Aug 30

This week John Hart visited Dr Craig Emerson (Minister for Small Business, Services and Independent Contractors) and Steve Ciobo (the Shadow Minister) to detail the challenges the industry is facing with Award Modernisation. Following the article (attached) that was in the Financial Review this week there has been some additional interest in these issues.

Whilst it is understood that the LHMU were similarly canvassing MPs on these issues this week, the purpose of the R&CA’s visits was to encourage the Government and Opposition Small Business Ministers to have their respective IR Ministers (especially the Government) understand the impacts of collapsing hospitality awards into one award on the operation of restaurant businesses.

From a small business perspective, the complexity of the award and additional costs (that would have an inflationary impact) are central to the defence of the industry position. The advocacy has focussed on the objective of award modernisation that requires that modern awards should be’ simple to understand and easy to apply, and must reduce the regulatory burden on business’.

The prosecution of this cause will continue next week at the Friends of Tourism function in Parliament House. So far 50 MPs and Senators have RSVPed for the event. The theme of the dinner will be a FAIR GO for restaurateurs and caterers – A FAIR GO on industrial relations, a FAIR GO on regulation and a FAIR GO on workforce development.

Aug 30

This week the Restaurant & Catering Australia Association lodged a submission to the 457 Visa Integrity Review. This aspect of the review was focussed on the English Language Requirement for overseas workers and OH&S.

Following distribution of the DRAFT it was suggested that the submission should call for no English language requirement for overseas cooks, whereas the draft submission, and association policy is that the level of language should be as required for the job.

The draft submission suggested that the current requirement should be relaxed but falls short of calling for it to be eliminated all together. There was very little support for strengthening the call and the submission was lodged consistent with the draft.

The report now recommends that:
· That the English language requirement across the Board be lowered to very basic functional English level (perhaps IELTS 4 or below) and, where necessary, specific vocation by vocation requirements be applied;
· That an option for testing on-shore, with the option to undertake make-up training, be facilitated, and;
· That the rights and obligations of employers and employees, in relation to occupational health and safety, not be considered on the basis of their country of origin or that nature of their work arrangements, they should exist, as they do now for all employers and employees.

Aug 30

Restaurant & Catering Victoria is delighted to announce the accreditation of Jeffrey Rohde as a Certified Sommelier at this weeks Court of Masters Sommeliers examination in Melbourne.
This week marked the first large scale examination of Australian sommeliers by the prestigious Court of Masters Sommeliers.
The Court of Master Sommeliers is the world leading authority on the service and sale of wine and beverages in the restaurant and the hospitality industry.

Restaurant & Catering Victoria is delighted to be supported in work of the court in Australia with many members businesses having taken part in the week’s examination.

Jeffrey heads up Restaurant & Catering Victoria’s Hospitality Purchasing Network. As a Certified Sommelier he will be able to provide member businesses with expert advice on the structure and design of their beverage offering in addition to a seamless purchasing program to ensure businesses are buying the right products at the right price from the best suppliers.

The Hospitality Purchasing Network has been developed by Restaurant & Catering Victoria to provide direct business advice and systems for purchasing a broad range of products. HPN can assist hospitality businesses in the purchasing of a broad range of items including utilities, cleaning products, insurances, IT, hotelware, stationary, motor vehicles and now wine and beverages.

Restaurant & Catering Victoria congratulates Jeffrey on gaining accreditation as a Certified Sommelier and the organisations looks forward to assisting businesses across the sector with the design, structure and purchasing for their wine or beverage lists.

Aug 30

Coopers Brewery was named the 2008 Telstra South Australian Business of the Year on Tuesday night, after being selected from the state’s best businesses.

The Regency Park-based brewery also won the Panasonic Australia Medium Business Award, which recognises outstanding businesses with 21 to 200 employees.

Coopers Brewery is Australia’s third largest brewer and the country’s only major family-owned brewery. First established in 1862 by Thomas Cooper, Coopers Brewery is now run by fifth generation descendants from its state-of-the-art brewery at Regency Park.

Today, its rapid interstate expansion has seen the business enjoy its strongest growth period ever, with Coopers Brewery products accounting for approximately 3.3 per cent of the Australian beer market. Coopers Brewery is also the world’s largest manufacturer and exporter of home brew concentrates and one of the largest producers of malt extracts. “This Award recognises Coopers Brewery for its hard work, determination and business success,” Ms Deena Shiff, Group Managing Director of Telstra Business and Telstra Business Awards Ambassador said. “The judges were highly impressed by Coopers Brewery’s customer focus, innovative thinking, company vision and overall business practices. These key areas are the building blocks of Coopers Brewery’s success and make the company a role model for all South Australian businesses.”

