Advice on Changes to the Retail Trading Hours Act
From 1 November 2010, new West Australian laws came into effect allowing general retail shops the choice to stay open until 9pm on weeknights.
Before 1 November, general retail shops were allowed to trade at any time during the following hours: 8am to 6pm Monday, Tuesday, Wednesday and Friday; 8am to 9pm on Thursday and 8am to 5pm Saturday.
Retail tenants and landlords
Retail tenants
What’s changed?
Amendments to the Retail Trading Hours Act 1987 to extend weeknight trading hours for general retail shops will:
- give metropolitan consumers more choice about when and where to shop during weekdays;
- provide choice for metropolitan general retail shops as to whether to trade until 9pm each weeknight;
- preserve the ability for small retail shops to open at any time, and for special retail shops to open during their existing extended hours; and
- not affect the trading hours arrangements for motor vehicle shops and filling stations.
The majority of non-metropolitan areas have their own trading hours arrangements in place and the Act makes no changes to the policy of self determination in regional and non-metropolitan Western Australia.
Back to top
What you need to know
These changes potentially affect every retail tenant and landlord.
The key points are:
- The new legislation provides opportunities for interested retail business owners to trade until 9pm on weekdays.
- A retail shop lease which requires a tenant to open at specified hours or times is void under the Commercial Tenancy (Retail Shops) Agreements Act 1985
- The Retail Trading Hours Act 1987 does not amend the Commercial Tenancy (Retail Shops) Agreements Act 1985 and as such, these existing protections for retail tenants will continue.
- Under the Commercial Tenancy (Retail Shops) Agreements Act 1985, a tenant cannot be forced to open a retail shop at specified hours or specified times (it would also include extended trading hours).
- Under the Commercial Tenancy (Retail Shops) Agreements Act 1985, tenants cannot be required to contribute to the operating expenses related to the extended hours established by the Retail Trading Hours Act 1987 unless they choose to open.
- If a tenant believes a landlord has refused to renew his or her lease because the tenant failed to open the shop at the times requested by the landlord (including extended trading hours), the tenant may apply to the State Administrative Tribunal for compensation.
Back to top
What to consider before choosing to open for extended trading on weeknights
Opening later may be a welcome opportunity for retail traders. Some retailers already open and others will be encouraged to consider opening under these new arrangements.
To assist in making an informed decision as to whether or not to open, you should consider:
- additional staff requirements
- pay rates for staff working longer hours
- marketing to customers to advise them of longer trading hours
- opening hours of neighbouring retail shops
- competitors opening hours
- security costs
- additional costs levied by the landlord for services such as electricity, cleaning and so on.
Back to top
What to do if you are concerned about your lease position
- Record and document in writing all contact, both verbal and in writing, with your landlord.
- Read your lease carefully so you are fully aware of your legal rights and obligations.
- Talk to your landlord about your concerns and see if a compromise can be negotiated.
- If you are unclear as to your rights and obligations, we suggest that you seek professional legal advice.
You can also seek free, confidential advice from our Specialist Commercial Tenancy Advisors by phone on 131 BIZ (131 249).
Want more information?
If you are a tenant or a landlord, you may have other questions about how these changes may affect your business. For more detailed information on the Retail Trading Hours Act 1987 contact:
Back to top
