Report HR - Report Casualisation of Workforce in the...

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Report: Casualisation of Workforce in the Australian Hospitality Industry Introduction The hospitality industry worldwide currently faces a whole range of issues related to human resources. One of the primary issues among these is the increasing trend towards casual employment within the industry, otherwise known as ‘casualisation’ of the workforce. Casual employees are, essentially, employees who do not have fixed work contracts with a particular employer; as such, they are not entitled to any of the rights and benefits that accrue to permanent employees (whether full-time or part-time) of a particular business organization (McNamara 2006, 9; May, Campbell and Burgess 2005, 1). While casual employment used to be widely prevalent within the earlier, raw phase of capitalist development, the rise of the labour movement and unionism led to its being replaced with more secure employment contracts for a majority of workers (May, Campbell and Burgess 2005, 1). However, with the rise of neo-liberal ideologies from the 1970s onwards, there has been a marked return to reliance on casual employment; the hospitality industry has been no exception, and as mentioned earlier, the rise of casualisation has become a major HR issue within the industry. This report will investigate the rise of causalisation by assessing the impacts that it has had on both employees and employers within the hospitality industry, and will argue that, on the whole, casualisation has been detrimental to the industry. Even the arguments that are marshaled in support of casualisation will be shown to have less weight than those which highlight its failings. Impact on Employees: Higher job dissatisfaction The rise of causal employment has had a variety of negative impacts on workers within the hospitality industry, both within Australia and abroad; in this report, the focus will mainly be on the Australian context. Casual employment, as mentioned earlier, is defined by the lack of a permanent work contract and any of its associated benefits. This has major negative consequences for workers; firstly, they face inferior financial outcomes (McNamara 2006, 22). Although it is argued that casual workers do not exactly lose out here because they receive a ‘casual loading’ (an increase over the usual hourly rate of pay, usually 20%) (Fair
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