Phillip Di Bella on ABC Radio ‘Brisbane Mornings’ with Steve Austin
Phillip Di Bella joined Steve Austin on ABC Radio’s ‘Brisbane Mornings’ this morning to discuss the pressing issues facing Australia’s hospitality industry. Phillip Di Bella outlined how the sector is grappling with severe challenges, including a shortage of skilled staff and rising operational costs. With unemployment at a mere 3%, finding and retaining qualified workers is increasingly difficult, compounded by high labor costs due to penalty rates and intense competition in the job market.
The discussion also highlighted the impact of inflation on the industry, forcing many cafes and restaurants to cut back on operating hours and simplify their menus to manage rising expenses. Phillip noted a significant 30% drop in average customer spend, which has strained profit margins and led to predictions of a 10% reduction in the number of cafes due to market saturation.
Additionally, Phillip pointed out how recent government changes, such as reducing international student visa hours, have exacerbated staffing issues, leading to a shift of talent towards sectors like the NDIS, where wages and conditions are more favorable.
Despite these difficulties, Phillip emphasised that the industry is making adjustments to meet consumer demands, although the path to stability remains challenging.