Hospitality employees will face a reduction in Sunday pay from 175% to 150% while casual hospitality workers’ pay will remain unchanged.
The Sunday penalty rates will still be higher than the rate for working a Saturday. Under the changes you will lose $35, earning $212.
The Productivity Commission recommended Sunday rates be reduced in December 2015 along with 70 other recommendations for workplace reform.
Hospitality Industry (General) Award 2010: for full-time and part-time employees from 175% to 150%. For casuals, rates will fall from 175% to 150%.
The trade union movement has been fiercely opposed to the prospect of any cuts, saying penalty rates provide critical and fair compensation for low-paid Australians who work unsociable hours.
Industrial Relations spokesperson Adam Bandt told SmartCompany focus is on the bigger end of town, and ensuring staff employed by bigger businesses like Coles get paid minimum standards under enterprise agreements, which won’t be affected by these changes to awards. For casuals the rate will be reduced from 200% to 175%.
Peter Bolte from Taree Leading Appliances in NSW does not now trade after 12pm on Saturday, although with the ever-increasing turnover and customer demand for the Jaycar side of his business, “Sunday trading is looming as a natural extension of that facet of our business”, he told Appliance Retailer. “It varies even within the retail industry and hospitality sector”. Casual retail employees, who now receive either 275% or 250% on public holidays, are set to receive a standard 250% under the proposed changes.
The rate for casuals will be 250 per cent.
The Coalition and Prime Minister Malcolm Turnbull have distanced themselves from the tribunal proceedings but have confirmed they will follow the tribunal’s recommendations.
Macarthur MP Dr Michael Freelander (Labor) said it was a “terrible decision”.
Many took to Reddit, Facebook and Twitter to voice their anger.
Obviously this will impact a large number of employees. The independent umpire makes decisions based on the rules they are given.
Meanwhile, the minor parties are adopting different positions on what to do next in order to strengthen small business, while also delivering more hours to workers.
My boss was less like the dry, but friendly, coffee shop boss Gunther off Friends and more like the truly heinous Miranda Priestly from The Devil Wears Prada.
“Bill Shorten is responsible for establishing the framework that has led to today’s decision”.
The proposal did not appear to have universal support among government ranks, with Nationals leader Brendon Grylls voicing concern about “attacks” on penalty rates.
For instance, why we are the only country with layers upon layers of employment-related regulation, including the oxymoronic “modern” awards system.
Campbelltown MP Greg Warren (Labor) was said he was fuming.
Chris Ottey, 23, is a retail employee at EB Games and said it would be a loss for people with other weekday commitments, like study, who use weekend rates to stay afloat.
Kearney said that was a “complete furphy”.
On Twitter, Victorian Premier Daniel Andrews said people relied on penalty rates.
The decision comes less than 24 hours after the Australian Bureau of Statistics revealed that the long run of weak wages growth for Australian workers continued in the December quarter and 2016 with a rise of 1.9% (annual).
“We respect their decision and we will try and make it work”.