A proposed four-day week would cripple cafés in Australia’s central business districts, according to a national retailers’ association.
Australian Restaurant & Cafe Association (ARCA) CEP Wes Lambert said an ACTU push for the shorter work week would slash productivity and hit hospitality businesses hard.
“Hospitality isn’t an office job. We can’t cram service into fewer days,” Mr Lambert said.
“A blanket 4-day rule would push office attendance into Tuesday–Thursday, leaving Mondays and Fridays even quieter,” he said.
“That’s a death blow for CBD cafés already struggling with a 1 in 10 closure rate according to Creditor Watch.”
Mr Lambert said CBD office occupancy was still below pre-pandemic levels, with most workers already avoiding Mondays and Fridays.
He said in hospitality, fewer trading days means fewer sales, or higher prices to cover costs.
“Neither makes the economy more productive.”
Mr Lambert said if the proposal went ahead there would be fewer viable trading days for city venues, increased staffing costs to maintain service coverage and more business closures in an already fragile sector.
He said the ARCA supported flexibility where it worked, but reject one-size-fits-all mandates.
“CBDs need policies that keep workers — and customers — in the city every day of the week.”
Mr Lambert said the ACRA believed there needed to be flexible work models by agreement, allowing sectors to adapt them and be imposed.
He said there also needed to pre-implementation impact studies conducted to test the effect on CBD trade and hospitality viability.
“The 4-day week may sound good on TV appearances—but for cafés and CBD venues, it’s a path to empty stores and debt—not productivity.”
