Support for penalty rate cuts from mid north coast restaurant owner

A Coffs Coast restaurant owner is backing a renewed attempt to scale back penalty rates.

Restaurant and Catering Australia is appealing against a decision made by the Fair Work Commission last month, to block any change to the current system.

The director of Latitude 30 and Attitude Burgers in Coffs Harbour, Marcus Blackwell, said reduced penalty rates are vital for the north coast industry.

He said restaurants are doing it tougher than ever.

"We are a tourist town, and we are seeing more and more restaurants shutting on public holidays because they just cannot afford to pay the wages," he said.

"Somewhere as big as our establishment, or the RSL club, not only are we paying wages but we're paying payroll tax on top of that again."

Mr Blackwell, said penalty rates are behind many cafes and restaurants closures, on weekends.

He said people do not understand the full cost to business.

"There's a lot more to it than everybody realises," he said.

"Because you're not only paying the extra penalty rate, you're paying the extra 2.5 percent on superannuation, and the extra 5 percent on payroll tax as well."

Source: ABC News, 6 November 2013