Welcome to the December issue of E-Line Food and Beverage! If you are a HANZ member and wish to subscribe to the E-Line Food and Beverage mailing list, please email nsc@hanz.org.nz providing your current email address(es) and membership no. Enjoy this month's issue and while we look forward to further E-Line updates and HANZ offers as they come to hand.
The New Zealand and Australian police have announced a trans-tasman crackdown against drunken violence to send a clear message to offenders that enough is enough. The codename – Operation Unite - will be targeting alcohol-fuelled crime and antisocial behaviour on the weekend of 11 and 12 December.
The Association has spoken with Police to ensure that their presence where Operation Unite will be executed is constructive, and does not create a heavy law enforcement presence among those patrons or guests who are genuinely enjoying a night out. The industry can also expect to see CPOs and a higher police presence over these two days.
The Association’s response is best summed up in an interview on TVNZ 7 News at 8, which can be seen by clicking on this link. Other interviews were undertaken with TV1 News, TV3 News, TV1 Breakfast and the New Zealand Herald.
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With the on-going issues facing the hospitality industry HANZ CEO, Bruce Robertson provides a summary of recent developments and outcomes at a national level that will be of interest to all HANZ members.
ACC recently released a proposal to increase ACC levies as part of its annual levy setting process. ACC duly noted that growing claims for home and sports injuries have put some pressure on the Earners’ levy account, but needs to consider that the proposed levy increases put forward will significantly impact the hospitality sector, ranging between 75% and 85%.
The Association’s submission objected to these increases was heard at a Parliamentary Select Committee meeting on Thursday 3 December to support the Association’s submission of comments and recommendations. The full submission can be viewed here.
To reinforce the Association’s submission and issues of concern, HANZ CEO, Bruce Robertson along with the National Operations Manager, Scott Necklen and Legal Adviser, Alyn Higgins met with the Law Commission and from this discussion it would seem that the following recommendations, among others, are likely:
1. All off-licences close at a specified time, possible 10pm, and this will include across the bar off-sales.
2. On-premise fixed nationwide closure with an extension if a one-way door is in operation.
3. A ban on advertising the price of alcohol products anywhere outside the bar or off-licence.
4. Greater powers for the Liquor Licensing Authority to put conditions on a licence, based on community input.
5. Club licences being removed with clubs having an on-licence but a limitation on trading with members only.
6. A ban on consumption of alcohol in a public place.
If you would like to read the Association’s full submission, please click here.
The Association has presented to the Gambling Commission the industry’s concerns over proposed changes to the problem gambling levy.
The Association is arguing that the total amount of the levy can be reduced and that Lotteries and the TAB should pay a greater share. The Association is also opposed to the proposal that clubs should pay less than pubs.
HANZ CEO, Bruce Robertson and National President, Bill McLean met with CEO and Chairman of the TAB in November. As a result the TAB has formed a Joint Working Council (JWC), whose role is to explore all opportunities for the TAB and its hospitality partners to work together for mutual benefit.
The JWC will meet with the TAB on Tuesday 8 December.
As reported in E-Line Accommodation, the Accommodation Forum (made up of the Chief Executives’ of organisations representing the accommodation sector, being the NZ Hotel Council, Motel Association, Holiday Parks Association, Luxury Lodges, Backpackers and Home Hosting) met on Friday 13 November.
The Ministry of Tourism and Tourism New Zealand suggest that tourism this summer will be patchy with a continued strong reliance on growth out of Australia.
Bookings appear to be made in an ever-shortening lead in time and there is a strong sense of the unknown when looking at tourism numbers in to February/March 2010.
NZ2011 presented an update of the RWC 2011 listing the 20 appointed Official Travel Agents (OTAs) with key dates, including the sale of travel packages from Friday 1 January 2010. To view NZ2011’s full presentation click here.
Following Marty Fuller’s announcement of resigning from the Hospitality Association Vice President role, he has indicated that his resignation in no way should it be taken as an indication of any wrongdoing, but rather a demonstration of his total commitment to HANZ and the retention of its integrity. Marty stressed that he will be fighting the gaming allegations in respect of his Christchurch bar to clear his name and expects that to occur.
HANZ President Bill McLean spoke highly of Mr Fuller’s contribution to the organisation and indicated that his resignation was a measure of both his commitment and loyalty to the Hospitality Association over a very long period.
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In most cases contracts will be performed properly and in accordance with their terms to the satisfaction of both parties. However sometimes this does not happen and for one reason or another one of the parties does something or desires to end the contract prematurely. So how can this occur and what are the implications?
