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Hospitality crisis deepens as worker shortage forces owners to look offshore

Australia’s hospitality sector is in the grip of a major staffing crisis, with 48,000 roles left unfilled and business owners struggling to find dependable local workers.

Neal Davison, who runs Macleay’s Deli in Kempsey and Cressence Bistro in Crescent Head on the New South Wales Mid-North Coast, says it’s getting harder to find anyone willing—or able—to show up.

“We will get a WhatsApp message at 3am along the lines of ‘I won’t be opening at 6am’,” Davison said. “It’s because they decided to have too much to drink the night before.”

He says many staff simply vanish without notice, leaving him and his daughter scrambling to fill the gaps.

“Other businesses have shut because of lack of quality staff,” he said. “When you are closer to the waves they just want to go out surfing.”

Davison believes Centrelink settings aren’t helping. “So many are on Centrelink payments and say ‘I can only work eight hours a week or it affects my payments’ or ‘I want to be paid cash in hand’, which you can’t do in business these days.”

Advertising offshore in now an option, however, it comes amid tight visa rules. “We need a sous chef at the moment, so we put an ad on Seek and probably 95 per cent of the applicants are offshore and wanting sponsorship,” he said.

Australian Restaurant & Cafe Association chief executive Wes Lambert says it’s a nationwide issue.

“The hospitality industry relies primarily on temporary workers, working holiday makers and international students to fill open roles. The borders have been effectively shut or nearly shut with caps on working holiday makers and international students.”

Sydney chef Luke Mangan agrees: “We all want to employ Australians, and we advertise for that, but we all end up having to employ visa workers and that is happening in the kitchens and front of house all over the country,” he said.

Mangan added that while hospitality has long suffered from a poor workplace image, it can still be a fulfilling career for those who commit.

 

 

Jonathan Jackson, 31st July 2025