What is the hospitality award?
The Hospitality Award is a crucial legal regulation in Australia that outlines the minimum standards for pay, working hours, leave entitlements, and other related matters that apply to employers and employees in the hospitality industry.
As an employer in the hospitality industry, it is essential to comply with this award to ensure that your employees are treated fairly and their rights are protected.
Who is entitled to Hospitality Award?
The Hospitality Industry encompasses a broad range of businesses and organizations that provide services related to accommodation, food and beverage, entertainment, and tourism.
This includes establishments such as：Hotels,motels, resorts, taverns, wine bars, caterers, and casinos.
In addition, the industry comprises a diverse range of employees, including waiters/waitresses, catering staff, pub owners, housekeepers, doorpersons, concierge staff, front office staff, gaming attendants, security officers, and storepersons who work in these establishments.
However, it’s worth noting that some employees and employers in the hospitality industry may fall under other industry awards, such as：
- Restaurant Award,
- Fast Food Award
- Registered Clubs Award.
To determine whether your staff fall under the Hospitality Award, it’s recommended to visit the Fair Work website.
Hospitality pay rates
Workstem has developed a comprehensive guide to help compliance with the Hospitality Industry Award Rates.
If you’re uncertain about the applicable classifications, this guide can help you understand how to comply with Fair Work legislation, classify your employees correctly, and pay penalties and allowances in accordance with the hospitality award.
Full-time and part-time employees
-
Ordinary and penalty rates
|
Time of ordinary hours worked |
Adult employees | Junior employees |
Managerial Staff (Hotels) employees |
|
% of ordinary hourly rate |
|||
|
Monday to Friday |
100% | 100% | 100% |
|
Saturday |
125% | 125% | 125% |
| Sunday | 150% | 150% |
150% |
| Public holiday | 225% | 225% |
225% |
*Rates in table are calculated based on the minimum hourly rate
-
Overtime rates
|
For overtime worked on |
Adult employees |
Junior employees |
Managerial Staff (Hotels) employees |
|
% of ordinary hourly rate |
|||
|
Monday to Friday—first 2 hours |
150% |
150% | 150% |
|
Monday to Friday—after 2 hours |
200% | 200% | 200% |
| Weekends and rostered days off | 200% | 200% |
200% |
|
Public holiday |
225% | 225% |
225% |
*Rates in table are calculated based on the minimum hourly rate
Casual employees
-
Ordinary and penalty rates
|
Time of ordinary hours worked |
Adult employees | Junior employees | Managerial Staff (Hotels) employees |
|
% of ordinary hourly rate |
|||
|
Monday to Friday |
125% | 125% | 125% |
| Saturday | 150% | 150% |
150% |
| Sunday | 175% | 175% |
175% |
| Public holiday | 250% | 250% |
250% |
*Rates in table are calculated based on the minimum hourly rate
-
Overtime rates
|
For overtime worked on |
Adult employees | Junior employees | Managerial Staff (Hotels) employees |
|
% of ordinary hourly rate |
|||
|
Monday to Friday—first 2 hours |
150% | 150% | 150% |
|
Monday to Friday—after 2 hours |
200% | 200% | 200% |
| Weekends and rostered days off | 200% | 200% |
200% |
| Public holiday | 250% | 250% |
250% |
*Rates in table are calculated based on the minimum hourly rate
How to make payroll efficient with Workstem?
Simplify your payroll processes with Workstem’s all-in-one platform, handling onboarding, time and attendance, award interpretation, payroll, STP 2, superannuation and more.
Customise attendance entitlements, auto-track attendance data, streamline the payment process and keep compliance with Fair Work award through our AI Engine. Workstem provides a complete solution for efficient payroll management and regulatory compliance.
FAQs
Q:Do hospitality employers be required to pay Award minimum wage?
A: Yes, the Award minimum wage is the minimum legal requirement that an employee must be paid if they are covered through the hospitality Award. Employers are legally bound to comply with this.
Q:How do employers pay employees not covered under an Award?
A: If a business owner is in the hospitality industry, but a particular employee is not covered by the hospitality Award, then either the FWC’s national minimum wage or the state minimum wage applies.
Read more: Hospitality Industry (General) Award Guide [MA000009]