START UP RESOURCE POST COVID-19 LEVEL 4 - 17 April 2020 V3
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START UP
RESOURCE
POST COVID-19 LEVEL 4
17 April 2020 V3
Return to Business Guidelines
This is intended as a sample guideline only, and not as definitive.
All businesses should make their own preparations suitable for their
operation.
16 April 2020 - Update:
At this stage New Zealand remains at Alert Level 4. A further decision
on possibly moving Alert Levels will be made on Monday 20 April 2020. We will be updating
members, and this resource as more information becomes available.
However, the Prime Minister has released information on what will be permitted at Alert Level 3
for businesses.
Alert Level 3 - Hospitality:
Retail and hospitality businesses can only open for delivery and contactless pre-ordered pick up
– customers cannot enter stores.
More information on Alert Level 3 can be found here: https://covid19.govt.nz/alert-system/
alert-level-3/
Hospitality New Zealand is in the process of developing detailed Guidelines for Contactless
Delivery and Pick-up with MBIE and other Associations. We will have this out to members as
soon as is possible.
The Prime Ministers announcement included that businesses that do wish to open during Alert
Level 3, will need to be accredited through MBIE and have a Worksite Plan for both employees
and customers. More information on what those processes involve will be released in the
coming days. We will update members and this resource as the information becomes available.
Principles for Operating Under Alert Level 3:
• Restrict contact with one another
• Primarily people still need to stay home
• Businesses operation moves from “Essential” to “Safe” – but with continued restrictions
– Cannot engage in face-to-face contact (operation needs to be via phone, app, online,
or car)
– Health and Safety Aspects still apply
– Physical Distancing (2 meters ideally) still apply, even to workplaces
Hospitality NZ Start Up Resource
This resource is to be used as a guide, information is subject to change Page 1 • 17 April 2020 V3Previously, the Prime Minister also said that in preparation for
recommencing business, each business should be thinking about, and
preparing policies and procedures, at each Alert Level for:
• Contract Tracing
What procedures can you put in place to ensure that you are able
to identify and contract trace every customer, and your supply
chain, should that be necessary.
• Physical Distancing
What procedures can you put in place to ensure that appropriate physical distancing (1
metre in controlled environments, like workplaces, and 2 metres elsewhere), but this could
change) is managed, and all customers and staff are aware of their responsibilities.
• Personal Protective Equipment (PPE)
Assess what PPE is necessary for your staff.
Preparing to Partially Trade and / or Re-open
Check and diarise all expiry dates for important items (alcohol licence, Food registration,
building WoF, outdoor trading licence etc). Renew those within the required timeframes.
Investigate all Government support packages and options, as well as any others available.
Work on your Business
Consider using the Level 4 Alert time to work on your business - could you investigate business
items such as:
• New technology
• Reservation systems
• Product offering and ranges
• Options for diversity
• Social media platforms and content
• Advertising platforms and content
• Reviewing and updating food and drink menus
• Online training courses
• Reviewing business / supplier contracts
• Investigating sustainability initiatives
Hospitality NZ Start Up Resource
This resource is to be used as a guide, information is subject to change Page 2 • 17 April 2020 V3Review and update all policies and procedures Business Plan and Budget Do forecast business plans and budgets for potential Level 3, Level 2, and Level 1 Covid-19 Alerts operating environments. Assess whether the permitted operation at each level is viable for your business. Some issues to consider may be: • Will some form of business operation have an effect on any rent agreements in place • Additional cost of supplies (e.g: food containers, contactless ordering and payment systems, delivery costs) • Insurance cover - you may need to change your insurance policies and cover • Staffing costs vs income • PPE costs • Potential increased overheads, preparation, and supply costs • Advertising Other considerations • Staff availability and rosters (see Employment Considerations Section below) • Trading Hours review • Contact suppliers to get information on supply levels, order fulfilment, delivery etc. • Contact any contract companies you may need (cleaning, security etc) • Stock ordering and delivery instructions • Renewing standing orders and subscriptions (e.g: milk, Sky, newspapers etc) • Notifications (e.g: landlord, Council, insurance. Alarm monitoring company etc) • Checklist of to-do before opening, and when opening. • Talk to senior staff about your potential plans and what tasks/projects they may be able to help with. • Policies and Procedures for each level, and difference in business operations Managing Cashflow New Zealand Trade and Enterprise has a Managing Cashflow Guide, Workbook, and Tool available here: https://covid19.nzte.govt.nz/page/useful-tools Hospitality NZ Start Up Resource This resource is to be used as a guide, information is subject to change Page 3 • 17 April 2020 V3
