The necessity of shutting down gatherings of
people to control the spread of the coronavirus has meant the business events
sector is also shut down. Like other sectors that are reliant on people coming
together, business events companies have been hit hard and fast by the rapid
escalation of the virus around the globe.
Business events are the highest yielding component of the visitor economy.
Switching it off takes $2.5 billion from the economy every month. To give
context, this is equivalent to the value of the entire cruise industry every
two months.
The business events sector brings in more than $30 billion to the Australian
economy, employs more than 193,000 and runs over 430,000 events every year. The
sector is a major contributor to the nation, not only financially, but for its
powerful enabling ability. Across many disciplines and sectors, business events
act as knowledge translators, a bridge between research and ideas and to
deliver real world practical business outcomes.
Even before Australian Governments took decisions to limit gatherings of
people, many companies had begun cancelling travel and postponing face-to-face
events. The business events sector had seen a massive reduction in revenue
across the entirety of quarter one 2020 and as of this week, revenue is zero.
Chair of the Business Events Council
of Australia, Dr Vanessa Findlay, said
“The business events sector is reliant on the tourism supply chain including
venues, accommodation, transport, event organiser, exhibition, catering, audio
visual, decorator, and entertainment businesses and more – most of which are
small and medium enterprises.
“We know that these businesses are at immediate risk of closing their doors,
some already have, and most have had to let go casual staff and are processing
redundancies for the majority of their full and part time staff now. It is dire
situation for the sector, for the nation, for the world.
Our immediate focus is on working with the governments of Australia to ensure
we can retain as many businesses and jobs as possible including through a
package of wages support, loan repayment relief, low or no interest loans and
tax deferrals. BECA and its member organisations have conducted an
industry-wide survey, the results of which will be collated by mid next week.
We will use this information to ensure the support the sector receives from
government is targeted at the areas most in need and to shore up the productive
capacity we will need when we move to the recovery phase. We must make sure
that we retain the sectors core capability and capacity. Without that, recovery
of the economy will be compromised.”
The business events sector places the health and safety of its clients,
customers and all staff across the entire supply chain at the centre of its
response to this very significant challenge. We support the work of the
Australian Health Protection Principal Committee and the National Cabinet in
their efforts to protect Australia and ensure the fastest and most effective
recovery possible.
BECA is working closely with Government, including through Minister Simon
Birmingham and his office, and the Treasury Coronavirus Business Liaison Unit
to design and implement a support package. Lastweek there were two formal
industry meetings with Government and a number of informal discussions to get
things moving as quickly as possible.
Minister Birmingham and his staff and Gordon de Brouwer and the staff of the
Coronavirus Business Liaison Unit have been incredibly engaging in their
efforts to collect information and understand the impacts on business so
support packages can most effectively minimise the profound worry across the sector.
The BECA Board meets again this Monday, 23 March to take the next steps on the
development of the Business Events Sector Sustainment Plan. This plan will form
the basis of the sectors management and response to the coronavirus – covering
the immediate needs of industry through to recovery. There is no greater focus
for BECA and its member associations right now than ensuring the survival of
our sector