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Document on Penalty Rates

   

Added on  2020-03-16

5 Pages730 Words35 Views
Running head: PENALTY RATES1Penalty ratesStudent NameInstitution
Document on Penalty Rates_1
PENALTY RATES2When businesses are established, the owner or the management employs workers who work during the specified time of the day. Sometimes, there is a need for the workers to extend the working time of the day to accomplish different tasks in the organization. During that time, the employees are paid based on penalty rates in the hospitality industry. Penalty rates refer to the mandated and set minimum rate of pay which is usually higher than the normal minimum rate of pay which is paid to workers for working on late night shifts, overtime, weekends, public holidays and even early morning shifts (Daly, 2014). People have expressed different opinions on the issue of public rates with some people supporting removal of penalty rates and others being against removal of the penalty rates.Penalty rates removal will lead to increased services to the consumers. Business owners will use the money saved due to not paying the penalty rates to improve the services they offer totheir consumers (Richardson, 2010). This will create good reputation for the hospitality industry. The employees will feel proud to work in the hospitality industry, and this will create a good working relationship with the employers. Due to the good relations, employers will help the employees to improve their skills through training so that they can offer better services.The improved services will occur at the expense of employees’ welfare as they will be forced to work to work for more hours so that they can meet their financial obligations (Tom, 2017). To remain in the same financial position, the employee will have to work for more hours than before, and this will cause a lot of inconveniences. Due to the inconveniences created, there will be poor employment relations between the employer and the employee because the workers will feel as if they are mistreated, and the employers do not care about their welfare and well-being
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