The Restaurant Industry Award 2020 (MA000119) sets minimum pay rates and employment conditions for restaurants, cafés and hospitality venues across Australia.
For 2026, employers must ensure they are applying updated pay rates, penalty rates, overtime rules and allowances correctly. Hospitality payroll is particularly error-prone due to late-night trading, weekend work, split shifts and a high proportion of casual and junior employees.
If you misapply penalties or overlook allowances, the underpayment risk compounds quickly across every shift worked.
What is the Restaurant Award (MA000119)?
The Restaurant Industry Award applies to employers in the restaurant and café industry and their employees.
It generally covers:
- restaurants, cafés, coffee shops and bistros
- dine-in and takeaway food services where table service is common
- kitchen staff, waitstaff and bar staff
- supervisors and restaurant managers (depending on classification)
The award applies where food and beverages are prepared and served for consumption on the premises.
Who is not covered by the Restaurant Award?
The Restaurant Award does not apply where:
- the business is primarily fast food or takeaway (covered by the Fast Food Award)
- the business operates as part of retail (covered by the Retail Award in some cases)
- the workplace is covered by the Hospitality Award (e.g. hotels, pubs, accommodation venues)
- employees are covered by an enterprise agreement
Misidentifying the award leads to incorrect pay structures from the start.
What are the Restaurant Award pay rates in 2026?
Pay rates under the award depend on:
- classification level (e.g. food and beverage attendant, cook, supervisor)
- employment type (full-time, part-time, casual)
- age (junior rates apply)
- apprentice or trainee status
Rates are updated annually following the Fair Work Commission wage review, typically effective from the first full pay period on or after 1 July. Below are the updated pay rates in 2026
Adult full-time & part-time
| Classification | Weekly pay rate | Hourly pay rate |
| Introductory level | $922.70 | $24.28 |
| Level 1 – food and beverage attendant grade 1 | $948.00 | $24.95 |
| Level 1 – kitchen attendant grade 1 | $948.00 | $24.95 |
| Level 2 – food and beverage attendant grade 2 | $982.40 | $25.85 |
| Level 2 – cook grade 1 | $982.40 | $25.85 |
| Level 2 – kitchen attendant grade 2 | $982.40 | $25.85 |
| Level 2 – clerical grade 1 | $982.40 | $25.85 |
| Level 2 – storeperson grade 1 | $982.40 | $25.85 |
| Level 2 – door person/security officer grade 1 | $982.40 | $25.85 |
| Level 3 – food and beverage attendant grade 3 | $1,014.70 | $26.70 |
| Level 3 – cook grade 2 | $1,014.70 | $26.70 |
| Level 3 – kitchen attendant grade 3 | $1,014.70 | $26.70 |
| Level 3 – clerical grade 2 | $1,014.70 | $26.70 |
| Level 3 – storeperson grade 2 | $1,014.70 | $26.70 |
| Level 3 – timekeeper/security officer grade 2 | $1,014.70 | $26.70 |
| Level 3 – handyperson | $1,014.70 | $26.70 |
| Level 4 – food and beverage attendant grade 4 (tradesperson) | $1,068.40 | $28.12 |
| Level 4 – cook grade 3 (tradesperson) | $1,068.40 | $28.12 |
| Level 4 – clerical grade 3 | $1,068.40 | $28.12 |
| Level 4 – storeperson grade 3 | $1,068.40 | $28.12 |
| Level 5 – food and beverage supervisor | $1,135.50 | $29.88 |
| Level 5 – cook grade 4 (tradesperson) | $1,135.50 | $29.88 |
| Level 5 – clerical supervisor | $1,135.50 | $29.88 |
| Level 6 – cook grade 5 (tradesperson) | $1,165.70 | $30.68 |
Adult casual
| Classification | Hourly pay rate | Saturday | Sunday |
| Introductory level | $30.35 | $36.42 | $36.42 |
| Level 1 – food and beverage attendant grade 1 | $31.19 | $37.43 | $37.43 |
