Underpaying staff is one of the most common — and costly — mistakes venue owners make in Australia. With Fair Work audits increasing and wage theft now a criminal offence in some states, getting your pay rates right isn't optional.
This guide breaks down what you need to know about the Hospitality Industry General Award (HIGA) and what it means for your kitchen team in 2026.
The Hospitality Industry General Award (HIGA)
Most hospitality workers in Australia are covered by the Hospitality Industry (General) Award 2020 (MA000009). This award sets minimum pay rates, penalty rates, allowances, and conditions for employees in restaurants, cafés, hotels, and catering operations.
If you're not covered by an enterprise agreement, HIGA is your baseline — and you must meet it as a minimum.
2026 Minimum Wage Rates for Kitchen Staff
The Fair Work Commission reviews minimum wages annually, with increases typically taking effect from 1 July. The following are indicative rates for 2026 — always verify current rates at fairwork.gov.au.
Cook/Kitchen Classifications (Weekly, Full-Time)
- Kitchen Attendant Grade 1 (entry level, basic food prep): ~$900–$950/week
- Cook Grade 1 (qualified cook, limited menu): ~$970–$1,010/week
- Cook Grade 2 (qualified cook, full menu): ~$1,010–$1,060/week
- Chef de Partie / Sous Chef equivalent: ~$1,060–$1,150/week
- Chef (qualified, trade certificate): ~$1,100–$1,200/week
Note: These are indicative base rates only. Always check the current pay guide on the Fair Work website for exact figures.
Penalty Rates You Must Pay
Base rates are just the start. Penalty rates apply for:
- Saturday: 125% of ordinary rate
- Sunday: 150% of ordinary rate
- Public holidays: 225% of ordinary rate
- Early morning / late night shifts: Additional allowances may apply
- Overtime: 150% for first 2 hours, 200% thereafter
Many underpayment issues stem from venues paying flat rates without accounting for penalty rates. This is where wage theft claims most commonly originate.
Casual vs Part-Time vs Full-Time
Casual employees receive a 25% loading on top of the base rate in lieu of leave entitlements. This means a casual kitchen hand earning $25/hour base should actually be paid $31.25/hour.
Part-time employees must have their hours agreed in writing and are entitled to the same pro-rata entitlements as full-time staff.
Allowances to Be Aware Of
Under HIGA, additional allowances may apply for:
- Broken shift allowances
- Meal allowances (when overtime is worked)
- Uniform and laundry allowances
- First aid allowances (if your staff hold a certificate and are required to use it)
Superannuation
As of 2025–26, the Superannuation Guarantee rate is 11.5% of ordinary time earnings. This is in addition to wages and must be paid quarterly to your employee's nominated super fund.
Common Mistakes That Lead to Underpayment Claims
- Paying a flat rate without penalty rate adjustments
- Misclassifying employees at a lower grade than their actual duties
- Not paying casual loading
- Failing to pay for trial shifts
- Rounding down hours worked
- Not keeping accurate time and wage records
What Happens If You Get It Wrong
Fair Work inspectors can audit your records at any time. Penalties for non-compliance include:
- Back-payment of all underpaid wages
- Civil penalties of up to $93,900 per breach for businesses
- Criminal prosecution for deliberate wage theft (in Victoria and Queensland)
- Reputational damage that can affect recruitment and customer loyalty
How to Stay Compliant
- Use the Fair Work Pay Calculator to check rates
- Implement payroll software that automatically applies award rates and penalties
- Conduct an internal wage audit at least annually
- Keep time and wage records for 7 years
- Consult an employment lawyer or HR specialist if you're unsure
This guide is for general information only and does not constitute legal or financial advice. Always refer to the current award and seek professional advice for your specific situation.
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