Skills shortages in the Hospitality industry

According to the Department of Jobs and Small Business, the total employment in Australia is projected to increase by 886,100 new positions by May 2023.  In particular, employment in the Hospitality industry is expected to increase by 12.1% in the next five years which means an additional 91,000 jobs.

Is Australia ready for this growth?

The Hospitality industry has been steadily growing over the past five years at approximately 1.9%, with the growth attributed to factors such as growing “foodie” culture, population growth and an increase in consumer demand.

However, there is one major threat: the industry is seeing its lowest numbers in job applicants and workers in years.

To that end and according to findings from Edith Cowan University lecturer, Dr Edmund Goh, the industry now has a 28% vacancy rate, as older workers retire and the younger generation less willing to fill the vacancies.  This means that it is becoming increasingly harder for employers to find long-term, trained and suitably-qualified staff.

This situation is even worse in regional areas, where employers are unable to build their business (despite the demand) as they cannot find the skilled staff that they need.

In attempting to overcome this, Hospitality employers are turning to the Temporary Skill Shortage Visa (Subclass 482) (TSS Visa) in seeking skilled overseas workers to fill the various vacancies within their business – the most common being chefs, cooks, bakers, pastrycooks and café or restaurant managers.

The TSS Visa is the most commonly-used pathway for employers to sponsor skilled workers on a temporary basis.  The TSS Visa will allow an Australian business to employ a migrant worker for up to two to four years depending on the occupation, and in some circumstances provide a pathway to staying in Australia for a longer-term if the overseas worker has employer support.

Whether you are an Australian business seeking to fill a skilled position or a skilled overseas worker wanting to contribute to the Australian Hospitality industry, we can assist in finding the best migration solutions to benefit all parties involved.

“The content of this publication is for reference purposes only. It is current at the date of publication. This content does not constitute legal advice and should not be relied upon as such. Legal advice about your specific circumstances should always be obtained before taking any action based on this publication.”
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