On top of the Best Business Award there are five other categories - micro-business, small business, medium business, innovation and social responsibility.

South Australian award winners will now compete against other state and territory winners at the national final in Sydney on Friday 10 October. Overall winners from each state and territory are also in the running to be crowned the 2008 Telstra Australian Business of the Year.

Aug 30

Eating out, takeaways and nights in the pub will be among the first activities to be chopped by UK consumers in the wake of the downturn but restaurants are better placed to survive the economic turbulence than fifteen years ago, research by PricewaterhouseCoopers LLP has revealed.

In a study that surveyed 1000 people, 27 per cent confirmed the first items they would cut back on would be restaurant meals, takeaways or fast food, and visits to the local pub, compared to 18 per cent who would cut back on holidays and weekend breaks.When asked specifically about how they would cut back on eating out spend, 20 per cent said as opposed to reducing on restaurant visits they would stop going all together - in favour for cooking at home. A further 46 per cent reported they would simply eat out less often, 13 per cent will spend less at the same restaurants, and 11 per cent will eat out at a cheaper restaurant.

David Trunkfield, Director, PricewaterhouseCoopers LLP, believes restaurant customer levels will fall but spending per customer is likely to remain constant. “Wallets and waists are getting thinner as consumers tighten their belts and prioritise what they spend their dwindling disposable income on,” he said. “Footfall will drop for restaurants across the UK but spend per head should be less affected.”

“Lower socio-demographic groups are more likely to stop eating out altogether and families with high mortgage repayments will also be reluctant to eat out,” Mr Trunkfield added.

Second time lucky for the restaurant industry

Consumers are clearly getting more nervous with spending growth predicted to slow to just 0.5% in 2009. Nearly 60% of consumers surveyed this summer think their household will be worse off in the next 12 months. This is a clear deterioration since PricewaterhouseCoopers April survey when 37% of consumers polled thought they would have less disposable income (money remaining after household bills and credit card payments) in the next year.

In the early 1990s, restaurants struggled in the wake of the recession but since then we have seen significant cultural changes and, with that, certain categories of consumer spending have arguably shifted from being discretionary to essential, such as eating out.

The UK, like Australia, became wealthier during the boom and enjoyed high employment rates. As people now work longer hours and more women work, eating out has slipped into the essential as opposed to luxury bracket.

During the previous downturn one in five people ate out regularly, by 2008 that figure had trebled.

“There is a wider range of restaurants this time around and much wider choice of casual dining options for consumers. Eating out used to be a more formal, three course meal but is now a habit for many consumers enjoying affordable choice,” Mr Trunkfield explained. “The credit crunch will not change the course of this cultural behaviour.”

During the last recession, branded restaurant chains were both smaller and primarily based around traditional food or pizza offerings. Branded restaurant chains in the current market are both larger and more varied in offering.

Australia, too, has witnessed a noticeable recent trend toward casual dining options, with a shift away from fine dining in the current climate. The competitive nature of the restaurant industry, difficulties in finding and retaining qualified staff, rising food prices and increased economic concern of consumers have stimulated the heightened interest in casual dining.

Food for thought for restaurateurs

People will not compromise eating out altogether but they will be smarter about how they do it, according to PwC. They will still want to eat out but will be looking for a chance to spend less money or make the same amount go further.

“The challenge for restaurants is to try and keep the same customers through promotions, discounts and good set menus, but more importantly through excellent customer service,” Mr Trunkfield advised. “Customers need to walk away with more than a full stomach - they will be looking for a good experience that provides value for money. If they are dropping visits patrons must make sure they drop them from other restaurants.”

“The good news is that the under 25s, who are not tied to a mortgage, are still spending and enjoying the hospitality scene. In addition the AB (upper-middle class) demographic will also keep the restaurant cash tills ringing as they downgrade and dip into the varied, casual dining scene, but continue to eat out,” Mr Trunkfield concluded.

Aug 30

Leading Australian retail food brand manager and franchisor Retail Food Group Limited (RFG) today announced a 134% increase in net profit in spite of the recent economic turbulence which has hit consumer confidence.

The owner of the Donut King, Brumby’s Bakeries, Michel’s Patisserie and bb’s café franchises saw growth stimulated by their purchases of Brumby’s and Michel’s and a record number of new store commissionings (61).

