FASHION retailers are being urged to keep spirits high in the face of uncertain times for many in the Australian apparel industry.
Executive director of the Australian Retailers Association (ARA), Russell Zimmerman, said retailers are 'feeling the pain' at the moment after several of the country's well-known fashion retailers collapsed this month.
Zimmerman stressed that with the results of the Government's public inquiry into the retail industry moving a step closer, retailers need to keep positive.
At a meeting in Melbourne on September 5, the ARA was invited to present its draft recommendations in relation to the Economic Structure and Performance of the Australian Retail Industry.
Zimmerman said: “We have submitted solutions that are needed to improve the long-term viability, productivity and visibility of the retail industry.
“Retailers are feeling the pain but we hope that our feedback will be taken into consideration and it's important that this happens quickly, and that the Government doesn't sit on it, or hope it goes away.
“ARA wants to work with the Government and other regulatory bodies on behalf of all our members and we need to keep positive.”
After other retailers have submitted their recommendations the responses will be reviewed and hopefully incorporated, into the final report which will be given to the Government in November.
Some of ARA's key recommendations include changing planning laws to allow a more competitive market to open up within shopping centres, banning landlords from viewing tenants' turnover to prevent rent being charged depending on profit, and axing the penalty rates for weekend working.
Zimmerman said: “Although they shouldn't, some landlords do charge tenants based on their turnover and this is unfair.
“To avoid this the figures should go through a third party and then a total of the turnover can be fed back to the landlord, so he knows how the tenants within certain sectors of retail are doing, but without knowing the actual figures of individual shops.”
Zimmerman said he is also pleased the review allows the opportunity for the industry to communicate to the Government the problems and inflexibilities being presented by the weekend working award in its current form.
He added: “There are difficulties faced by retailers working under an award structure as this imposes higher labour costs at times when consumers want to shop.
“This is becoming increasingly problematic as Sunday continues to establish itself as an important trading day.”
Despite the year on year turnover within the footwear, clothing and accessory sector being down by 7.5 per cent, Zimmerman said Australia does have a unique and varied fashion industry to be proud of and ARA will continue to fight for change.
His advice to retailers follows news of several Australian apparel companies going into administration such as Satch, Brown Sugar and Belinda International, or suffering with low net profits, such as Beyond Sportswear International and Noni B.