Hospitality in hot water: Staff shortages bite as winter peak looms

Australia’s hospitality sector is heading into winter feeling the chill. Not from the weather, but from a growing staffing crisis that’s forcing cafés, restaurants, and venues across the country to scale back service, turn away bookings, or shut shop altogether.
Yep, the dreaded labour shortage is back in the headlines, and according to the Restaurant & Catering Association (R&CA), it’s worse than ever.
“We’re past the point of calling it a challenge,” says R&CA National President John Hart OAM. “This is a full-blown structural issue, and it’s doing real damage to businesses.”
Key points
- Hospitality staffing shortages are ongoing across metro and regional Australia
- Impact on business operations: reduced hours, burnout, lost bookings
- Industry calls for government action: visas, training, and national workforce planning
The timing couldn’t be worse. With winter school holidays, local events, and ski season around the corner, those in the hospo sector, particularly in regional hotspots, are struggling to fill rosters. Some businesses are operating at reduced capacity, while others are closing for a few days a week just to give staff a breather.
So, what’s going on in hospitality?
While international students and working holidaymakers are back to pre-COVID numbers (finally!), the domestic pipeline of hospitality workers is still broken. Add to that sluggish immigration pathways, and you’ve got a recipe for burnout, not a bustling dining room.
To help fix the mess, R&CA is calling on the government to step up with:
- A national workforce strategy tailored to the hospo industry
- Faster visa processing for high-need roles
- More youth and retraining programs to get Aussies back behind the bar or into the kitchen
For small business owners running venues, this is more than an industry gripe, it’s a daily struggle. Whether it’s a shortage of chefs in Byron, baristas in Ballarat, or waitstaff in Western Sydney, the impact is being felt at every level.
What can you do?
The good news? Aussies love a challenge, and the hospitality industry is no stranger to resilience. But there’s no doubt that operators need support – and soon – to keep the doors open and the lights (and deep fryers) on.
Got a café, bar or restaurant of your own? Then it’s time to make the most of the team you’ve got. Use rostering software or scheduling apps to better predict busy periods and avoid over (or under) staffing. Smart rostering can help reduce burnout, keep morale high, and save you money in the long run.
Check out local employment and training programs. Many councils and industry bodies offer incentives for hiring young workers, trainees or those looking to re-enter the workforce. It’s a win-win: you get a keen new recruit, and they get hands-on experience.
It’s time to get savvy with cross-training your team. Can your barista lend a hand on the floor? Could your kitchen hand cover front-of-house in a pinch? Cross-training your staff builds a more flexible team, keeps things interesting for your crew, and makes it easier to cover gaps when someone’s away.
Speak up and connect with your local industry reps
The staffing struggle is real, and you’re not the only one feeling it. Reach out to your local hospitality association or chamber of commerce. They can advocate on your behalf, connect you with resources, and make sure your voice is heard where it counts.
As winter heats up with hungry locals and tourists on the move, make sure you can keep serving the goods – with a smile and a solid team behind the counter.
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Cec Busby
Cec is the managing editor of KBB and Flying Solo and the host of the Flying Solo and First Act podcasts. She is a content creator with over 20 years of experience. She was the founding editor of Sydney street press The Brag and has worked as the editor on titles as diverse as SX, CULT, Better Pictures, Total Rock, MTV, fasterlouder, mynikonlife and Fantastic Living. She has extensive experience working as a news journalist, covering all the issues that matter in the small business, political, health and LGBTIQ arenas. She has been a presenter for FBI radio and OutTV.
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