There is now a total of 1,052 franchised outlets under RFG’s four franchise systems comprising:
• 307 Donut King outlets (a net increase of 18 outlets on previous year)
• 329 Brumby’s Bakeries outlets (a net increase of 8 outlets on previous year)
• 348 Michel’s Patisserie outlets, (a net increase of 6 outlets on previous year), and
• 68 bb’s café outlets (a net decrease of 3 outlets on the previous year).

RFG Chairman John Cowley said the Company had exceeded management’s expectations during the past 12 months. “The Company has now fulfilled all aspects of the strategic growth plan outlined in RFG’s May 2006 Prospectus, delivering upon its commitment to shareholders and transforming itself into a genuine market leader within the retail food franchising industry,” he said. “Not only has the Company added two successful and highly recognized franchise systems to its portfolio in Brumby’s Bakeries and Michel’s Patisserie, it has continued to achieve consistent and sustainable growth in new outlet openings, outlet average weekly sales and outlet average transaction values.”

The financial year also saw an increased roll-out of product to Donut King outlets from the Central Manufacturing Facility and the entry into a Master License Agreement to enable the Donut King brand to enter the Chinese marketplace.

RFG CEO Tony Alford acknowledged that current economic conditions were not ideal but believes the company will be able to cope in spite of falling consumer confidence and spending. “Whilst no business is immune from present market conditions, RFG’s systems have historically traded well during retail and economic adversity. Our franchise systems are well positioned in terms of product and service delivery to absorb the many current external market pressures,” Mr Alford suggested.

A further 50 outlets across the RFG franchise systems are expected in the coming year.

Aug 10

Jacques Reymond was announced as the Lavazza Restaurant of the Year and Delaware North - Melbourne Zoo took out the Caterer of the Year at the 2008 Restaurant & Catering Victoria Awards for Excellence on Tuesday the 5th of August held at Peninsula, Atlantic South Wharf, Docklands.

Over 475 attendees were first treated to a unique performance by La Prima before MC Helen Razer kicked of the formalities. In her unique way she entertained the many restaurateurs and catering professionals while announcing this year’s Award Recipients.

A posthumous award went to Donleavy Fitzpatrick as the sixth Victorian Restaurant & Catering Australia Lifetime Achiever. His contribution to industry particularly his influence in changing the liquor licensing laws in the late 80’s and early 90’s had to be acknowledged. It is largely due to Don’s effort’s to push boundaries and force change, Victorians are able to sit on the street and enjoy a glass of wine/coffee and have the choice to eat or not. Don lost his battle with Brain Cancer in February 2008, so accepting on his behalf was family friend, Janet Galpin.
Melbourne Food & Wine Events Professional Development Award

Crown Limited Melbourne

Restaurant & Catering Australia Fine Wine Partners and Henschke Life Time Achievement Award

