A 'non-essential business' shutdown was announced as part of Stage 1 of the Australia wide lockdown commencing 23 March 2020. What does that mean for your business and importantly; what might happen next? It can change state to state, here's your 101.

The current lockdown

The health ministers have ordered the lockdown of particular business/services. If your service or industry is not named in the lockdown order then you are able to continue operating subject to the gathering restrictions and your general obligations as an employer.

What might happen next?

At the moment the states are largely implementing consistent crowd control and business shutdowns. Those decisions are being made collectively by the National Cabinet. But the states aren't under any legal obligation to remain in check with each other or to follow the National Cabinet's view. Independent state action remains legal and probable.

What is essential?

Most states/territories have laws protecting essential services. What is 'essential' differs state to state but largely covers fuel, water, power, fire, health and sewerage. Protections for suppliers to those services also differ in each state.

These laws do not affect what the health ministers can do or what they can say is essential or non-essential in their orders. This is basically at the minister's discretion, as we've seen with the current distinction between beauty salons (essential) and gyms (non-essential).

You need to pay continued attention to the state health orders (available on health department websites) to understand how and whether your business can continue to operate.

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