What is restaurant award?
The restaurant award is a modern award that sets out the minimum terms and conditions of employment for employees working in the restaurant industry in Australia.
The award covers a broad range of restaurant businesses and sets out the minimum rates of pay, penalty rates, and allowances for employees, as well as their entitlements to breaks, leave, and other benefits.
For the complete version of the Restaurant Industry Award, please refer to Fair Work.
Who is entitled to restaurant award?
The restaurant industry is defined broadly and includes businesses like reception centres, night clubs, cafés or roadhouses and includes catering by a restaurant business and a tea room operated in, or in connection with.
Restaurant pay rates
Workstem has developed a comprehensive guide to help compliance with the Restaurant 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 restaurant award.
Full-time and part-time employees
- Ordinary and penalty rates
| Adult employees | Junior employees | |
| % of ordinary hourly rate | ||
| Ordinary hours | 100% | 100% |
| Saturday | 125% | 125% |
| Sunday | 150% | 150% |
| Public holiday | 225% | 225% |
| Public holiday* | 125% | 125% |
*By agreement with equivalent paid time added to employee’s annual leave or one day instead of public holidays
- Overtime rates
| Adult employees | Junior employees | |
| % of ordinary hourly rate | ||
| 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% | 200% |
*Rates in table are calculated based on the minimum hourly rate
Casual employees
- Ordinary and penalty rates
| Adult employees | Junior employees | |
| % of ordinary hourly rate | ||
| Ordinary hours | 125% | 125% |
| Saturday | 150% | 150% |
| Sunday – Introductory to Level 2 | 150% | 150% |
| Sunday – Level 3 to Level 6 | 175% | 175% |
| Public holiday | 250% | 250% |
- Overtime rates
| Adult employees | Junior employees | |
| % of ordinary hourly rate | ||
| 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% |
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 restaurant 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 restaurant 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 restaurant industry, but a particular employee is not covered by the restaurant award, then either the FWC’s national minimum wage or the state minimum wage applies.
Read More: Restaurant Industry Award Guide [MA000119]