Don't pass on penalty cuts: ACTU

Australian employers have been urged not to pass on penalty rate cuts to workers, even if federal parliament backs the changes.

Employers are being urged not to cut to penalty rates for workers, even if the changes are passed in federal parliament.

Australian Council of Trade Unions secretary Sally McManus says "working people cannot afford or don't deserve pay cuts".

"We are calling on all MPs to stop penalty rates cuts this week so they don't come in on the first of July," she told AAP on Monday.

The Fair Work Commission has recommended phasing in Sunday penalty rate cuts for retail, hospitality, fast food and pharmacy workers from July 1.

Liberal National backbencher George Christensen has broken ranks with the coalition government to introduce a bill opposing the cuts, while Labor has a similar bill.

But Ms McManus said if this wasn't successful employers could choose not to pass the changes on.

"Employers have a choice then to either cut the pay for new workers or casuals, or to maintain their current pay rates," she said at a Lush Cosmetics store in Melbourne.

Lush Australia director Peta Granger said it was a "no-brainer" for the company to decide not to pass on the cuts.

"Facing a wage cut for the low-income sector is a frightening concept, so we made sure we announced that to them," she told AAP.

However, most of Lush's Sunday staff are part- and full-time workers because the company has been reducing casual employees.

"We have less casual staff than other retailers just because we think it's unethical to have people on causal contracts when they should be classified as a permanent part-timer," she said.


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Source: AAP


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