Local business in Moranbah losing workers to mining

Restaurants, retail and food service businesses in the heart of coal country are struggling to keep workers as mining juggernauts offer fat pay packets and juicy perks.

The McDonald’s store at Moranbah is meant to be a 24/7 operation offering Big Macs to hungry miners at all hours, but worker shortages in the heart of coal country have pushed the popular fast-food pit-stop to roll back its service.

On one Friday night over the Christmas break, the restaurant crew put down crates in the drive-through to indicate they didn’t have enough staff.

It is a challenge that has struck a number of food service businesses across town and Mexicasa Restaurant co-owner Mark O’Dwyer said the mining companies were largely to blame.

“Most people that come to this town primarily are looking for mining,” he said.

“I’d say that’s probably 80 per cent of the problem.

“We have lost probably 50 per cent of our staff to the mines.”

The Moranbah town centre Photo: Daryl Wright

ABS data shows wages in mining dwarf those in the food service sector.

Median earnings in mining across the country were $2497 per week as of August 2022, far above the $600 per week in food services.

Though the industry’s fat pay packets go to high-skilled workers with extensive experience, entry-level mining jobs also offer comparatively attractive wages compared to most food service gigs.

A trades assistant with only labouring experience can expect to book at least $35 an hour working alongside fitters, boilermakers and welders in Moranbah, while a 21-year-old fast food worker on a full-time contract can expect to make about $23 an hour, or just under $900 per week, according to the Fair Work Ombudsman.

A cleaner at nearby Coppabella can book $40 an hour on a casual rate, with no prior experience necessary.

Mining salaries also escalate dramatically once a worker gains the necessary skills.

Thiess truck at Caval Ridge open cut mine, Moranbah. Median earnings in mining across the country were $2497 per week as of August 2022, far above the $600 per week in food services.

Qualified diesel fitters, auto electricians and operators can pull in than $150,000 a year in the mines.

Across the Isaac region, there are 25 operational coal mines, which together generate about $23bn in economic output, nearly 87 per cent of the region’s total contribution.

For Mr O’Dwyer though, competing with the mines is not mainly a problem of wage disparities, but rather the additional perks mining firms offer the labour pool.

“All food for them (the workers) is provided for them,” he said.

“So they are saving money, in terms of they have got their food and accommodation provided, so that makes it harder (to keep workers).

“Rent is not cheap at all in Moranbah.”

Median rent for a house in Moranbah across 2022 was $472 per week, according to realestate.com.au.

Subway franchisee Belinda Barnwell said “everyone” lost workers to the mines, though she had avoided staff churn more recently.

“A few years ago I lost a few staff when they (mining companies) started putting on the women, but not lately,” she said.

(From left to right) Molly Johnstone, Grace Johnstone and Evie Bacchiella work at Belinda Barnwell's Subway in Moranbah. Mrs Barnwell said she had suffered staff churn recently but 'everyone' in town lost workers to the mines. Picture: Belinda Barnwell.

She said most of her workers were under the age of 18 and so losing them to the mines was not a central concern, though securing staff was still a challenge.

“The last time we were looking for someone, it took our manager a few months to get someone,” she said.

Puma assistant store manager Darryl Gonzaga said Moranbah’s isolation from major cities was another factor contributing to the town’s worker shortages.

The Bowen Basin hub is an 11-hour drive from Brisbane or 1 hour and 30 minute flight and a two-hour drive from Mackay.

“The mining industry pays a lot more compared to local businesses,” Mr Gonzaga said.

“Some people are money driven.”

A McDonald’s Australia spokesman said the company invested “millions” each year into training and development initiatives.

“McDonald’s is currently hiring a variety of management, crew, barista and maintenance roles across restaurants in Moranbah and the Mackay region,” the spokesman said.

“We are looking to employ people of all ages and experience levels.”