AALARA and member attractions Seek Amendments to Meal Break Provisions

The Australian Amusement, Leisure & Recreation Association (AALARA) and several of its major attractions members are seeking to vary the paid meal break provision in the Amusement, Events & Recreation Award 2010.

AALARA is supporting a variation to AER Award filed by the Australian Federation of Employers and Industries (AFEI). In a submission, AALARA highlights that “the cost impact of this new condition of 20-minute paid meal breaks for casual employees will be significant for this industry … many employers of large amusement and recreation facilities engage high numbers of casual employees during peak seasons (and) the increased cost of such casual engagement will have a negative effect on the viability and employment opportunities of the industry.

“For example, some employers engage over 100 casual employees per day during peak periods. Based on the AER Award for a Grade One casual employee, over a peak period of three months, the additional cost of the paid 20-minute meal break would be approximately $58,000.

AALARA pointed out that “there have been several other cost increases for employers of casual employees covered by the AER Award. For example, in NSW, an employer could pay a casual employee an all-up casual loading of 30%, which was applicable for all hours, excluding overtime. The AER Award does not include such a provision. This industry relies heavily on Sunday and Public Holiday work. As a result of the modern award, the casual loading will increase from 30% to 87.5% on Sundays and from 30% to 187.5% on Public Holidays.

AALARA also pointed out that many employers in the industry were previously award-free and therefore the impact of Sunday and Public Holiday penalties “will be even greater felt.”

The AALARA submission continued that “the most prevalent awards in this industry prior to the introduction of modern awards did not contain paid 20-minute meal breaks for casual employees.

“In NSW, the most commonly applicable award for members of AALARA was the Theatrical Employees Recreation & Leisure Industry (State) Award (NAPSA). This award stipulated an unpaid meal break of between 30- and 60-minutes for all employees, including casuals. In QLD, a large proportion of operators in the industry were not covered by awards prior to 1st January 2010. Most of the awards that could apply to the industry applied only on a respondency basis. In Victoria, the paid 20-minute meal break for casual employees was also not a prevalent feature of awards. For example, the major common-rule awards in Victoria which applied to this industry, including the Entertainment Industry (Entertainment and Presentation Services) Award 2000 and the Entertainment Industry – Concert and Event Crewing Services Award 2000, did not contain a 20-minute paid meal break entitlement for casual employees. These awards instead provided employees with unpaid meal breaks of a minimum of 30-minutes. In South Australia, the Theatrical, Entertainment, Etc (South Australia) Award (NAPSA) was the most widely applicable award for the industry and it provided for an unpaid meal break for casual employees of at least 30-minutes. Like Queensland operators, a large proportion of the industry in Western Australia was not covered by awards prior to 1st January 2010. Finally, in Tasmania, the Entertainment Award (NAPSA) was the predominant award for the industry prior to modern award commencement and it also included an unpaid meal break entitlement for casual employees of at least 30-minutes.”

AALARA suggested that “the variation proposed by AFEI will assist in mitigating against the significant cost increases created by the AER Award for the engagement of casual employees. The proposal to extend the unpaid meal break for casual employees will ensure the modern award meets the objective at clause 134(1)(f) of the Fair Work Act, in that the award will take into account the likely impact on business, particularly employment costs.”

Jamberoo Action Park (pictured), Luna Park Sydney and Dreamworld have also made submissions seeking an amendment to meal break payments.

Background on the matter and copies of each submission can be viewed at www.fwa.gov.au/index.cfm?pagename=awardsVarDoc&number=AM2010/223