Fast Food Industry Award Guide [MA000003]

Fast Food Industry Award Guide [MA000003]

Table of content

  1. What is the Fast Food Industry Award?
  2. Who is entitled to the Fast Food Industry Award?
  3. How is the shiftwork arranged in the Fast Food Industry Award?
  4. How are wages and allowances calculated in the Fast Food Industry Award?
  5. How is the leave managed in Fast Food Industry Award?
  6. How can Workstem assist you?

This article provides guidelines on the Australian Fast Food Industry Award package. For more information on this award, please refer to the Fast Food Industry Award [MA000003].

What is the Fast Food Industry Award?

The Fast Food Industry Award is a set of legal minimum employment standards and conditions that apply to employees working in the fast food industry in Australia.

This award specifically focuses on the fast food sector and outlines the minimum wage rates, working hours, overtime, annual leave, sick leave, and other entitlements for employees working in various roles within the industry. These roles may include kitchen staff, customer service representatives, delivery drivers, and restaurant managers.

The Fast Food Industry Award is designed to ensure fair treatment, rights, and reasonable conditions for fast food industry employees, promoting fairness and resolving disputes while maintaining industry integrity.

Who is entitled to the Fast Food Industry Award?

Coverage

The Fast Food Industry Award covers employers and employees in the fast food industry who are involved in taking orders for, preparing, selling, and delivering fast food that is intended to be consumed away from the point of sale.

Employees who are covered by the award include :

  • Taking orders (including via an app), cooking and selling fast food
  • Baristas (in fast food shops or take-away cafes)
  • Delivery drivers
  • Supervisors of these employees
  • Employees in charge of a fast food / take-away shop or outlet
  • Cafes where the main food or drink is sold (and packaged) for take-away.

The Fast Food Award also covers labour hire businesses and their employees who are placed with an organisation in the fast food industry.

Types of employment

An employee covered by this award must be one of the following:

  • A full-time employee who is engaged to work an average of 38 ordinary hours per week over a period of no more than 4 weeks.
  • A part-time employee who is engaged to work less than 38 ordinary hours per week and has predictable hours.
  • A casual employee who is engaged to work may be no more than 38 ordinary hours per week; or if they work according to a roster, their ordinary hours may be averaged over the roster cycle to be no more than 38 hours per week.

The Award does not generally cover

The Fast Food Award does not cover  cafes, restaurants, coffee shops or bars where the business mainly sells food and beverages to be eaten on the premises and/or offers sit down and table service.
The Fast Food Award doesn’t cover employers and employees who are already covered
  • Restaurant Award
  • Hospitality Award
  • Retail Award
The Fast Food Award also doesn’t cover employees who are delivering goods prepared by a fast food business and aren’t directly employed by them.

How is the shiftwork arranged in the Fast Food Industry Award?

Hours of Work

Employment type Ordinary hours per week Maximum daily hours
Full-time 38 hours per week over a period of no more than 4 weeks 11 hours
Part-time less than 38 hours 11 hours
Casual 38 hours  max ordinary hours / week 12 hours

Shiftwork

While it was considered that many fast food establishments operate on a ‘24/7’ model and can facilitate shiftwork, the Commission ultimately held that the Fast Food Award does not currently contain any substantive shiftwork provisions. As such, all references to ‘shift workers’ will be removed to avoid confusion and ambiguity.

Breaks

Hours worked per shift Rest breaks Meal breaks
Less than 4 hours No rest break No meal break
4 hours or more but less than 5 hours One 10 minute paid rest break No meal break
5 hours or more but less than 9 hours One 10 minute paid rest break One unpaid meal break of at least 30 minutes but not more than 60 minutes
9 hours or more If 2 unpaid meal breaks are provided:
One 10 minute paid rest break Two unpaid meal breaks of at least 30 minutes but not more than 60 minutes
Or, if 2 unpaid meal breaks are not provided:
Two 10 minute paid rest breaks — one to be taken in the first half of the shift and one in the second half of the shift One unpaid meal break of at least 30 minutes but not more than 60 minutes

*Note: Rest breaks count as time worked. Meal breaks do not count as time worked.

How are wages and allowances calculated in the Fast Food Industry Award?

