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Restaurant Industry Award 2020 (MA000119)

How PaySauce supports the Restaurant Award and how to configure it to your employees.

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Written by Kelton Dunkley

The Restaurant Industry Award covers businesses that mainly sell food and beverages intended to be consumed on the premises. A summary of what is and isn't included can be found on Fair Work's Restaurant Award summary.


What PaySauce currently supports

PaySauce currently provides support for:

  • Classifications

  • Junior Rates

  • Apprenticeship Rates

  • Penalty Rates

  • Overtime Rates

  • Time Off In Lieu

Further support will be added to assist in automating allowances will be released in a future update.


Classifications

PaySauce allows you to select the employee's classification level. Once set, it will pay the employee for that classification level. If that rate ever increases, your employee's rate will automatically increase.

The Restaurant Award includes the following Classifications:

  • Introductory Level

  • Level 1

    • Food and beverage attendant grade 1

    • Kitchen attendant grade 1

  • Level 2

    • Food and beverage attendant grade 2

    • Cook grade 1

    • Kitchen attendant grade 2

    • Clerical grade 1

    • Storeperson grade 1

    • Door person/security officer grade 1

  • Level 3

    • Food and beverage attendant grade 3

    • Cook grade 2

    • Kitchen attendant grade 3

    • Clerical grade 2

    • Storeperson grade 2

    • Timekeeper/security officer grade 2

    • Handyperson

  • Level 4

    • Food and beverage attendant grade 4 (tradesperson)

    • Cook grade 3 (tradesperson)

    • Clerical grade 3

    • Storeperson grade 3

  • Level 5

    • Food and beverage supervisor

    • Cook grade 4 (tradesperson)

    • Clerical supervisor

  • Level 6

    • Cook grade 5 (tradesperson)

Find your employee's classification by reviewing Schedule A of the Restaurant Awards


Junior Rates

Junior employees may be paid at a lower rate. PaySauce automatically handles this based on their classification and date of birth.

Junior employees who are employed as a Liquor Service Employee will be paid at the full rate. This setting can be selected when setting up the award details.

Age

Rate

Under 17 years of age

50%

18 years

60%

19 years

85%

20 years and above

100%


Apprenticeship Rates

Setting up an apprentice is a very simple process in PaySauce. This can be done by:

  1. Go to the employee's profile.

  2. Click on the Award tab.

  3. Select Restaurant Industry Award 2020.

  4. Tick Apprentice (cooking trade).

  5. Select the apprenticeship level they are currently on.

  6. If applicable, tick Adult Apprentice.

  7. Save.

When your apprentice is ready to move up a level, return to these steps to update it.

If you are hiring an apprentice on a competency-based wage progression, the steps remain the same. Select the year that is the equivalent to the Stage.


Penalty Rates

PaySauce will pay the required penalty rate based on:

  • The day that the employee works;

  • The time of day the the employee works;

  • The employee's classification level; and

  • The employee's employment type.

You will not need to do anything aside from submitting timesheets.

The penalty rates are multiplied against the base rate. For the table below, it includes the casual loading in the penalty rate.

Time Worked

Full Time and Part Time Employees

Casual Employees - Introductory to Level 2 Classification

Casual Employees - Level 3 to Level 6 Classification

Monday to Friday - 6:00am to 10:00pm

100%

125%

125%

Monday to Friday - 10:00pm to Midnight

100% plus $2.95 an hour

125% plus $2.95 per hour

125% plus 2.95

Monday to Friday - Midnight to 6:00am

100% plus $4.42 an hour

125% plus $4.42 an hour

125% plus $4.42 an hour

Saturday

125%

150%

150%

Sunday

150%

150%

175%

Public Holiday

225%

250%

250%


Overtime Rates

Overtime will apply once an employee works outside of their standard hours. This occurs when an employee works:

  • More than their daily ordinary hours of:

    • 11.5 hours per day for adults; or

    • 10 hours per day for employees under 18 years.

  • More than their period overtime:

    • 38 hours in a week; or

    • 76 hours in a fortnight; or

    • 152 hours over four weeks.

The period overtime can be set by adjusting the employee's Overtime Threshold. This setting is found on the Work Pattern tab.

Important: The period overtime starts from the work pattern start date. It will count how many ordinary hours has been worked in that period and reset once it hits a new period.

Overtime will be paid at:

Overtime Worked On

Overtime Rate

Monday to Friday - First 2 hours

150%

Monday to Friday - After 2 hours

200%

Saturday - First 2 hours

175%

Saturday - After 2 hours

200%

Sunday - All time worked

200%

These rates are applied to the base rate. Any casual loading is not added on top. If an employee is earning a penalty rate at the same time as an overtime rate, then the higher rate will be applied.


Time Off In Lieu

Employees can accrue Time Off In Lieu instead of being paid for overtime. In the Restaurant Award, this accrues at the equivalent penalty rate. For example: An employee who works 2 hours at 150% would accrue 3 hours of TOIL.

Once accrued, TOIL can be applied for as a leave application.

To accrue Time Off In Lieu, add TOIL to the timesheet detail. Only hours classed as overtime will be converted to TOIL, regular hours will be paid as normal.


FAQ

What classification is my employee on?

You will need to review the Classifications section of the award and compare it to your employee's job duties.

How do I process allowances?

Currently, allowances will need to be added manually to each employee. This can be set up from either their employee profile or within the pay run. PaySauce will be providing more automated allowances for the Restaurant Award in the future.

What do I do if the award calculations do not appear correct?

Please contact us immediately with as much detail as possible and someone on our team will review.

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