Australia’s Hospitality Workforce Crisis: Why Many Businesses Are Turning to Global Talent

 

Despite being a vital component of the Australian economy—encompassing cafés, restaurants, pubs, and accommodation providers—the hospitality sector is currently facing one of the nation's most persistent workforce crises. Government data confirms that many businesses in this industry are struggling to fill essential roles locally. Consequently, an increasing number of employers are strategically turning to overseas recruitment to meet their staffing needs.

A Sector Under Pressure

According to the Australian Bureau of Statistics (ABS), the Accommodation and Food Services industry employed approximately 981,100 workers as of November 2025, representing around 6.7% of Australia’s total workforce. Despite this large employment base, labour demand remains extremely high.

The ABS Job Vacancies Survey recorded around 37,700 open positions in the sector in November 2025, accounting for a significant share of Australia’s 326,700 total job vacancies.

Key hospitality segments include:

  • Cafés, restaurants and takeaway services: ~706,500 employees

  • Pubs, taverns and bars: ~106,200 employees

  • Accommodation services: ~104,400 employees

However, businesses across these segments consistently report difficulty filling roles such as:

  • Chefs

  • Cooks

  • Kitchen hands

  • Wait staff

  • Baristas

  • Restaurant managers

For many operators, the challenge is no longer simply about recruiting—it is about maintaining consistent staffing levels to keep businesses operating effectively.

Why Hospitality Roles Are Hard to Fill

Several structural factors continue to affect workforce supply in the hospitality industry.

High Turnover and Casual Employment

Hospitality has one of the highest proportions of part-time and casual workers in Australia, with roughly 61% of the workforce working part-time. The industry also has a median worker age of just 26, meaning many employees treat these roles as temporary rather than long-term careers. This leads to frequent staff turnover and ongoing recruitment cycles for employers.

Lower Wage Levels Compared to Other Industries

Median weekly earnings in the sector sit at around $1,300 per week, significantly below the all-industry average of approximately $1,741. As living costs increase across Australia, many workers are choosing employment in sectors offering higher wages or greater job stability.

Post-Pandemic Workforce Shifts

The COVID-19 pandemic caused severe disruptions to hospitality employment. During 2020 alone:

  • Payroll jobs in accommodation fell by 21%

  • Food and beverage services declined by around 15%

Although the sector has since recovered in terms of demand, many former workers have transitioned to other industries, creating a structural labour gap that has yet to fully close.

Declining Training Pipelines

Training and apprenticeship numbers have also declined. Industry data shows food trade apprenticeship commencements have dropped significantly in recent years, limiting the number of new skilled chefs entering the workforce. Without sufficient training pipelines, the shortage of qualified hospitality professionals is expected to continue.

Labour Demand Is Expected to Grow

Forecasts from Jobs and Skills Australia suggest the hospitality industry will require tens of thousands of additional workers in the coming years to support tourism recovery and economic growth. As international tourism rebounds and domestic travel remains strong, businesses will need to expand their teams to meet rising demand. However, many employers report that local recruitment alone is not keeping pace with workforce needs.

When Local Recruitment Isn’t Enough

Australian businesses continue to invest heavily in local recruitment initiatives, training programs, and partnerships with industry bodies. Government programs and job platforms aim to encourage more Australians to consider hospitality careers. Yet many operators report that these efforts are not sufficient to address immediate labour shortages.

In industry surveys conducted over recent years, a significant proportion of hospitality businesses reported being unable to fill critical positions, forcing some to reduce trading hours or limit service capacity. For growing businesses, these shortages can directly impact revenue and customer experience.

Overseas Recruitment as a Workforce Strategy

As labour shortages persist, more hospitality businesses are beginning to consider international recruitment through Australia’s skilled migration programs. Employer-sponsored visas allow eligible businesses to hire qualified overseas workers when suitable local candidates cannot be found. Common hospitality occupations eligible under skilled migration pathways include:

  • Chefs

  • Cooks

  • Restaurant managers

  • Café managers

  • Hospitality supervisors

For employers facing ongoing recruitment difficulties, sponsorship programs can provide access to a broader global talent pool, helping businesses stabilise their workforce and maintain operations.

Weighing the Benefits and Considerations

Like any workforce strategy, overseas recruitment has both advantages and practical considerations.

Potential Benefits Practical Considerations
  • Access to a wider pool of experienced hospitality professionals
  • Ability to fill specialised or hard-to-source roles
  • Greater workforce stability for critical positions
  • Opportunity to diversify and strengthen teams
  • Visa processing timelines
  • Employer sponsorship obligations
  • Skills assessment requirements
  • Recruitment and onboarding costs

For many businesses, the key question is not whether overseas recruitment is possible—but whether their business is eligible to sponsor workers under Australian migration law.

Planning Ahead for Workforce Stability

With hospitality demand expected to continue growing, workforce planning will become increasingly important for business owners. Businesses that proactively explore all available hiring pathways—including skilled migration—may be better positioned to maintain consistent staffing levels and support long-term growth. Understanding employer sponsorship options early can help businesses determine whether international recruitment may form part of their broader hiring strategy.

Explore Your Employer Sponsorship Options

If your hospitality business is struggling to find skilled workers locally, exploring employer sponsorship may provide a practical pathway to access global talent. At Think Visa, our migration lawyers assist Australian businesses in understanding whether they are eligible to sponsor overseas workers and how the process works.

You can start by requesting a Free Employer Sponsorship Assessment, where our team will review your situation and explain potential pathways available to your business.

https://www.thinkvisa.com.au/free-employer-sponsorship-assessment-2026

For many employers, this first step can provide valuable clarity on how skilled migration may help solve ongoing workforce shortages.

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