AFTA, we need a plan now!
Ben Caplan is MD of Wall Street Travel.
AFTER Brendan
Murphy provided the answer to my previous questions
(TD 18 Jan), the best we can get from AFTA is an update in Tuesday’s Travel Daily that was no longer current based on the former CMO’s forecasts.
I have been calling on AFTA for seven months to devise a plan for the industry’s future, e.g. the Agent of Last Resort.
Based on Mr Murphy’s advice/ view, a detailed plan must now be presented using the available facts. Due to ATAS, AFTA has a bird’s-eye view into the balance sheets of members and their financial capacity going forward. AFTA has insight and perspective of what is achievable and who can possibly survive.
What we know (a list in no particular order, relevance or exclusive): 1. International borders are not going to reopen before the end of the year. This must be clarified; does it mean Nov, Dec 2021 or Jan 2022?
2. OR, does it mean Feb 2022, to avoid large numbers travelling to destinations where COVID is still an issue during the summer break?
3. Currently the Federal Government has made it clear that JobKeeper will end on 31 Mar. The only place where I have read that a new version of JobKeeper will be offered to travel agents is from AFTA. What is the basis that this statement is propagated? Can members rely on AFTA’s statement on a version 4 of JobKeeper, at what level and for how long? Time is of the essence. 4. The Federal Government has made it clear they believe the economy is travelling very well, except for specific industries. Unfortunately international travel is at the top of the list of sectors that have been totally decimated. Is the Federal Government willing to financially back the Australian travel agent?
AFTA, how many agencies have the financial capacity to survive 12 months with little to no revenue, if no significant government funding is forthcoming? Note: I am not talking of grants of between $1,500-$100,000. Companies need access to real funding, those that sadly must close and now deal with entitlements, redundancies, terminating leases and any other contracts that are associated with running a business.
For those that can survive another 12 months, what financial assistance will be available? Staff cannot be paid at the current JobKeeper rate for another 12 months in my opinion.
I believe that anger is a wasted emotion on this issue. In hindsight, many things could and should have been done differently by national and state governments around the world; remember COVID-19 is apparently a once in a 100-year event (I hope).
If we are talking about our futures in this industry, or just in general, I am not saying we should forget or even forgive. Let us just focus on getting through for now and spend time planning for a better future.
AFTA, we need a plan, the clock is ticking!
“We need a plan - the clock is ticking! ”