Restaurant Industry Award Guide [MA000119]

Restaurant Industry Award Guide [MA000119]

Table of content

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

This blog is only the summary of the Restaurant Industry Award. Please check the full version of Restaurant Industry Award [MA000119].

What is Restaurant Industry Award?

Award is an industrial instrument that sets out the minimum terms and conditions of employment for a group of employees in a particular industry or occupation.

Restaurant Industry Award is a set of rules and regulations that govern the employment conditions and minimum wages for employees working in the retail industry in Australia. This modern award commenced operation on 1 January 2010. The terms of the award have been varied since that date.

Who is entitled to Restaurant Industry Award?

Coverage

In this award restaurant industry means restaurants, reception centres, night clubs, cafés or roadhouses and includes catering by a restaurant business and a tea room operated in, or in connection with, a restaurant business but does not include a restaurant operated in, or in connection with, premises owned or operated by an employer covered by any of the following awards:

  • Hospitality Industry (General) Award 2020; or
  • Registered and Licensed Clubs Award 2020; or
  • Fast Food Industry Award 2010.

Types of employment

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

  • a full-time employee (An employee who is engaged to work an average of 38 ordinary hours per week over a period of no more than 4 weeks is a full-time employee.); or
  • a part-time employee (An employee who is engaged to work at least 8 and fewer than 38 ordinary hours per week, and has reasonably predictable hours of work.); or
  • a casual employee (An employee who is engaged to work a maximum of 12 hours per day or per shift; a maximum of 38 hours per week or, if the casual employee works in accordance with a roster, an average of 38 hours per week over the roster cycle.)

How is the shiftwork arranged in Restaurant Industry Award?

Regarding hours of work, the award establishes standard working hours and provides guidelines for shiftwork, break, etc.

Hours of Work

An arrangement for working ordinary hours must satisfy all of the following conditions:

  • the minimum number of ordinary hours that may be worked by a full-time employee on any day is 6 (excluding meal breaks); and
  • the maximum number of ordinary hours that may be worked on any day is 11.5 (excluding meal breaks); and
  • an employee who is rostered to work more than 10 ordinary hours on more than 3 consecutive days is entitled to a break of at least 48 hours after the last consecutive day on which the employee works more than 10 ordinary hours; and
  • the maximum number of days on which an employee may work more than 10 ordinary hours in a 4 week cycle is 8; and
  • an employee (other than a casual employee) must have a minimum break of 10 hours between when the employee finishes ordinary hours on one day and starts ordinary hours on the next and a minimum break of 8 hours for a changeover of rosters; and
  • an employee must have a minimum of 8 full days off work in a 4 week period; and
  • the maximum spread of hours for an employee who works split shifts is 12.

NOTE: An employee under the age of 18 years must not be required to work more than 10 hours in a shift.

Shiftwork

While it was considered that many restaurants operate on a ‘24/7’ model and can facilitate shiftwork, the Commission ultimately held that the Restaurant Industry 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 day Breaks
5 hours or more and up to 10 hours At least 30 minutes’ unpaid meal break

(to be taken after the first hour of work and within the first 6 hours of work).

If the employee is rostered to take an unpaid meal break later than 5 hours after starting work, one additional 20 minute paid meal break 

(to be taken after the first 2 hours of work and within the first 5 hours of work).

More than 10 hours At least 30 minutes’ unpaid meal break 

(to be taken after the first hour of work and within the first 6 hours of work).

If the employee is rostered to take an unpaid meal break later than 5 hours after starting work, one additional 20 minute paid meal break

 (to be taken after the first 2 hours of work and within the first 5 hours of work).

2 additional 20 minute paid rest breaks.break

How are wages and allowances calculated in the Restaurant Industry Award?

In the Restaurant Industry Award, wages and allowances are calculated based on several factors outlined within the award.

