The Australian Council of Trade Unions (ACTU) said nearly half a million people, including some of the country's lowest-paid workers, would lose up to $6,000 a year. But it acknowledged the changes would cause hardship to some workers.
Sunday pay rates for full-time and part-time hospitality workers will be cut from 175 per cent of their standard wage to 150 per cent. In retail, Sunday wages will be reduced from 200 per cent of the standard rate to 150 per cent for full-time and part-time staff.
Sunday penalty cuts:
Retail: Full and part time: 200pc down to 150pc / Casual: 200pc down to 175pc
Hospitality: 175pc down to 150pc / Casual: No change
Fast-food: Pharmacy: 150pc down to 125pc / Casual: 175pc down to 150pc
Pharmacy: 200pc down to 150pc / Casual: 200pc down to 175pc
For fast-food workers, Sunday pay for some full-time and part-time employees — classed as "level one" workers — will be cut from 150 per cent to 125 per cent.
The public holiday penalty cuts will come into effect on 1 July 2017.
The Fair Work Commission has not yet decided when the Sunday rate cuts should come into effect but indicated it should be within a year.