| Level 1 – kitchen attendant grade 1 | $31.19 | $37.43 | $37.43 |
| Level 2 – food and beverage attendant grade 2 | $32.31 | $38.78 | $38.78 |
| Level 2 – cook grade 1 | $32.31 | $38.78 | $38.78 |
| Level 2 – kitchen attendant grade 2 | $32.31 | $38.78 | $38.78 |
| Level 2 – clerical grade 1 | $32.31 | $38.78 | $38.78 |
| Level 2 – storeperson grade 1 | $32.31 | $38.78 | $38.78 |
| Level 2 – door person/security officer grade 1 | $32.31 | $38.78 | $38.78 |
| Level 3 – food and beverage attendant grade 3 | $33.38 | $40.05 | $46.73 |
| Level 3 – cook grade 2 | $33.38 | $40.05 | $46.73 |
| Level 3 – kitchen attendant grade 3 | $33.38 | $40.05 | $46.73 |
| Level 3 – clerical grade 2 | $33.38 | $40.05 | $46.73 |
| Level 3 – storeperson grade 2 | $33.38 | $40.05 | $46.73 |
| Level 3 – timekeeper/security officer grade 2 | $33.38 | $40.05 | $46.73 |
| Level 3 – handyperson | $33.38 | $40.05 | $46.73 |
| Level 4 – food and beverage attendant grade 4 (tradesperson) | $35.15 | $42.18 | $49.21 |
| Level 4 – cook grade 3 (tradesperson) | $35.15 | $42.18 | $49.21 |
| Level 4 – clerical grade 3 | $35.15 | $42.18 | $49.21 |
| Level 4 – storeperson grade 3 | $35.15 | $42.18 | $49.21 |
| Level 5 – food and beverage supervisor | $37.35 | $44.82 | $52.29 |
| Level 5 – cook grade 4 (tradesperson) | $37.35 | $44.82 | $52.29 |
| Level 5 – clerical supervisor | $37.35 | $44.82 | $52.29 |
| Level 6 – cook grade 5 (tradesperson) | $38.35 | $46.02 | $53.69 |
Referenced from Restaurant Industry Award Pay Guide
Restaurant Award classification levels explained
Classification directly determines pay rates and entitlements.
Employees must be classified based on:
- skill level
- qualifications (e.g. cook vs qualified chef)
- duties performed
Typical structure includes:
- Food and beverage attendants: service staff across multiple levels
- Cooks: kitchen staff without formal trade qualifications
- Chefs: trade-qualified employees
- Supervisors: employees responsible for overseeing staff or service
If classification is wrong, every penalty and overtime calculation that follows is wrong.
What are the penalty rates under the Restaurant Award in 2026?
Penalty rates are a major risk area in hospitality due to late trading hours. Under the latest Restaurant Award, penalty rates for ordinary hours are:
Full-time & part-time employees
- Monday–Friday (6am–10pm): 100%
- Monday–Friday (10pm–midnight): +$2.81/hour
- Monday–Friday (midnight–6am): +$4.22/hour
- Saturday: 125%
- Sunday: 150%
- Public holidays: 225%
Casual employees (inclusive of 25% loading)
- Monday–Friday (6am–10pm): 125%
- Monday–Friday (10pm–midnight): 125% + $2.81/hour
- Monday–Friday (midnight–6am): 125% + $4.22/hour
- Saturday: 150%
- Sunday:
- Level 1–2: 150%
- Level 3–6: 175%
- Public holidays: 250%
The exact percentages depend on classification and time worked, but the key issue is not knowing when penalties are triggered especially across split shifts and late finishes.
When does overtime apply under the Restaurant Award?
Overtime applies when employees work:
- beyond ordinary weekly hours
- outside the spread of ordinary hours
- beyond rostered daily hours
- on additional days beyond roster limits
Full-time & part-time employees
- Mon–Fri (first 2 hours): 150%
- Mon–Fri (after 2 hours): 200%
- Saturday (first 2 hours): 175%
- Saturday (after 2 hours): 200%
- Sunday: 200%
- Rostered day off: 200%
Note that overtime is calculated per day (does not compound across days) and minimum of 4 hours pay applies on a rostered day off even if less worked
Part-time employees are particularly at risk of incorrect overtime treatment when their guaranteed hours are exceeded.