Apart from complete and unconditional performance there are three main ways that a contract may be brought to an end:
1. By agreement. This is simply where through a process of negotiation both parties simply agree to end the contract. The contract itself may also simply and clearly enough enable the parties to terminate on notice. However in many cases there will need to be some additional consideration for discharging the contract in this way such as by payment of a termination fee for example.
2. Frustration. This occurs where, despite at the time of contract formation the performance obligations of the contract being quite feasible, something happens that makes performance of the contract impossible to perform due to some unforeseen occurrence that is beyond the control of the parties to the contract. Examples could include a contract to hire a function room when the function room gets flooded by natural causes prior to the function and the contract cannot accordingly be performed. However, before concluding that a contract has been frustrated, alternatives generally need to be considered to try and ensure performance, for example a contract will not be frustrated merely because performance becomes more expensive or time consuming if the contract is otherwise capable of performance. Frustration will also not occur if the parties have foreseen the otherwise frustrating event and made provision for the event in the contract, such as in a force majeure clause. The effect of frustration is that the contract is avoided from the time of the frustrating event and the parties released from any further performance.
3. Breach and cancellation. Finally a contract may be terminated through a failure by one of the parties to the contract to perform an obligation under the contract such as promises of performance not met, including misrepresentation of an essential term inducing entry into the contract. However, whether the contract can be terminated in such situations will depend on the nature and extent of the breach. In general, cancellation will only be available where the breach is fundamental to performance of the contract and cannot be remedied.
Where a breach of contract is found the law provides a number of remedies dependant on the nature and seriousness of the breach. Damages are the principal remedy for breach of contract and are monetary compensation for the loss suffered by the party affected by a breach, with the object being to place the affected party in the same situation as they would have been in had the breach not occurred. There is also the ability of the affected party to obtain orders from court that the contract be performed in accordance with its terms if possible. Examples include specific performance, injunctions to restrain a breach or further breaches and orders for rectification for mistake that attempts to put the parties in the situation had the contract not been breached. However, generally specific performance and injunctions will only be awarded where damages cannot provide an adequate remedy and if the court considers it just and equitable to do so. Orders for specific performance must also be available to both parties as a remedy and the order must be capable of supervision. Finally in some cases there may be scope to void a contract where contractual terms are manifestly unfair under the Fair Trading and Illegal Contracts Acts.
This article is not a substitute for specific advice tailored to individual circumstances where specific advice on the unique contract should be sought.
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The Aviation Tourism Travel Training Organisation (ATTTO) and the Hospitality Standards Institute (HSI) launched an innovative website called NZSkillsConnect which is a one-stop-shop for those who wish to explore their career options and relevant qualifications in tourism and hospitality.
As an employer you can register your business to place a job vacancy advert, create a profile for your business, and look for ideal staff or staff training programmes and so much more. For more information visit www.nzskillsconnect.co.nz.
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The Privacy Commissioner’s office has released new guidelines on how businesses, agencies and organisations can use CCTV (camera surveillance systems) while still protecting privacy.
There is no law change affecting CCTV systems, but the new guideline document provides practical tips for businesses, agencies and organisations who may take into account the on-going upgrade of technology and costs to be a suitable investment.
To download the Privacy and CCTV Guideline document, please click here.
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Westpac’s Chief economist and economics team released their quarterly economic overview in November. An interesting read of the current economy outlook, understanding trends, markets and economic forecasts. Click here to download the full report or visit Westpac Economic Overview online.
As we know, the recession significantly impacted the hospitality industry, so WHK designed a useful economic survival kit to support and better prepare businesses while the New Zealand economy rebuilds its business confidence.
WHK highlights the key aspects of a business that needs more focus by business owners and to successfully put into action. The WHK economic survival kit document can be downloaded here.
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This is mostly a positive update for the national average of transaction value and spending pattern for the Pubs, Bars, Taverns, Restaurant and Cafe segments. Please see the tables below identifying key performances in selected regions.