The resources, prepared by NZTE’s Investment team are intended to help you get a better grasp of your current cash position, so you can identify what decisions are most appropriate for your business. Social Media / Advertising • Consider keeping your social media updated throughout all Covid-19 Alert Levels. • Can you post interesting things to keep your business in mind for customers? (e.g. food and drink recipes, photos of your food items, drinks, rooms, highlight aspects of your business and offerings, announce a new menu is coming, spotlight some of your awesome staff, tell an interesting backstory of the venue name, or the history of the business). • Update trading hours and conditions of trading (including any directed by Government). Suppliers You may need to be reassessing suppliers. Note - you’ll need to ensure you are aware of the content of all contracts you have in place and your obligations to those. Check the Hospitality New Zealand Member Partners and Suppliers Guide. This could be an opportunity to take advantage of products, services, and member deals available to you. https://hospitality.org.nz/resources/member-deals-directory Reassess Food Menu • Work with your chefs and kitchen staff. • Seek advice from MPI to ensure your Food Control Plan can be updated to comply with any changes to your food business. Update or submit the necessary information. • Reconfigure your menu items to suit pickup / delivery options in preparation for any Alert Level movement, (and to possibly continue with as part of your ordinary businesses into the future.) You may need / want to do a separate pickup / delivery menu. • Explore delivery options. Should you do this in-house, or will you use a third-party platform? You will need to investigate what is needed for the option you choose, and any relevant legislation or requirements, and implement clear policies. You may also need to contact your insurance company and update your policy for changed business aspects. • Explore what additional supplies you may need to be able to fulfil delivery or pickups (e.g. paper bags, takeaway containers, condiments, and cutlery etc.). • Develop the additional policies and procedures you will need to implement (e.g. ordering system, preparation chain, safe handling and transport, pickup / delivery system) - include updating your House Rules, as necessary. • Recost your menu(s) and adjust your sell prices. Hospitality NZ Start Up Resource This resource is to be used as a guide, information is subject to change Page 4 • 17 April 2020 V3
Food Safety in Alert Level 3 • MPI have released some information regarding Covid -19 and Food Safety, and Safe Work Practices, in Alert Level 3 • This is continuing to evolve, so please check the website and ensure that you stay up-to-date with the advice from MPI https://www.mpi.govt.nz/protection-and-response/coronavirus/ coronavirus-and-food-safety/covid-19-and-food-safety-in-alert-level-3/ https://www.mpi.govt.nz/protection-and-response/coronavirus/safe-work-practices-for- businesses-and-workers/safe-work-practices-during-alert-level-3/ For Licensed Premises This could be a good time to ensure that you: • Have properly appointed all managers and notified the DLC and Police, and your Managers Register is up-to-date (Hospitality NZ resource “Management of Licensed Premises” has more information - available here). • Review your Host Responsibility Policy. • Review your Alcohol Management Plan. • Access the extensive “Alcohol Licensing” resource library available from Hospitality NZ, and implement, update, and review for your business. • Consider getting staff to take a refresher online course, like ServeWise https://servewise. alcohol.org.nz/login/index.php Accommodation Accommodation is considered an essential business and can remain open for some accommodation provision at all Covid-19 Alert Levels. Keep in mind, we create experiences – that is our difference. Accommodation providers should consider reviewing the following: • Opening up all distribution channels. • Ensure all room types are loaded (this is a good opportunity to review your visual assets such as photos and descriptions of room types). • Define your revenue management strategy – sell price and fill profile under COVID-19. Hospitality NZ Start Up Resource This resource is to be used as a guide, information is subject to change Page 5 • 17 April 2020 V3
• Contact your local Regional Tourism Operator – ensure that you are being promoted, know all the promotion initiatives coming up. • Review your market mix – domestic only at this stage. • Connect with your key accounts / suppliers for opportunities. Accommodation providers should consider reviewing all contracts: • Insurance Cover – do you need the same cover with reduced occupancy – speak with your insurance company. • Renegotiate your contracts with the likes of OTAs, Linen etc. • Review your in room services, such as SKY TV, Movielink, MiniBar. • Review all your credit, should you extend credit, if so to whom? Accommodation providers should consider how to drive ancillary revenue: • If you have a food and beverage outlet, look at a revised menu during this period, delivery service to your loyalty members • Accommodation providers should review their current H&S plan and ensure it is meeting the COVID-19 key requirements: Distancing, Tracing and Cleaning/Sanitising – this H&S plan should be shared with all staff. Accommodation Providers should continue to monitor www.covid19.govt.nz for any Government instructions and requirements for each Alert Level. Reopening Operations You may need to take some time to ensure your business is prepped and ready to trade for each Covid-19 Alert Level before you do trade. Things to consider could be: • Stock / supplies ordering and delivery - including any new supplies you may need • Start-up times and processes for equipment • Till floats (if applicable) • Payment methods (e.g. portable eftpos machine) • Cleaning • Reconnections - equipment, gas, water, eftpos machines, beer lines etc. • Check all applicable companies, people and agencies have been notified of your reopening Hospitality NZ Start Up Resource This resource is to be used as a guide, information is subject to change Page 6 • 17 April 2020 V3
• Advertising and social media
• Staff training (or refresher)
• Food preparation and recipes
• Updating any software etc.
