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Question:

Discuss about the Future of Sunday Penalty Rates.
 
 

Answer:

Introduction

The Australian Hospitality Industry is now days facing various issues related to Visa processes, labor laws and the human resource issues. However, the government focuses to resolve such consequences in the industry. The report has focused on two recent issues of the Australian Hospitality Industry along with the relevance and recommendations.

An article published by News.com.au on 18th April, 2017 states that, ‘Prime Minister Malcolm Turnbull has banned 457 visas’. The report shows that, Prime Minister has scrapped the controversial visa programs for the migrants due to take control over the unemployment issues in Australia. In past year, it is seen that, there are various people from other countries who come to Australia for jobs and because of those people the Australian workers are not getting proper jobs. Though Australia is a multicultural company and the government considers it as an immigration nation, the people of the country and specially the unemployed people are suffering from the context of less opportunity in various business sectors (News.com.au 2017).

The article reveals, there are 95757 workers are in Australia on the primary 457 visas and the government has taken decision of implementing some strict rules for the foreign workers to boost the situation of the Australian people. Such steps are taken to put the foreign workers under some crucial skill tests to judge their capabilities with the eligibility rates (Themercury.com.au 2017).

The article discusses, the Australian recruiters use to get a foreigner worker easily than an Aussie worker. The new visa program has standardized the measure of skill shortage along with proficiency in English. In past years, there are many foreigners who came to Australia to get some employment opportunities and got employed in the Hospitality sector. Thus, the leaders of the Australian tourism sector cautiously welcomed the changes proposed by the Minister though there will be shortfall of workers in the hotel and hospitality industry in upcoming days (Australia.gov.au 2017).

Importance or relevance

The Australian hospitality industry use to employ temporary workers most of the time and in the peak business seasons they use to recruit more people for the excess business operational needs. The visa issues and new visa regulation will harm the opportunity of the hospitality businesses and they industry will face various issues with labor relationship management and human resource handling (Insightsresources.seek.com.au 2017).

Apart from that, the permanent employees of the hospitality sector will also face various obstacles in retaining their jobs over the country and the opportunity of those people will be ruined a little due to such changes in visa regulations. However, the step taken by the government of Australia will help the unemployed people of Australia (Austrade.gov.au 2017).

This is a major issue in Australian Hospitality sector and it is recommended to the government to give equal opportunity for the foreigner and also for the Australian since the hospitality industry requires frequent human resources in peak seasons.

 

Issues faced by Australian Hospitality Industry

A news article published by ABC News focusing on the penalty rates on Sundays and holidays states about the current issues to the workers of Australian Hospitality industry. The news published on 23rd Feb 2017 revealed that, the commission has announced regarding the reduction of the penalty rates on the Sunday and holidays for all of the full time and part time workers in the hospitality sector and various companies in the fast-food industry. The report states that, Mr. Shorten and his party would try to implement the change on the penalty rates for the fair remuneration concept in the working industries. The party has focused to start a Fair Work Commission under the government body to take control over the companies to impede them of implementing penalties for the workers. The Finance Minister has also considered the remuneration issues of the workers of the hospitality, but the decision has been delayed due to some reason of election campaigns. However, the Union for Hospitality workers has focused to such penalty rates (Abc.net.au 2017).

In some other articles, it has stated that, the Sunday and holiday penalty issues are growing from past few years. The government has aroused various point of view and promises to change the situation of the workers of the Hospitality industry in Australia, but there is nothing changed till date (Smh.com.au 2016). There are many people who are at certain power positions and they will be unhappy if the penalty rates are withdrawn. However, the United Voice has focused on the issues of the blue collar employees of the industry and they have hope for the better future of those people. The lifestyle and the financial situation is primarily dependent on the decision of the Government for this purpose.

Recommendations

The situation of the workers of the Hospitality industry needs to be considered for the better retention rates in various organizations. However, there is a huge competition for employment in the Hospitality industry thus the recruiters are getting enough workforces to chose among them. It is recommended for the government to implement the effective rules to change the penalty rates for Sundays and holidays as soon as possible, since it is effecting the economic and demographic situation of the country (News.com.au 2017).

Conclusion

The Hospitality Industry in Australia is currently facing various issues. The report has discussed about two of the issues and recommended the government to take necessary steps. The hospitality industry in Australia is a crucial part of the country and the issues can ruin the stable economic condition of the country, hence the points need to be focused soon.

 

References

Abc.net.au. 2017. Labor vows to stop Sunday penalty rates cut. [online] Available at: https://www.abc.net.au/news/2017-02-23/labor-vows-to-stop-fair-work-commission-penalty-rates-cut/8296716

Austrade.gov.au. 2017. Tourism Employment in Australia - Austrade. [online] Available at: https://www.austrade.gov.au/Australian/Tourism/Policy-and-Strategy/labour-and-skills

Australia.gov.au. 2017. Visas and immigration. [online] Available at: https://www.australia.gov.au/help-and-contact/faqs/visas-and-immigration

Insightsresources.seek.com.au. 2017. Seek Employment Trends Australia. [online] Available at: https://insightsresources.seek.com.au/seek-employment-report-weak-dollar-promotes-australias-hospitality-tourism-industry

News.com.au. 2017. Labor reckons pay packets are already under stress. [online] Available at: https://www.news.com.au/finance/economy/australian-economy/retail-hospitality-workers-face-penalty-rate-cut/news-story/54cebc349d39fa688a445f84935520e8

News.com.au. 2017. Prime Minister Malcolm Turnbull has banned 457 visas. [online] Available at: https://www.news.com.au/national/politics/prime-minister-malcolm-turnbull-has-banned-457-visas/news-story/7064434e051073a0882a3e11dd8bc87f

Smh.com.au. 2016. The future of Sunday penalty rates. [online] Available at: https://www.smh.com.au/business/workplace-relations/the-future-of-sunday-penalty-rates-20160712-gq3yjd.html

Themercury.com.au. 2017. Bigger issue than visas. [online] Available at: https://www.themercury.com.au/news/opinion/editorial-bigger-issue-than-visas/news-story/45ce4ab25999eaeaa74dc4f37c6b481a

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