The Australian Government has negotiated a new labour agreement to provide increased flexibility for hospitality industry workers, adding skilled migration positions for cooks and chefs. Trade waiter positions are also expected to be included in the skilled migration additions following national endorsement of the occupation.

The industry labour agreement provides a tailored skilled migration arrangement for employers with specific occupation needs, defining employer obligations and the skills, qualifications and English language requirements overseas workers must meet in order to work in Australia.

The development of the Restaurant (Fine Dining) Industry Labour Agreement is a positive step in addressing chronic labour shortages currently facing the hospitality sector.

Restaurant & Catering Australia (R&CA) CEO John Hart says the labour agreement has come at a critical time for the industry.

“The sector is currently experiencing a shortfall of 56,000 workers. Employment growth in the cafe, restaurant and takeaway food services sector will require an additional 43,700 jobs by November 2018. The rate of employment growth in this sector is expected to be higher than any other sector in the Australian economy, growing at around 8.5 per cent.

“R&CA’s 2015 Benchmarking Survey found that 58.9 per cent of businesses currently have vacancies with 24.6 per cent indicating they were having extreme difficulty finding staff. Chefs, cooks and restaurant managers are ranked as the most difficult vacancies to fill.

“R&CA has long advocated for a labour agreement that will streamline migration processes and provide businesses with access to semi- and high-skilled labour,” Mr. Hart continued.

As with all skilled worker migration positions, interested businesses will be required to meet a set of criteria in order to access staff. Guidelines set for the restaurant sector include requirements on menu structure, uniformed staff, and industry recognition through award programmes.

The agreement will also provide a further 10 per cent concession on the Temporary Skilled Migration Income Threshold (TSMIT) in line with recommendations of the independent review of the 457 visa programme.

“This moderate concession means it will be more feasible for operators to hire overseas workers, should they be able to demonstrate they have experienced prolonged vacancies in their businesses,” explains Hart.

While the current additions are a great step, further Government commitment to developing the Labour Agreement within the tourism and hospitality industry is hoped.

On recognition that skilled migration is necessary for economic growth in this area, Hart comments:

“As a labour-intensive industry our workforce is critical to sector productivity. When the sector lacks skilled workers, businesses suffer as they cannot operate at optimum capacity or deliver the customer service expected by diners.

“The development of the Labour Agreement is a positive first step in assisting the growth and productivity of Australia’s largest services export sector, which contributes $110 billion to the economy each year.”

Hart also says the benefits of skilled migration extend much further than just filling job vacancies.

“Skilled migration has contributed to the evolution and fusion of cuisine types here in Australia. With migration comes innovation and new ways of thinking about food and the restaurant experience.

“With skilled migration also comes job creation for local Australians. The reality is most businesses find it difficult to remain open when they cannot find suitably trained staff. The facilitation of a small number of skilled workers under this agreement will ensure businesses remain open, are productive, and have the capacity to hire and train local workers.”

In 2014-15, the Accommodation and Food Services industry was the largest user of the 457 Temporary Work (Skilled) visa programme, with 4,350 applications granted.

“The more we embrace skilled migration and blend the experience of these workers with that of our local workforce, I have no doubt our sector will continue to go from strength to strength,” Mr. Hart says, “The Government should be commended on their willingness to engage with the sector on labour force issues.”