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Reduced weekend penalties for restaurant workers

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By Chao Ni, Associate, MST Lawyers

In a recent decision by the Fair Work Commission, the Sunday shift penalty under the Restaurant Industry Award 2010 for low skilled casual workers* has been reduced from 75% to 50% (inclusive of the 25% casual loading).

From 1 July 2014, the transitional phase of the modern awards will be completed and those employers who are covered by modern awards will be subject to the full penalties as published in the modern awards.

A summary of the shift penalties under the various modern awards covering the food and dining from 1 July 2014 are as follows:

 

Fast Food Industry Award 2010

Restaurant Industry Award 2010

Hospitality Industry (General) Award 2010

Monday to Friday Pay

Permanent: 100%

Casual: 125%

Permanent: 100%

Casual: 125%

Permanent: 100%

Casual: 125%

Late Night Pay

After 9pm

Permanent: 110%

Casual: 135%

After 10pm

Permanent: 110%

Casual: 135%

After 7pm

Permanent: 110%

Casual: 135%

Saturday Pay

Permanent: 125%

Casual: 150%

Permanent: 125%

Casual: 150%

Permanent: 125%

Casual: 150%

Sunday Pay

Permanent: 150%

Casual: 175%

Permanent: 150%

*Grade 1 and 2 casual: 150%

Other casual: 175%

Permanent: 175%

Casual: 175%

Public Holiday Pay

Permanent: 250%

Casual: 275%

Permanent: 250%

Casual: 250%

Permanent: 250%

Casual: 275%

The reduction of the weekend penalty in the Restaurant Industry Award 2010 may open the door for similar changes to be made to other modern awards.  Employers should watch this space.

If you have any questions about modern awards, please contact our Workplace Relations Team on +61 3 8540 0200 or email the author of this article, Chao Ni.