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Penalty RatesMay 28, 2015
The June long weekend approaches and employers, especially in the hospitality industry, need to start thinking about penalty rates. Do you know the penalty rates that apply to your business? Do you understand how to implement them? Or are you unsure whether it is actually viable to open over the long weekend?
This week Edward Mallett, Employsure’s Managing Director spoke with Hospitality Magazine and discussed the issues surrounding small businesses and the complications of penalty rates. Mr. Mallett said that public holiday rates are out-dated and small business owners are struck with a catch-22. Do you open and pay your staff exorbitant penalty rates? Or do you shut-up-shop and miss out on the opportunity of entertaining your customers who are enjoying time off work?
In a recent survey by the Australian Chamber of Commerce and Industry, small businesses expressed that they felt that the economy will deteriorate in the coming year. This is rather confronting for SMEs in this country who wish to make a profit. Mr. Mallet said that the current economy and penalty rates are only adding to the stress behind employer’s enthusiasm to pay their staff extra on public holidays.
“The main concern for most hospitality business owners is making enough money to keep the business afloat” said Edward Mallett.
At Employsure we frequently experience a large number of calls from clients around public holidays, majority of the questions are the same; “is it financially viable for my business to be open due to penalty rates?” “Which penalty rates apply to my business?” Mr. Mallett says the system is mind bogglingly complex and “adds to the burden of red tape in running a business in the industry”.
Edward Mallett has shared his top five tips to help hospitality employers in the wake of the June long weekend:
If you would like to discuss your employment obligations over the June long weekend, give Employsure a call today on 1300 651 415.
Sourced: Hospitality Magazine