Awarded posthumously to Donleavy Fitzpatrick

Asian Restaurant

Winner: Koko - Melbourne

Finalist: Ocha Restaurant - Kew

Finalist: Red Spice Road - Melbourne

Finalist: Hanabishi - Melbourne

HostPlus Breakfast Restaurant

Winner: Richmond Hill Café e Larder - Richmond

Finalist: Ferguson Street Provisions - Williamstown

Finalist: Replete Providore - Hawthorn

Finalist: Provisions Food Store - Camberwell

Riviana Foods Café Restaurant

Winner: Café Vue - Melbourne

Finalist: Truly Scrumptious - Mentone

Finalist: Ludo Café - Melbourne

Finalist: Café Stradina - Glenroy

Café Restaurant - Regional

Winner: The Red Hill Brewery - Red Hill

Finalist: Ambrosia Café - Bar - Foodstore - Berwick

Finalist: Merricks General Store - Merricks

Finalist: Post Office Café - Office 3564 - Echuca

OAMPS Chinese Restaurant

Winner: Silks - Melbourne

Finalist: Flower Drum - Melbourne

Finalist: Chine on Paramount - Melbourne

Finalist: Yum Cha Dragon Chinese BBQ & Restaurant - Docklands

Coffee Shop

Winner: Convent Bakery - Abbotsford

Finalist: Book Talk - Richmond

Finalist: Coffee Club Knox Ozone - Knox City

Finlease European Restaurant

Winner: Bistro Vue - Melbourne

Finalist: MoVida - Melbourne

Finalist: Peridot Lake Estate Restaurant - Main Ridge

Finalist: the brasserie by Philippe Mouchel - Melbourne

Family Establishment

Winner: Maribyrnong Boathouse - Moonee Ponds

Finalist: Nosh @ Newport - Newport

Finalist: Sage at Parkhill - Berwick

Finalist: The Cosy Kangaroo - Bright

red + white Fine Dining Restaurant

Winner: Jacques Reymond - Windsor

Finalist: Circa, the Prince - St Kilda

Finalist: La Petanque - Main Ridge

Finalist: Vue de monde - Melbourne

Indian Restaurant

Winner: Bukhara - Warragul

Finalist: Cafe Saffron Indian Restaurant - Ivanhoe

Finalist: Bhoj Indian Restaurant - Docklands

Finalist: Gharana Indian & Pakistani Restaurant - Albert Park

Informal Dining Restaurant

Winner: Oyster Little Bourke - Melbourne

Finalist: Amello - St Kilda

Finalist: La Luna - Carlton North

Finalist: Punch Lane - Melbourne

Hospitality Training Australia Informal Dining Restaurant - Regional

Winner: Bamboo - Rye

Finalist: Gigi’s of Beechworth

Finalist: The Rocks - Mornington

Finalist: The Boyz for Brekkie - Mornington

Barilla Italian Restaurant

Winner: Tutto Bene - Southbank

Finalist: Agro Dolce - Forest Hill

Finalist: Centonove - Kew

Finalist: Gran Sasso Ristorante Italiano - Edithvale

American Express Modern Australian Restaurant

Winner: ezard - Melbourne

Finalist: Mercer’s Restaurant - Eltham

Finalist: Interlude - Fitzroy

Finalist: Wine House - Southbank

HostPlus Modern Australian - Regional

Winner: Oscar W’s Wharfside, RedGum Grill & DeckBar - Echuca

Finalist: The Long Table - Mornington

Finalist: Pettavel Winery & Restaurant - Waurn Ponds

Finalist: Astra Lodge - Falls Creek

Fine Food Australia New Restaurant

Winner: Maha Bar and Grill - Melbourne

Finalist: The French Corner Restaurant - Highett

Finalist: The Vines of Red Hill - Red Hill

Finalist: Nobu - Melbourne

Fonterra Pizza Restaurant

Winner: Ladro - Fitzroy

Finalist: Pizza Verde - Kyneton

Finalist: Bluestone Lounge Bar - Melbourne

PPCA Pub / Club / Tavern Restaurant

Winner: The Grand Hotel - Richmond

Finalist: Lamaro’s - South Melbourne

Finalist: Overflow Café & Wine Bar - Mount Waverley

Finalist: Vine Hotel - Collingwood

Westpac Restaurant in a Winery

Winner: Salix - Merricks North

Finalist: Montalto Vineyard & Olive Grove - Red Hill South

Finalist: Ten Minutes by Tractor - Main Ridge

Finalist: Max’s at Red Hill - Red Hill

Seafood Restaurant

Winner: Esposito at Toofey’s - Carlton

Finalist: Fisherman’s Pier - Geelong

Finalist: Live Bait - Docklands

Finalist: Fish Seafood Grill and Rotisserie - Waterfront City

Specialty Cuisine Restaurant

Winner: Verge - Melbourne

Finalist: S.Komatsu - Melbourne

Finalist: Nudel Bar - Melbourne

Finalist: Bluefire Churrascaria Grill & Bar - Docklands

Meat & Livestock Australia Steak Restaurant

Winner: The Point - Albert Park

Finalist: Steakhouse New Quay - Docklands

Finalist: Mediterraneo Charcoal Grill - Albert Park

Finalist: Parkers Steakhouse - Geelong

Thai Restaurant

Winner: Paladarr Thai Issan - Alphington

Finalist: Isthmus of Kra, Nonya Thai - South Melbourne

Finalist: Little Thai Princess - Glen Iris

Chef’s on the Run/CMD Tourism Restaurant

Winner: Lake House - Daylesford

Finalist: Chris’ at Beacons Point - Apollo Bay

Finalist: Gingerboy - Melbourne

Finalist: Stefano’s - Melbourne

VIP Personnel Corporate Caterer

Winner: Spotless at Delioitte- Melbourne

Finalist: Crave Catering - South Yarra

Finalist: Elizabeth Andrews Corporate Catering - Melbourne

Finalist: River house Catering - St Kilda South

Finalist: Zouki - Clayton

APRA Function Centre Caterer

Winner: Atlantic Group - Docklands

Finalist: Tasteful Occasions at Amstel - Cranbourne

