Hospitality workers face penalty cuts

Pay cuts for the hospitality sector affecting Sunday rates have come into force from 1 July as part of the Fair Work Commission’s (FWC) Annual Wage Review.

FWC announced stage three of its Annual Wage Review on 30 May 2019, cutting hospitality Sunday rates from 15 to 10 per cent.

The new cuts apply to employees under the Fast Food Industry Award 2010 and casual employees under the General Retail Industry Award 2010 (GRIA). This includes staff in the hospitality, fast food, retail, and pharmacy sectors.

“We encourage workers who receive award wages, such as juniors, apprentices, and trainees to visit the pay and conditions tool (on the Fair Work website) to familiarise yourself with your new rates of pay,” says Sandra Parker, Fair Work Ombudsman.

Sunday hospitality workers will see penalty rates fall from 160 to 150 per cent of the usual hourly rate for full time and part time workers. This means the minimum wage on a Sunday will go from $30.29 an hour to $29.24.

In addition, the FWC has increased minimum wage 3 per cent for any employee not covered under an award or agreement. The new national minimum wage will be $740.80 per week or $19.49 per hour.

Further reduction to penalty rates will be implemented for full time and part time employees under GRIA in July 2020.

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