A hospitality expert is concerned by the newly released guidelines for alert level 3, saying it could spell carnage for the industry.
Details about what alert level 3 would look like were announced by Prime Minister Jacinda Ardern on Thursday.
Under level 3 cafes, bars and restaurants will remain closed to the public but could offer contactless delivery services.
Although Ardern clarified what would happen if the alert level is reduced, the country has not moved there yet. New Zealand is still operating under alert level 4 - near total lockdown. A decision about whether the country will change levels is expected on Monday.
Chief executive of Hospitality New Zealand Julie White says if the country moves to level 3, the hospitality industry will suffer unless further support is announced.
"Under the level 3 restrictions bars, restaurants and cafes will remain closed," she said in a statement on Thursday.
"While contactless home-deliveries can happen, that won't be an option for most restaurants because it's cost-prohibitive, stressful, and the economies of scale won't be there."
Cafes, bars and restaurants started feeling the effects of COVID-19 earlier than other businesses when tourism began to dry up in early March.
"They have now been carrying losses for months," she said.
White says without rent freezes and other targeted Government initiatives for hospitality there will be "carnage".
"Thousands of businesses will close before they can even finish paying the wage subsidy and tens of thousands of staff will be redundant."
However another industry boss says alert level 3 won't be too bad.
New Zealand Restaurant Association Chief executive officer Marisa Bidois says the fact that some businesses will be able to operate is good news.
"We are pleased some of our businesses can begin operating at some level," she told Newshub.
"It's good news for many businesses that otherwise would have had to close permanently."
Bidois says many businesses will have to adapt their ways to fit in with New Zealand's new normal.
"We have had many discussions with lots of our members and many are looking to adapt and they're excited to do that."
