The incoming CEO of the soon-to-be formed Australian Retail Council (ARC), Chris Rodwell, has cited productivity, rising costs and surging retail crime as key things the freshly re-elected Labor Party should focus on.
According to Rodwell, Australia’s $430 billion retail sector contributes almost one fifth of the country’s gross domestic product, and employs one in 10 workers.
“Retail performance impacts every Australian and it’s clear that we need strong economic leadership to support the sector through a challenging climate,” Rodwell said.
“Alongside the cost-of-living crisis, retailers have battled through years of rising costs - from rent and wages, to energy, insurance, transportation and all kinds of supply chain impacts.
“Retailers are particularly keen for the government to take measures to lift lagging productivity and to see the cost-of-living relief measures flow through to the checkout.”
Rodwell also took aim at the US tariffs on China products – now at 145 per cent – calling it a huge shock for local retailers. For smaller retailers, he said, it can be especially challenging, with limited capacity to absorb expected cost pressures.
“It will be tough for them to stare down the pressure to raise prices in the coming months,” Rodwell said. “While we recognise the government has limited options to deal with this volatility in its negotiations with the United States, it does have the capacity to offset impacts by redoubling efforts to reduce the red tape and cost burden of Australian businesses.”
Rodwell said the Australian Retailers Association and the National Retail Association – soon be formed into ARC – stand ready to support a co-ordinated national effort to promote higher productivity, calling it the foundation stone for a strong economy and improved living standards.
“It is critical we seize the moment in this term of government as our nation can’t afford for the agenda to slip into the 2030s. The state of our economy and national finances reflect it is already overdue,” Rodwell said.
Speaking on retail crime, Rodwell said retailers and workers across the sector deserve greater security than they currently experience.
This comes after Australian retailers recorded a 66 per cent year-on-year increase in retail crime involving weapons in 2024, according to retail crime reporting software Auror, alongside a large spike in violent and threatening events.
Events involving knives and blades were up by more than 40 per cent in 2024, compared to the previous year.
Nationally, retailers recorded a 30 per cent increase in violent or serious events, as well as a 39 per cent increase in threatening events last year.
Meanwhile, Victorian retailers recorded the largest jump in both violent and threatening retail crime events, up 38 per cent and 52 per cent, respectively.
“The human and economic cost of this crime is unacceptable,” Rodwell said. “We need a dedicated national retail crime strategy and consistent, specific protections for retail workers.”