Aussie food retailers and restaurants are looking for ways to increase their profits and save money in an industry where the average Australian earns less than $50,000 a year.
The NSW Government has introduced a new cash rebate program for food businesses, and has also introduced a scheme for restaurants, which will give a cash back rebate to every business on a per-person basis.
In the first phase of the cash rebate scheme, restaurants will be allowed to earn a maximum of $1,500 in cash back per customer, with businesses that earn more than $1 million per year being eligible for a higher rate of cash back.
In a statement on Tuesday, NSW Treasurer Mike Baird said that he had spoken to some food retailers about their experiences, and had encouraged them to make their cash back programs more flexible.
“In some cases, they have given us the green light to reduce their payments and have already cut their rates,” Mr Baird said.
“However, we also have to remember that many of these businesses have a very long history of running up credit card debt.”
The Government has also established a new program to give cash back to restaurants that provide a high-quality dining experience, such as offering a free drink or a buffet.
The scheme, which is due to commence in February, will also apply to the catering sector, which already receives a cash rebate.
But the New South Wales Government has made it clear that it is not targeting the hospitality industry, and that it would not be interested in offering a cash rebate to restaurants.
“We’re not targeting food businesses because there’s no need to,” NSW Minister for Business, Innovation and Employment Michael McCormack said.
“There’s a very clear distinction between food businesses and hospitality businesses.
Food retailers are already getting cash rebates from the Government, and many are keen to see this expanded.”
I think there are plenty of examples of businesses that are doing things in other sectors where they are getting cash back.”
Food retailers are already getting cash rebates from the Government, and many are keen to see this expanded.
But there is a problem: there are many other businesses who are not eligible.
“It’s not a one-off thing, it’s a pattern of behaviour,” Mr McCormack told ABC News Breakfast.
“People will often go out and buy the cheapest item in the supermarket, but then when they come back home they’ll buy the same thing and they’ll have a different purchase total.
The problem is there’s just no incentive for people to buy in bulk when they are eligible for cash back and it’s also not a sustainable incentive to spend cash on the meal.”
If you buy food and you want to spend it, you should have a reasonable amount of money to spend on that food and to eat out and that’s not happening with the current program.
“Some of the problems that have cropped up include people who buy the wrong items or don’t fill out the correct form, or they buy the right item and spend the wrong amount.”
They buy something that is really good and they then get into trouble when they don’t get it,” Mr McCabe said.
There are also concerns that the program will have unintended consequences, particularly for the poor.”
There’s been an increasing number of people who have reported experiencing fraud in the past year and this is something that we have to address,” Mr McCulloch said.
Food retailers have complained about the system being used by people who don’t pay their bills, and the lack of oversight over the scheme.
But a spokesman for the NSW Department of Business, Industry and Employment said it was too early to tell whether the scheme would work or not.”
The Government’s cash rebate for businesses will be extended for a period of three months, beginning from February 1, 2019, to give businesses and restaurant operators a chance to demonstrate how they can be successful in the new program,” the spokesman said.
But it is expected that there will be a transition period between the cash rebated period and the new payment system.
The Government hopes that by allowing businesses to earn money, they will be able to attract more businesses to come to NSW.
Topics:business-economics-and-finance,consumer-fraud,government-and/or-politics,australia,southern-sydney-2000More stories from New South Sydney