Aussie SMEs desperate for payroll tax reform, relief
The Australian Restaurant & Cafe Association (ARCA) also took the opportunity to oppose the current payroll tax regime, dubbing it a “hidden tax” on super contributions for small restaurants and cafes.
ARCA said working holiday makers (WHMs, international students and temporary migrants were an essential and longstanding labour source for Australia’s restaurant and cafe sector, yet the current income tax and super tax settings for temporary visa holders created additional labour costs, workforce uncertainty and administrative burden for small hospitality businesses already operating on thin margins under three per cent.
In terms of the “hidden payroll tax”, ARCA said this referred to superannuation contributions tax as employers paid 12 per cent superannuation for WHMs, international students and temporary migrants, but contributions were immediately taxed at 15 per cent.
Restaurants and cafes face wave of closures amid dire profit warnings
While the Creditor Watch business risk reports kept getting “worse and worse and worse”, one in nine hospitality businesses went insolvent in 2025, Australian Restaurant & Cafe Association (ARCA) CEO Wes Lambert told news.com.au.
Profit margins plummeted to just 2.8 per cent for restaurants, and a measly 2.6 per cent for cafes.
“Ultimately when you have inflation at such a high level, consumers have to make a choice,” Mr Lambert said.
“They have to choose paying their mortgages and their bills or dining out.”
NSW premier considering extra public holiday in April for Anzac Day
Australian Restaurant and Cafe Association CEO Wes Lambert criticised the plan, saying cash-strapped hospitality businesses would struggle to cover the public holiday penalty rates.
“This is a terrible idea,” he said.
“On public holidays, restaurants and cafes pay between 75 and 100 per cent of their revenue out in wages, so if the premier wants to add another public holiday, we’re going to advocate that restaurants and cafes around the state close.
Hospitality employers call for super tax reform for migrant workers
The Australian Restaurant and Cafe Association (ARCA) said the “largely hidden” arrangement was quietly eroding the retirement savings of temporary workers, while requiring small operators to fund the contributions in full.
Employers accuse government of exploiting migrant workers with ‘hidden payroll tax’
Employers have accused the federal government of exploiting migrant workers and slugging small hospitality businesses with a “hidden national payroll tax”, demanding reform of superannuation tax arrangements for working holidaymakers.
The eye-watering cost of eating out on Australia Day revealed
Despite being a pain point for some consumers, Australian Restaurant and Cafe Association chief executive Wes Lambert says trading on public holidays is often a “labour of love”.
No let-up in coffee prices as bean supplies stabilise
Cafes have suppressed price rises amid tepid demand and high competition, which has seen profit margins fall from about 3.5 per cent to less than 2.5 per cent, Australian Restaurant and Cafe Association chief executive Wes Lambert says.
“This is putting a lot of pressure on the industry and the cafe segment in particular, and that’s leading us to see, according to CreditorWatch, one in nine cafes and restaurants going into liquidation in the past 12 months,” he says.
“Ultimately, unless demand increases or prices increase, the industry is going to stay in the doldrums when it comes to profitability.”
“Devastating”: Government slashes apprentice support payments by half for mechanics, chefs and more
Wes Lambert, CEO of the Australian Restaurant & Cafe Association, said the decision would also affect hospitality businesses.
It marks a “serious blow to Australia’s already fragile hospitality workforce pipeline,” he wrote on social media.
“At a time when restaurants, cafés and pubs are battling chronic skills shortages, rising wage pressures, and declining training enrolments, removing support for apprentices doesn’t just hurt young people entering the industry — it puts the entire sector at risk.”
Rockers on song for pop-up gigs to boost ailing CBD
Australian Restaurant and Cafe Association chief executive Wes Lambert said pop up concerts were welcome but the equivalent of “band-aids on a bullet wound” to confidence in the city.
“Months of rolling protests and rampant street crime have punched a massive hole in hospitality trade, and a few events won’t undo that,” Mr Lambert said.
“If the State Government wants restaurants, cafés and bars to survive, it must restore safety, stability and consumer trust — concerts alone won’t keep our doors open.”
New Zealand Is Getting A Michelin Guide
“It’s a tiny investment per year compared to the near $200 million that Tourism Australia spends on advertising,” says Wes Lambert, Chief Executive of the Australian Restaurant & Café Association.
“Bringing Michelin to Australia brings the world’s view, up to 400 million views, onto Australia’s dining scene. Local awards programmes just don’t do that.”