In comparison to September 2009 the Pubs, Bars and Taverns sales in dollar terms were up on 6.8% nationally with the Bay of Plenty region recording the highest increase of sales at 15.4%, while Wanganui fell 2.6%.
| Pubs, Bars and Taverns |
Average Transaction of sales |
| Bay of Plenty |
15.4% |
| Marlborough |
14.5% |
| Southland |
13.6% |
| Taranaki |
13.2% |
| Taupo |
13.2% |
| Wanganui |
-2.6% |
| Otago |
-1.5% |
As with the Restaurant and Cafe segments compared to September 2009 national sales in dollar terms were up 5.6% with Marlborough leading at 21.7% as Wanganui and Otago regions fell short between 1.4% and 2.6%.
| Restaurants and Cafes |
Average Transaction of sales |
| Marlborough |
21.4% |
| Hawkes Bay |
18.9% |
| Gisborne |
18.5% |
| Nelson |
17.1% |
| Wanganui |
-2.6% |
| Otago |
-1.4% |
Whilst Paymark (Electronic Transaction Services Limited) has made every effort to ensure the accuracy of any information supplied it is acknowledged that Paymark makes no representation, warranty or undertaking, express or implied, as to the accuracy or completeness of the information.
Understanding the spending pattern of customers in your area could be the marketplace insight opportunity you are looking for. For more information click here or email marketreporting@paymark.co.nz to find out how you can be ahead of the game.
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As reports increase of the number of diagnosed cases of H1N1 Influenza, more commonly known as Swine Flu, people are being warned that incorrect hand washing poses a significant threat to the transfer of disease, including H1N1 Influenza.
Tork’s Tiffiny Lewin says that while healthcare and foodservice sectors have strong legislation around hand hygiene and are necessarily well educated on best practice, this is not necessarily the case for the general business community, in particular the need for proper drying of hands after washing.
An often cited and reputable study by Dr Tom Miller, of Auckland University’s Department of Medicine, shows inadequately dried hands typically lead to around 60,000 micro-organisms being transferred person-to-person, and 40,000 person-to-food. This contrasts with less than 100 micro-organisms transferred by hands that are carefully dried after washing.
Further complicating the issue is the role of hot air blowers in harbouring and transferring disease. A recent study released in March this year undertaken by the University of Westminster in London UK showed that hot air blowers on average increased the number of bacteria on people’s hands (palms) by an average 254% - as well as contaminating the wider area. In contrast paper towels were shown to reduce bacteria by 77%.
Officemax has compiled a price list of paper and hygiene products which are compatible in the market and exclusive to HANZ members.
The pricelist is available in the member’s login area, you will need your membership number before clicking here.
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The following is an update on the NZATM’s progress with the Convenience ATM Network.
Whilst there is growing interest to install an independent ATM on hospitality premises, it is important that you are aware of all the facts pertaining to any ATM contract you may have signed or been presented with. In the meantime, we recommend you give consideration to the impact on your business and service provision from installing an ATM until all major Trading Banks have signed up and connections are complete.
Currently the ASB and ANZ/National have not signed on despite their inability to offer any compelling reasons for not doing so. Consequently we have invested a great deal of time in an attempt to change their position and we can confirm that both banks are currently reconsidering their status. to strengthen our position and to increase awareness of the independent convenience ATM network we will be engaging a PR consultant to utilise the media and political arena to further our cause. In the meantime the following financial institutions support the NZATM network:
- Westpac
- Bank of New Zealand
- Kiwibank
- Taranaki Savings Bank
- Rabobank
- Southland Building Society
The NZATM network currently has the support of the following institutions, with Visa, Mastercard with the China Union Pay credit schemes soon to join early in the new year.
Following our preferred supplier agreement with HANZ, an NZATM contract will only be carried out subject to the remaining two banks signing on and connecting to the NZATM network and from this point NZATM will prioritise an ATM installation on your premises.
For those who have non-NZATMs installed, it may pay to contact your ATM supplier and ask for a list of financial institutions that support their network.
Please contact your HANZ Regional Manager for advice on the NZATM/HANZ preferred supplier offering, exclusive to HANZ members.
It is NZATM’s intention to provide you, as a valued HANZ member, “best practice” in ATM service and on-going support for the entire term of your NZATM contract. Contact your HANZ Regional Manager, or Wibo Bosma on 0800 4NZATM (0800 469 286) who will arrange a NZATM representative to call on you.
On behalf of New Zealand ATM Services have a very enjoyable and safe festive season!
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Noel Leemings has an exclusive offer for HANZ members on 300L Chest Freezers for only $650 (incl GST). Orders to be received 24 December 2009 by emailing Leila.Harache@noelleeminggroup.co.nz or phone Leila on 0276 222 574. Chest Freezers deliveries are scheduled for January 2010.
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Go to your regional update and find out about local events, awards and the great advocacy work that has taken place.
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More than two thirds of underage drinkers are given alcohol from parents or friends
Click here for more information on the realities of alcohol use in New Zealand.
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Here are the links to read the current issues of E-line Accommodation and E-line Gaming. Read previous E-Line issues here!
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