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Restaurant wages need an overhaul

13 Jan, 2012 09:41 AM
MANY Australians love to eat out on weekends and public holidays.

In fact, growth in the food retail sector was one of the few bright spots in the recently released retail trade figures.

However, there are common complaints from locals and tourists visiting Tasmanian cities and towns on public holidays that restaurants are closed and not catering for an obvious market.

It is pretty easy to see why.

The current Fair Work Act has frustrated many in the hospitality industry where casual staff make time-and-a-half on Saturdays, time-and-three-quarters on Sundays and double-time-and-a-half on public holidays on top of their 25 per cent casual loading.

In the recent words of celebrity chef George Calombaris, ''I've got staff claiming up to $40 an hour on Sundays, and it's not as if they've had to go to uni for 15 years.''

Calombaris added: ''The problem is that wages on public holidays and weekends greatly exceed the opportunity for profit.''

The federal government needs to understand that the current system is broken.

Who could blame any restaurant owner for not opening on a public holiday if they are faced with making a loss.

Workplace Relations Minister Bill Shorten has a different view. He says that penalty rates compensate hospitality staff who work late nights, public holidays and weekends while everyone else gets to spend this time with family and friends.

What Mr Shorten needs to understand is that a closed restaurant means that nobody wins and the alternative of adding a 15 per cent surcharge for weekend food will drive away customers.

People who go into jobs with weekend and night work know the consequences and get some loading but double-time-and-a-half plus 25 per cent loading is unsustainable.

Mr Shorten needs to douse his future prime ministerial ambitions and desire to be the champion of the working class with a large dose of commonsense.

Penalising the job creators is penalising Australia - he needs to broker a compromise.

- MARTIN GILMOUR, editor

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Date: Newest first | Oldest first
Spot on Martin! I have a friend who runs a small business in Launceston, who needs to start his employees one hour before the permissible award start time. He then has to pay a 12.5% loading - not just on the single hour, but on the entire shift! This actually encourages him to put casuals on for a three hour shift in the morning, before starting his permanent staff. Just outrageous how red tape, regulation and a lack of Fair Work logic is impacting employers. Time for a welcome outbreak of common sense, but I'm not holding my breath that the Fair Work Review in Feb will deliver this!
Posted by Andrew, 13/01/2012 10:22:43 AM, on The Examiner
Ah come on, don't be so critical of our illustrious leader Julia Gillard's great dream for prosperity for all and huge increases in employment. So what if a few (thousand) businesses have to shut along the way. As long as the union leaders are happy (and the Greens and independents) who cares, right?
Posted by Bob, 13/01/2012 11:05:09 AM, on The Examiner
Good article this,

So many interstate friends come down for Christmas and New Year (generally to fill in a few days before Falls) only to find the cafe's we raved about closed, and the resteraunts we loved only open on the non weeekend/ non public holiday days.

It's easy to see whay they don't come back


Posted by Snapper, 13/01/2012 4:49:08 PM, on The Examiner

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