A leading Canberra hair salon owner has closed his businesses in the national capital, saying the federal government's coronavirus guidelines for the industry are "ridiculous" and dangerous and hopes salons will be able to access the new wage subsidy for laid-off employees.
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Emilio Cataldo has called for the entire hairdressing industry to be shut down during the crisis, saying it is the safer option and will give salons the ability to apply for the new wage subsidy measure designed to keep people technically employed for the next six months.
Mr Cataldo closed the salons he co-owns in Civic and Woden last Wednesday, well before Monday's announcement of the wage subsidy, because he was concerned about their risk of spreading the virus. saying the government's safety guidelines were farcical.
He was still trying to digest the implications of Monday's announcement which will see businesses paid up to $1500 a fortnight for each employee, as part of a "job keeper allowance" to ensure the workers stayed on the books during the crisis.
It will help businesses to keep paying their employees so they have a job to return to on the other side of the crisis and speed up the economic recovery, the government hopes.
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It will also help businesses to stay open during the crisis "where and when permitted".
How that would apply to hair salons and barbers, which technically could still operate, was not certain.
Although, one of the provisos of the wage subsidy is that a business has lost at least 30 per cent of its income due the pandemic.
Mr Cataldo said his business had absolutely lost that amount because of falling trade due to concerns about the coronavirus.
"We were not even breaking even," he said.
Mr Cataldo said if the wage subsidy was open to his sector, he was feeling a little more hopeful.
"We are feeling more optimistic for our team, for these young people," he said.
"It's a good solution, a good package, if we understand it as we do."
But Mr Cataldo was upset it was left to individual salons to close because they believed the safety of their staff and customers were being compromised, when the government was allowing the sector to continue trading.
"We could not live with ourselves if someone contracted that virus because of us," he said.
Mr Cataldo said he closed the doors on the Cataldo's salons in Civic and Woden last Wednesday, giving staff a week's pay, because he believed staying open was creating a risk to his staff, clients and wider community.
The government has said salons and barbers can remain open if staff maintain a 1.5-metre distance from their clients or four-metres-per-person rule.
Mr Cataldo said it was impossible to maintain those restrictions when washing, cutting, colouring or styling hair.
"We have to work extremely close to our clients and I don't think we're more immune than anyone else," he said.
"We feel we are a danger to the community. We are in contact with all these people quite intimately and we don't know if someone has it or not."
Mr Cataldo said it was ridiculous to restrict funerals to 10 people but allow potentially many more people into a hair salon.
The salon had been operating for 55 years in October. It had never been forced to shut before. But he believed it was now the responsible thing to do.
"We're not essential services," he said. "We don't want to be responsible for spreading this virus. It's unbelievable.
"Our concern is for our team, our clients and the community."
Mr Cataldo said he regarded his staff and clients as family. As a business owner, he was not interested in making money at this time.
"Health is more important. You can't get your health back," he said.
The wage subsidy, in the meantime, could cushion the blow for his employees.
- For information on COVID-19, please go to the ACT Health website or the federal Health Department's website.
- You can also call the Coronavirus Health Information Line on 1800 020 080
- If you have serious symptoms, such as difficulty breathing, call Triple Zero (000)
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