Is Bill going to kill the hospitality industry?

There has been a lot of discussion regarding the Fair Trade Agreement as is expected, but one issue that Labor is pushing for could be devastating for the hospitality industry.
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Labor has, as one of their conditions for signing off the agreement, an increase in the TSMIT (the minimum salary level to sponsor on a 457 visa) to $57,000 and then indexed every year to the tune of about 3-4%.
That would mean a TSMIT of $61,000 by July 2017.
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If applied today, DIBP figures say it would wipe out about 27% of 457 visa holders. As all my hospitality colleagues know, a lot of chefs are paid this salary. It is above the Job Outlook figure provided by the Department and the ABS figures, and way above the award for Cook Grade 5 & 6, but apparently that’s not good enough for the unions.
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We all know the industry are crying out for chefs and cooks who will just show up for work, let alone excel in their chosen career. We also need high quality waiters, sommeliers and restaurant/duty managers who will help us train the up and coming Aussie kids who are looking for a career in one of the fastest growing sectors of our economy.
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If you think your business will suffer because of this proposed change, and they are considering it, then you really need to let your local member know. We will be engaging the AHA and the RCA to see how we can help, in order that we all band together to ensure we are not priced out of being able to offer the great services that we do in such a vibrant industry today.
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The TSMIT has been frozen for two years, and coincidentally our industry is thriving and employing more Australians than ever.
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I’m pretty sure that’s a good thing!
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If you have any questions about this, feel free to call us at Edupi on 02 9325 0919.