes to sick leave, to a pro-rata basis is seen as fairer and less cost to businesses. With 75% of those surveyed in support of change. 

The current calculation for annual leave is complicated and can be confusing for both employers and employees to fully understand. Potential changes to an accrual hourly basis received 78% support from those surveyed. Highlighting the complexity of the legislation, 18% of respondents were unsure of what impact this would have, with only 4% of respondents not in support of change. 

“In retail many staff have rotating shifts that do not fall into a standard work pattern. This makes calculating entitlements difficult, changing to an hourly accrual basis simplifies calculations and makes it easier to understand for everyone” says Carolyn Young. “Retail NZ is supporting potential changes to pro-rata sick leave for part time workers and move annual leave to an hourly accrual basis from the day you start work”.

Read the Retail Radar Q1 2025 report, or see more Retail Radar reports here.

For the latest Retail NZ Media Releases click here.