I'm a hospitality worker and have been for 12 years. I don't care about the penalty rate cuts. Why? Quite simply, because I have never received the benefit of penalty rates.
There has been a lot of commotion since the Fair Work Commission handed down their decision last week: full and part time hospitality workers, who were entitled to 175 per cent pay on Sundays, will now receive only 150 per cent.
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Penalty rates: who is responsible?
Australian's are divided on the Fair Work Commission's penalty rates decision; where do you stand?
The commotion has been in a large part informed by well-intentioned concern for hospitality workers, who struggle to make ends meet at the best of times. The Fair Work Commission acknowledged that this change would be hard for the workers. There is also the larger ideological concern that once again employers are being prioritised over employees and that this is an unhealthy trend in Australian law-making.
I have been a casual hospitality employee since I was 14. I have worked in restaurants, bars, cafes, food trucks, catering companies and private functions. I've worked in Hobart, Sydney, Byron Bay and Melbourne. During my 12 years of experience, I have worked under dozens of employers. Less than 10 per cent of my employers paid me penalty rates.
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I, and many other hospitality workers, receive a flat rate. Usually around the early $20 mark. I always work weekends. I often work nights. And I never receive penalties.
According to the Fair Work Ombudsmen, underpayment affects a majority of hospitality employees. Seventy-nine per cent of Victorian hospitality employers failed to comply with the awards wage system from 2013-2016. The national average non-compliance rate is 52 per cent. In most cases, this results in employers underpaying their staff the hourly rate they are entitled to.
I was venting to a colleague last week while we were on break at a venue in inner-city Melbourne. I'd just worked an 11-hour day for a Melbourne-based events company. I was given no break, no food and no time to drink a glass of water. I was paid $23 an hour.
My colleague commiserated with me. He has been working at a venue for over a year, he said, and still is only paid $21 an hour. He is a full-time worker with over 10 years' experience in the industry. He also happens to be exceptional at his job.
Some of the common responses I get in regards to this issue are: "That's illegal!" "Just quit!" "Call the Fair Work Commission!"
The problem with these responses is that they ignore the systemic nature of the problem. Hospitality workers, particularly in small-medium sized businesses, are being (advertently or not) exploited by their employers.
Why are employers doing this? Is it because they can't afford to pay penalty rates because they are a small business starting up? Is it because the award wage system is impenetrable and they don't understand their obligations? Is it because they know their employees have no bargaining power and can easily be exploited?
Why are employees accepting this? Is it because they are desperate for work? Is it because they are unaware of their rights? Is it because they are loyal to their workplaces, conflict averse, young and naive, or scared of losing their jobs?
We need to open a dialogue about the reality that is going on around us.
Customers, I suggest that every time you go and get your morning coffee, consider the barista and the chef and the chirpy waiter who wishes you a good morning. Just because they seem happy does not mean that life is easy. They are probably being underpaid. They probably won't get a break today. And they might not be able to pay rent next week.
Teachers need to talk about this with their students. Inform them of their rights. Teaching students how to be informed about the awards system is far more useful than algebra.
Hospitality employees, I highly recommend the fair work pay calculator, which is a practical and easy to use tool. You might be shocked at how much money you are entitled to. I was pleasantly surprised recently when I showed my employer this website and he actually upped my pay.
And government, stop burying your head in the sand. There is plenty of evidence that there are ongoing, chronic and systemic problems in the hospitality industry with underpayment. Stop ignoring the problems.
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