Chief Minister Michael Gunner’s surprise move to declare Boxing Day a public holiday has received mixed reactions, with unions expressing their gratitude while the business community, already struggling from the coronavirus pandemic, said it could result in more closures and less shifts on the day.

Under the NT’s current legislation, if Boxing Day falls on a Saturday, the public holiday is observed on the following Monday and there is no official public holiday on the day after Christmas Day, which meant that Territorians who have to work on Boxing Day do not receive public holiday penalty rates.

Mr Gunner said he has now changed that.

“We are behind most of the country on this,” he said in a statement. “Our decision brings us into line with almost every other state and territory. I know it won’t make everyone happy, but it strikes the right balance.

“This has been a hard year for everyone, and I think all Territorians have earned a break. But for a lot of our frontline workers, retail and hospitality staff, Boxing Day means another day of hard work.”

The extra holiday however will deal an extra blow for some small business owners already affected by the coronavirus pandemic restrictions, critics say.

Some local owners took to social media to air their grievances with the holiday announcement saying that the government did not consult with them regarding the matter.

“No consult with local small business owners. Absolute joke,” a local working for Fishing & Outdoor World in Cavenagh Street commented on social media.

Another said that it’s “just a kick in the guts for small businesses that are already struggling.”

‘It will mean less open cafes and restaurants … less hours for staff’: Hospitality NT

Hospitality NT chief executive Alex Bruce said the move will negatively impact on workers and the general public.

“It will mean less open cafes and restaurants,” Mr Bruce said, “less choice for consumers, less hours for staff and another day of menu surcharges.”

CLP Deputy Opposition Leader Gerard Maley said the “snap decision” would further undermine already shaky business confidence in the Territory, pointing to the Gunner Government’s first act after the 2016 election to introduce half-day holidays on Christmas Eve and New Years Eve, which Mr Maley said undermined business confidence then.

“We should all question the timing here,” he said. “The Chief Minister’s union backers are not happy with his decision to cap public service wage growth. Is he buying back their favour with a post-Christmas overtime bonus?

“Private sector staff may see shifts cancelled on Boxing Day, costing them money. Small businesses may not be able to absorb the extra cost, particularly in the most challenging economic times the Territory has ever faced.”

The Gunner Government pointed to the support it has given to Territory small businesses in 2020 in its press release – including the Small Business Survival Fund, the My Territory retail vouchers, the Territory Tourism vouchers, the Business Improvement Grants, and the Immediate Works Grants.

In October, the Federal Government extended JobKeeper through to March next year and has stated that rates and eligibility requirements would change.

Between April and July, the NT recorded that more than 4,000 employers received Job Keeper payments.

The Boxing Day change follows other Australian jurisdictions such as New South Wales, Victoria, Queensland, Western Australia and the ACT that recognise both the Saturday and the Monday as public holidays.