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Penalty rate changes to be phased in over four years

The Fair Work Commission has ruled that planned cuts to weekend penalty rates for retail workers will be phased in over four years.

As previously reported by Books+Publishing, in February the commission ruled that full-time and part-time workers’ Sunday rates will be cut from 200% loading to 150%, while casual workers’ rates will be cut from 200% to 175%.

Under the ruling, Sunday penalty rates for full-time and part-time retail employees will drop from 200% to 195% from 1 July 2017, dropping further to 180%, 165% and 150% in each subsequent year. Sunday penalty rates for casual retail employees will drop from 200% to 195% from 1 July 2017, and then down to 185% and 175% in each subsequent year.

Holiday rates will be cut to 225% for full-time and part-time workers, and 250% for casual workers, effective from 1 July.

The Fair Work Commission ruling has the support of the federal government, while the federal Labor opposition party has introduced legislation to the stop the cuts to penalty rates.


A summary of the decision can be read here.


Category: Local news