What allowances apply under the Restaurant Award?
The common allowances include:
Split shift allowance
- $5.34 per work period (if each period ≥2 hours)
Meal allowance (overtime)
- $16.73 per occasion if:
- overtime >2 hours
- no prior notice
Tool & equipment allowance (cooks)
- $2.03 per day
- $9.94 max per week
Other allowances (often missed)
- special clothing allowance
- distance/work travel allowance
- uniform maintenance
Missing allowances is one of the most common causes of underpayment in restaurants.
What are split shifts and why do they matter?
Split shifts are common in restaurants (e.g. lunch shift + dinner shift). A split shift occurs when:
- a shift is broken into separate work periods
- with a break of more than 60 minutes between them
Key rules:
- allowance applies per work period (≥2 hours each)
- max spread of hours = 12 hours total across the day
Simple Example:
- 9:00–13:00
- 17:00–21:00
This triggers 2 split shift allowances.
If split shifts is one of the key allowances in Restaurant Award because they:
- affect overtime calculations
- may trigger additional allowances
- complicate daily hour tracking
What break entitlements apply under the Restaurant Award?
Breaks depend on the length of the shift.
Generally:
- shorter shifts: rest breaks only
- longer shifts: unpaid meal breaks plus rest breaks
- extended shifts: multiple breaks required
For shifts of 5–10 hours:
- 1 unpaid meal break (min 30 mins) and must be taken within first 6 hours
- if delayed beyond 5 hours extra 20 min paid break required
For shifts over 10 hours:
- 1 unpaid meal break (30 mins) + 2 paid 20-minute rest breaks
Overtime break rule:
- If employee works >2 hours overtime they must receive extra 20-minute paid break
Minimum rest between shifts:
- 10 hours between shifts and 8 hours for roster changeovers
- If not met, employer must pay overtime until break is provided
Failure to provide or correctly record breaks can lead to both payroll and compliance issues.
What compliance mistakes should restaurant employers avoid?
Common mistakes:
- applying the wrong award (Restaurant vs Fast Food vs Hospitality)
- misclassifying employees (especially cooks vs chefs)
- missing late-night and weekend penalties
- failing to apply overtime correctly for part-time staff
- ignoring split shift conditions
- missing uniform, meal or transport allowances
- incorrect handling of casual loading vs penalties
- relying on manual spreadsheets for complex rosters
Employers must be aware that payroll errors usually come from everything layered on top.
Why Restaurant Award compliance matters in 2026
Restaurant operations combine:
- late-night trading
- weekend-heavy rosters
- casual and junior workforces
- split shifts
- frequent roster changes
That combination creates a high-risk payroll environment where small errors repeat across every shift. One incorrect rule can affect hundreds of payslips.
FAQs about Restaurant Award
Q1: What is the Restaurant Industry Award?
A1: The Restaurant Industry Award 2020 (MA000119) sets minimum pay rates and conditions for restaurants, cafés and similar hospitality businesses in Australia.
Q2: What are Restaurant Award penalty rates in 2026?
A2: Penalty rates apply to evenings, weekends and public holidays, with higher rates depending on time worked and employment type.
Q3: Do casual employees get both loading and penalties?
A3: Yes. Casual employees receive a 25% loading, and penalty rates are applied based on the award structure.
Q4: What is a split shift under the Restaurant Award?
A4: A split shift is when an employee works separate periods in one day (e.g. lunch and dinner service), which may trigger additional conditions or allowances.
Q5: What is the biggest payroll risk in restaurants?
A5: Misapplying penalty rates, overtime and allowances instead of base pay rates.
Read More
Restaurant Award Pay Rates & Updates
Restaurant Industry Award 2025: Complete Wage & Condition Guide
Updated Restaurant Industry Award Pay Rates: What You Need to Know
Restaurant Award & Overview
Meal & Split Shift Allowances Under the Restaurant Award
Restaurant Award vs Hospitality Award: What’s the Difference?
