Push to cut Sunday Penalty rates
Cutting Sunday penalty rates to Saturday levels could create 2800 jobs in South Australia and encourage restaurants to open for general trade and to support major sporting events, Restaurant and Catering Australia says.
The peak lobby group for hospitality employers nationally will today launch its More Jobs, More Shifts, More Choice campaign in Adelaide, seeking a reduction in Sunday penalty rates.
Currently, staff working on a Sunday are eligible for 150 per cent of their usual rate for permanent or part-time staff and up to 175 per cent for casuals. This increases to 250 per cent across the board for public holidays.
Adelaide was left embarrassed following the India-Pakistan Cricket World Cup match played at Adelaide Oval in February. Only a handful of traders opened to cater for the crowd of more than 41,000.
R&CA chief executive John Hart said yesterday that research commissioned by his organisation showed penalty rates were a significant contributor to outlets keeping their doors closed on Sundays.
“The application of uniform weekend pay would see 54 per cent of businesses currently not open on Sundays consider returning to Sunday trading,’’ he said.
Mr Hart said their research found businesses across the sector would, on average, employ an
additional 3.15 people if Sundays pay rates were reformed. Larger establishments were likely to add 4.25 staff and smaller businesses adding 2.42 extra staff.
“In South Australia, this could mean an additional 2800 jobs and 3500 more hours as a result of reform,’’ he said.
“In regional Australia, where restaurants are more likely to be closed on Sundays, reform would kickstart their economies and address rising youth unemployment.
“Almost one-tenth of cafes and restaurants across South Australia close on Sundays and public holidays.
“Longer opening hours and Sunday trading will lead to additional shifts for existing workers and
enhanced dining options for locals and visitors alike.’’
Mr Hart said 43 per cent of staff in the hospitality were aged 15-24, meaning any job creation measures would benefit young, unemployed people in particular.
The simplicity of an across-the-board weekend pay rate would also help employers manage red tape, he said.
Restaurant and catering workers are covered by a modern award, and Mr Hart said the Fair Work Commission, in its currently ongoing review process, should look at simplifying the current pay structures.
Faraja co-owner Mark Dearden said lower pay rates would make Sunday trading more attractive and allow them to be more flexible when employing staff.
“We don’t open on Sunday evenings for that reason,’’ he said.
Source : The Daily Telegraph Cameron England September 1st 2015
Originally published as Push to cut Sunday penalty rates