• New menus - and updating platforms your menu is available from
• Updating Food Control Plan (if necessary)
• Updating Health and Safety at Work Policy
• Restoring equipment, chattels, other items you may have removed when closing
• Appropriate notifications have been made (as applicable)
• Any additional resources, policies, procedures are in place to ensure you meet the
requirements for Contract Tracing, Physical Distancing, and PPE, for each Alert Level
For Contactless Delivery and Pre-ordered Pick Up
Hospitality New Zealand is working on detailed guidelines for this, and will have it available to
members as soon as is possible.
Assess whether this type of operation is viable for your business.
Adhere to the Government instructions and requirements for these Levels.
Adhere to the MPI Food Safety requirements.
• Ensure all relevant staff are informed and trained in the policies and procedures in place for
the operation of this aspect of business
• Ensure your Food Control Plan is updated, notified, and recorded etc. (as applicable)
• Ensure Health & Safety Policy is updated
• Ensure you have got tried and tested procedures in place for:
– Kitchen staff - what do they need to do differently and how
– FoH Staff - what do they need to do differently and how
– Delivery staff (if applicable) - what do they need to do and how
– Food preparation, food delivery and food awaiting pickup
– Ordering and payments- what platform is being used, who is checking, how are orders
getting passed to the kitchen, how does the customer get notified that order is ready, what
are the timeframes and how are these communicated to customers and how you take and
process payments
– Delivery (depending on how you are going to fulfill delivery orders)
Hospitality NZ Start Up Resource
This resource is to be used as a guide, information is subject to change Page 7 • 17 April 2020 V3– Contactless Pick Ups - where are they going to be held, how to
identify correct order, payment has been made, pick up point
etc
• Ensure you have appropriate necessary supplies - meal containers,
condiments, cutlery, carry bags, etc.
• Complaints process - what is your process, and procedures for
rectifying and dealing with any complaints, or wrong orders etc.
For Dine In
(Likely Level 2)
Ensure all relevant staff are informed and trained in the policies and procedures in place for the
operation of this aspect of business.
Adhere to the Government instructions and requirements for this Level. This may Include:
• Mass Gathering maximum capacity limit (Hospitality NZ guidelines here)
• Guest register (Hospitality NZ resource available here)
• Customer facing information and posters are displayed (e.g: Gathering limits, washing
hands, physical distancing, licensing signage requirements)
• MPI Food Safety requirements.
Reassess furniture placement to maintain physical distancing requirements.
Ensure you have got tried and tested procedures in place for:
• Kitchen staff - what do they need to do differently and how
• Front of House Staff - what do they need to do differently and how
• Food and beverage preparation
• Food and beverage delivery to tables / customers
• Cleaning and sanitising furniture and facilities between customers
• Managing customers - signing register, physical distancing, complaints etc.
Employment Considerations
As part of planning and preparing to reopen a business after the lockdown, business owners will
consider their need for staff. Hospitality NZ recommends employers start by:
• Carefully review the employment agreements they have with existing staff
Hospitality NZ Start Up Resource
This resource is to be used as a guide, information is subject to change Page 8 • 17 April 2020 V3• Considering how the business’ needs will be different when they re-
open including:
– How this will impact on employment relationships
– Whether the business will need to make redundancies
• Remembering that changes to the employment relationship generally
require consultation and may require agreement
Reviewing Employment Agreements
When reviewing employment agreements, employers should consider:
• Do they have proper records, including signed and dated copies of employment agreements
with all blanks filled in, and records of any variations attached?