Finalist: Sixteen Ellis Street - South Yarra

Finalist: Epicure Catering - Zinc at Federation Square - Melbourne

Finalist: Red Scooter - St Kilda East

Finalist: Crown Events - Million Dollar Lunch - Melbourne

Site / Industrial Caterer

Winner: Spotless - Geelong Grammar

Finalist: Contemporary Catering - Overton Lea Aged Care

Finalist: Zouki - Monash Medical Centre

Venue Caterer

Winner: Delaware North - Melbourne Zoo

Finalist: Delaware North - Melbourne & Olympic Parks

Finalist: Delaware North - Telstra Dome

Finalist: Epicure Catering - MCG

Modern Wedding Magazine Wedding Caterer

Winner: Delaware North - The Terrace

Finalist: Ed Dixon Food Design - Abbotsford

Finalist: Nathania Springs - Monbulk

Finalist: Contessa Receptions - Mount Waverley

Finalist: Ascot House - Ascot Vale

Hall of Fame Recipients

Silks - Melbourne - Chinese Restaurant

Tutto Bene - Southbank - Italian Restaurant

Ladro - Fitzroy - Pizza Restaurant

Paladdar Thai Issan - Thai Restaurant

Crown Limited Melbourne - Professional Development

Jul 27

The American operator of a Brisbane Pizza Hut restaurant was last week fined $35,000 after a cooked cockroach was found in a barbecue meatlovers takeaway pizza. The Brisbane Magistrates Court was told a Brisbane City Council inspection of the Pizza Hut at Bellbowrie had found “a serious and extensive” cockroach infestation”. The raid on the restaurant in city’s outer west in August by the council’s environmental health officers found food ingredients stored in open containers in the preparation area below fittings that were cockroach-infested, a bag of flour that was not kept in a vermin-proof container, dirt, dust, food and cockroach waste had accumulated on the floor, walls were soiled with grease and cockroach faeces, dead cockroaches and cockroach waste was dried into a hinge of a refrigerator, and live cockroaches on a refrigerator seal and hinge. Subsequent tests on the offending pizza found the cockroach, known as the blatella germanica nymph, was alive when it was cooked. The council suspended the licence of the restaurant operated by Yum! Restaurants. The Sunday Mail (Brisbane), July 6.

Jul 27

Renowned for their string of successful restaurants and award wining wines, Fiona and Kate Lamont are adding another string to their bow. The sisters’ latest offering, Lamonts Wine Store Cottesloe, is a European inspired tapas and wine bar combined with a wine store. In one of the more salubrious western suburbs, delicious food and wine is served at the wine store from 11am to midnight. “Im really excited about this. The market wants this type of thing,” Kate says. The wine store stocks a comprehensive selection of premium drops from around Australia and the world. Patrons are able to purchase all wines on the wine list for their personal cellars. Each week Lamonts Cottesloe wine selector John Jens will be serving up a selection of the most interesting wines. The “grazing style” menu offers a tantalising selection of small tastes, including lobster and fennel terrine, wagyu beef and mushroom pie, and confit duck salad. Licensing laws allow you to enjoy a drop without purchasing food. Prestige Property. July 6.

Jul 27

Weeks after announcing write-downs of up to $700m on the value of its global wine business, Foster’s is resuscitating a forgotten Tasmanian wine label as it seeks to rebuild momentum in the restaurant market. The launch of a new top-shelf brand is a rarity at Foster’s, which is seeking to consolidate its portfolio of more than 50 wine brands and comes as chairman David Crawford embarks on a review of the wine business, which could result in asset sales. Heemskerk, originally launched in 1975, enjoyed considerable success in the 1980s before being hived off into the Cellarmasters wine club business as an in-house brand available only to members. Foster’s sold the Cellarmasters business last year but retained the Heemskerk label, which group marketing manager for specialist brands Nicholas Crampton said would be restricted to restaurants and fine wine retailers. “It’s the same strategy used by most of the top boutiques … it’s one Foster’s hasn’t used as aggressively before,” he said. The ubiquity of Foster’s brands, including Penfolds, Lindemans, Wolf Blass and Rosemount, in retail outlets has been their downfall in on-premise sales, with few restaurant diners willing to shell out $50 or more for a bottle of wine they know they can buy for less than half that price at Dan Murphy’s. Foster’s also lost restaurant customers after the 2005 acquisition of Southcorp by attempting to sell both beer and wine through a single sales team, alienating high-end clients accustomed to more specialised service. Mr Crampton said 95 per cent of Heemskerk wines, which were priced at up to $60 a bottle, would be sold through restaurants. The Australian, July 7.