Minimum rates

Employee classification Employee stream and grade Minimum weekly rate

(full-time employee)

Minimum 

hourly rate

Introductory Level 859.30 22.61
Level 1 Food and beverage attendant grade 1

Kitchen attendant grade 1

882.80 23.23
Level 2 Food and beverage attendant grade 2

Cook grade 1

Kitchen attendant grade 2

Clerical grade 1

Storeperson grade 1

Door person/security officer grade 1

914.90 24.08
Level 3 Food and beverage attendant grade 3

Cook grade 2

Kitchen attendant grade 3

Clerical grade 2

Storeperson grade 2

Timekeeper/security officer grade 2

Handyperson

945.00 24.87
Level 4 Food and beverage attendant grade 4 (tradesperson)

Cook grade 3 (tradesperson)

Clerical grade 3

Storeperson grade 3

995.00 26.18
Level 5 Food and beverage supervisor

Cook grade 4 (tradesperson)

Clerical supervisor

1057.40 27.83
Level 6 Cook grade 5 (tradesperson) 1085.60 28.57

Overtime rates

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

For overtime worked on Full-Time & Part-Time Employees

(% of minimum hourly rate of pay)

Casual Employees

(% of minimum hourly rate of pay; inclusive of casual loading)

Monday to Friday—first 2 hours 150% 150%
Monday to Friday—after 2 hours 200% 200%
Saturday—first 2 hours 175% 175%
Saturday—after 2 hours 200% 200%
Sunday—all time worked 200% 200%
Rostered day off – all time worked 200%

Penalty rates

Time of ordinary hours worked Full-time and part-time employees

(% of minimum hourly rate of pay)

Casual employees – Introductory to Level 2

(% of minimum hourly rate of pay; inclusive of casual loading)

Casual employees – Level 3 to Level 6

(% of minimum hourly rate of pay; inclusive of casual loading)

Monday to Friday – 6.00 am to 10.00 pm 100% 125% 125%
Monday to Friday – 10.00 pm to midnight 100% plus $2.62 per hour or part of an hour 125% plus $2.62 per hour or part of an hour 125% plus $2.62 per hour or part of an hour
Monday to Friday – midnight to 6.00 am 100% plus $3.93 per hour or part of an hour 125% plus $3.93 per hour or part of an hour 125% plus $3.93 per hour or part of an hour
Saturday 125% 150% 150%
Sunday 150% 150% 175%
Public holiday 225% 250% 250%

Allowances

Meal allowance work overtime for more than 2 hours without being notified of that requirement on or before the previous day.

$15.30 per occasion

overtime exceeds 4 hours

$18.14 per occasion

Split shift allowance $4.98 for each separate work period of 2 hours or more
Tool and equipment allowance daily tool and equipment allowance of $1.98 per day or part day up to a maximum of $9.72 per week
Special clothing allowance reimburse
Allowance for distance work
  • the employee is engaged for work that requires the employee to travel 80 kilometres from their usual place of work or more to take up the engagement; and
  • the employee performs their work to the satisfaction of their employer for a period of up to 4 weeks; and
  • the employee is willing to complete the full period of the engagement.

pay the employee for transport both ways between the employee’s residence and their place of work

How is the leave managed in Restaurant Industry Award?

For the complete version of leave entitlement, you may refer to NES.

Annual Leave

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

During a period of paid annual leave, an employer must pay an employee an additional payment for the employee’s ordinary hours of work. The additional payment is payable on leave accrued.

For an employee other than a shiftworker the additional payment is the greater of:

  • 17.5% of the employee’s minimum hourly rate for all ordinary hours of work in the period;or
  • The employee’s minimum hourly rate for all ordinary hours of work in the period inclusive of penalty rates as specified in penalty rates.

Personal Leave

Personal/carer’s leave and compassionate leave are provided for in the NES.

Public holidays

An employer must, if the rostered day off of a full-time employee falls on a public holiday, do one of the following:

  • pay the employee an extra day’s pay; or
  • give the employee an alternative day off within 28 days; or
  • give the employee an additional day’s annual leave.

How can Workstem assist you?

Workstem is a one-stop payroll & HR platform that has an award interpretation module to assist Restaurant Industry Award employers in several ways. We understand the various provisions of the Restaurant Industry Award and stay in compliance with Fair Work requirements, the customised attendance formulas can automatically calculate payments and will stay up-to-date with relevant regulations.

By utilising Workstem, restaurant employers can streamline their HR processes, reduce administrative burdens, and stay in compliance with Fair Work.

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