• Are job descriptions and minimum hours still fit for purpose?
• Are the businesses’ policies, procedures and house rules still fit for purpose?
• What process needs to be followed to make changes?
Redundancies
There are many hospitality businesses that will not need as many staff after the lockdown as they
did before the lockdown. There will be redundancies in the hospitality industry. If you believe
your business is likely to need to make redundancies, some important things to bear in mind
include:
• You need to follow a lawful process (the COVID-19 pandemic might influence what constitutes
a lawful process, but it doesn’t excuse employers from the need to follow a process).
• Remember - if your business received the COVID-19 wage subsidy, you may have undertaken
not to make redundancies during the period the subsidy applies (even if you didn’t provide
that undertaking, there may still be legal reasons why any redundancies would be delayed
until after the period the subsidy applies). However, arguably, this doesn’t prevent a business
from starting the redundancy process during the period the subsidy applies.
• Read Hospitality NZ’s resource - Redundancy and Restructure 2.14.
• Check - what do your employment agreements say about the redundancy processes?
• Consider - what is your proposal to restructure the business, to allow it to move forward (and,
in general terms, how will this impact jobs)? However, remember, this is a tentative proposal
only at this stage.
• Consult - Consultation is vital to a lawful redundancy process. More than one meeting will
usually be necessary. Consultation needs to be two-way; so, you will need to allow
time and opportunity for staff to provide feedback, and for you to give proper
consideration to that feedback.
Hospitality NZ Start Up Resource
This resource is to be used as a guide, information is subject to change Page 9 • 17 April 2020 V3• Inform - Consultation needs to be informed. What information did you rely on when deciding to propose restructuring the business? Have you shared that information with staff? Consultation needs to be informed to be genuine, and this may involve sharing financial records with staff. • Be open minded - You need to have an idea about what sort of restructure you believe is needed; however, you also need to be open to feedback from employees (otherwise, consultation is not genuine). • Seek advice. The circumstances of every redundancy process will be different, but you are obliged to act as a reasonable employer would act in the circumstances. Talk to your Hospitality NZ Regional Manager about what this means for your business. Changes to Employment Relationship You might have formed the view that post lockdown, your business’ needs will be different and employment relationships will have to change to reflect that. However, in most situations, you should not simply tell employees that you have changed their job description or hours of work etc. (and this is true, even if there is a lockdown and a wage subsidy in effect). Employment agreements record legally binding relationships. You generally can’t change them unilaterally, even if there has been a pandemic. You should consult and try to make any change by agreement. Changing someone’s job can be a form of redundancy (i.e. a partial redundancy, even though it doesn’t involve them losing their employment completely). The more significant the changes, the more important it is to think of the process as a form of redundancy. Consultation should be an informed and genuine two-way process. The new agreement should be recorded in writing (signed by the employee, if and when possible). Employers should retain a copy of this record. Changes could include things that employees might be enthusiastic about, and that might not be directly related to the pandemic. For example, have you considered the impact of the new minimum wage? Policies, Procedures and House Rules Policies, procedures and house rules can often be changed by an employer without having to go through the sort of consultation and agreement process that is needed to change an employment agreement. However, if employers are considering changing policies, procedures and house rules, then they should check and see what their employment agreements say about how to do this. The fact that we are experiencing a pandemic could be relevant to what policies and procedures need to be in place. Hospitality NZ Start Up Resource This resource is to be used as a guide, information is subject to change Page 10 • 17 April 2020 V3
Policies and procedures that might need to be updated could include cleaning, hygiene, waste disposal, hand washing, Food Control Plan, equipment use etc. Ensure all staff are trained and educated on policies and procedures, especially if they have been updated. Staff Meeting - Prior to Opening Have staff meetings before reopening (virtual meetings, if necessary). Discuss your proposals for operations, staffing requirements, new policies / procedures etc. Ensure all staff are aware of what their tasks and responsibilities will be in the lead-up to reopening, and once reopened. Hospitality NZ Start Up Resource This resource is to be used as a guide, information is subject to change Page 11 • 17 April 2020 V3
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