Minimum rates

Employee classification Minimum weekly rate
(full-time employee)
Minimum hourly rate
Fast food employee level 1 $939.60 $24.73
Fast food employee level 2 $995.00 $26.18
Fast food employee level 3—in charge of one or no person $1010.30 $26.59
Fast food employee level 3—in charge of 2 or more people $1022.70 $26.91

Overtime rates

The overtime rate payable to an employee depends on the time at which the overtime is worked:

For overtime worked: Full-time and part-time employees

(% of minimum hourly rate)

Casual employees

(% of minimum hourly rate)

Monday to Saturday—first 2 hours 150% 175%
Monday to Saturday—after 2 hours 200% 225%
Sunday—all overtime hours 200% 225%
Public holiday—all overtime hours 250% 275%

Penalty rates

For ordinary hours worked: Full-time and part-time employees

(% of minimum hourly rate of pay)

Casual employees

(% of minimum hourly rate)

Monday to Friday—between 10.00 pm and midnight 110% 135%
Monday to Friday—between midnight and 6.00 am 115% 140%
Saturday—any time of day 125% 150%
Sunday (Level 1 employees)—any time of day 125% 150%
Sunday (Level 2 and 3 employees)—any time of day 150% 175%
Public holiday—any time of day 225% 250%

Allowance

Allowances Rate
Meal allowance – overtime
  • $15.23 for the first meal and
  •  $13.76 for the second meal
Cold work allowance
  • $0.34 per hour plus
  • $0.52 per hour for each hour working in temperatures below 0°C
District allowance – Broken Hill $42.59 per week
Laundry allowance
  • full-time employees  – $6.25 per week
  •  part-time or casual employees  – $1.25 per shift
Vehicle allowance
  • delivery drivers  – $0.50 per km
  • not delivery drivers  – $0.95 per km
Special clothing reimbursement reimbursement for the cost of purchasing the clothing and replacement costs, when replacement is due to normal wear and tear
Transfer to another township reimbursement payment of the whole moving expenses, including fares and transport charges
Transport reimbursement – starting or finishing after 10pm or before 7 am – normal means of transport unavailable reimbursement for reasonable costs of commercial passenger vehicle transport between the place of employment to their usual place of residence
Working away from usual workplace – excess fares reimbursement reimbursement for the cost of any fares reasonably incurred in excess of those normally incurred in travelling between home and the usual place of employment
Working away from usual workplace – travelling time reimbursement – Monday to Saturday payment at the minimum hourly rate for time spent travelling in excess of time normally spent travelling between home and the usual place of employment
Working away from usual workplace – travelling time reimbursement – Sunday and public holidays payment at the minimum hourly rate + 50% for time spent travelling in excess of time normally spent travelling between home and the usual place of employment
Working away from usual workplace – excess travel costs reimbursement reimbursement for all extra transport costs incurred

How is the leave managed in Fast Food Industry Award?

In the Fast Food Industry Award, leave entitlements for employees are determined by the National Employment Standards (NES) and the classification of the employee.

Annual leave

Annual leave is provided for in the NES.It does not apply to casual employees.

Day work Employees who would have worked on day work only had they not been on leave—17.5% or the relevant weekend penalty rates, whichever is the greater but not both.
Shiftwork Employees who would have worked on shiftwork had they not been on leave—a loading of 17.5% or the shift loading (including relevant weekend penalty rates), whichever is the greater but not both.

Personal leave

Personal leave is a type of paid leave provided by the NES that allows employees to take time off work when they are sick or injured.

  •  Full-time and part-time employees are entitled to 10 days of paid personal leave per year.
  • Casual employees are entitled to unpaid personal leave.

Public holidays

The National Employment Standards (NES) provide entitlements for public holidays.

Employers and employees can agree to substitute another day for a public holiday as outlined in the NES.
  • If an employee works on either the public holiday or the substitute day public holiday penalties apply.
  •  If both days are worked, the public holiday penalties must be paid on one day chosen by the employee.
Employers and employees can agree to substitute another part-day for a part-day public holiday as outlined in the NES.
  • If an employee works on either the part-day public holiday or the substitute part-day public holiday penalties apply.
  • If both part-days are worked, the public holiday penalties must be paid on one part-day chosen by the employee.
Work on public holidays must be compensated by payment at the rate of 225% or 250% for casual employees (inclusive of casual loading).

How can Workstem assist you?

Workstem is a one-stop payroll & HR platform with an award interpretation module and customised attendance formulas that ensure hospitality employers stay compliant with Fair Work regulations. The platform simplifies HR processes, reduces administrative burdens, and offers a user-friendly interface for small businesses and large enterprises alike.

Experience the benefits of Workstem for yourself !

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