No local support for Sunday rates reduction

A proposal to change the penalty rates for hospitality staff will not affect Esme’s Coffee Shop in Templar Street, according to business owner Linda Rees.

The NSW Business Chamber, in partnership with Restaurant and Catering Australia are calling for a reduction in penalty rates paid to hospitality staff.

While making coffee in her busy café on Thursday, Mrs Rees said expecting people to work without compensation on Sundays and public holidays is “unfair on the workers.”

“If you want people to work on a Sunday then you have to be prepared to pay for it,” Mrs Rees said.

Currently, Esme’s does not open of a Sunday and is open on some public holidays when only family staff members work.

While Esme’s can afford not to open of a Sunday, Mezzanine Style in Rankin Street is at the other end of the spectrum.

Owner of the Rankin Street café, Janine Whitfield said Sunday is the biggest day of her week and to help cover the penalty rates, a 10 per cent surcharge is applied to customers on Sundays.

Ms Whitfield said the potential for profit on Sundays is diminished by the penalty rates paid to staff.

“I find our 10 per cent surcharge does not cover the penalty rates I have to pay,” Ms Whitfield said.

Ms Whitfield said to remain competitive, raising the surcharge is not an option.

While Sundays have been less profitable for Mezzanine lately, the store was unable to open over Easter at all.

“For me to open on Easter, that [would have been] double time and a half,” she said.

“You want to be there for the public as well.

“There’s a lot of people who want to work on Sundays and public holidays.”

Source: Forbes Advocate, 8 May 2012