Mixed reactions to proposed weekend penalty changes

The Productivity Commission is calling for changes to weekend penalty rates for hospitality and retail workers.

Mixed reactions to proposed weekend penalty changesMixed reactions to proposed weekend penalty changes

Mixed reactions to proposed weekend penalty changes

The Productivity Commission is calling for changes to weekend penalty rates for hospitality and retail workers.

Among the recommendations made in the Commission's final report on workplace relations is a reduction of Sunday penalty rates to current Saturday levels.

As Anita Clark, the reactions have been mixed.

Sydney cafe-owner Robin Yeh has welcomed the Productivity Commission's recommendations to bring Sunday penalty rates into line with those being paid on Saturday.

He says paying staff weekend penalty rates puts a strain on his business, and over the Christmas period it will make running the cafe even more costly.

"It's a lot with Boxing Day coming on the Saturday, you have to pay the penalty rate there, the following Sunday, then Monday, which is another public holiday. So it's three days of penalty rates. Literally one week of expenses in just three days."

The national representative body, the Restaurant and Catering Industry Association, believes reductions to Sunday penalty rates would help boost jobs and the economy.

Spokesman John Hart says the effects would benefit small businesses, staff and customers.

"Business that are closed on a Sunday would open if there was a change to penalty rates. We know that businesses would 25 per cent open more hours if we had the Saturday rate applying on a Sunday. So, it's not just about closure - it's about employment, it's about more jobs for people, more shifts and more choice for consumers."

But not everyone agrees.

The Shop, Distributive and Allied Employee's Union, which represents retail workers, says the sector already has some of the lowest-paid workers in the country.

SDA Secretary Bernie Smith says any changes to penalty payments would significantly affect the incomes of those who rely on weekend shifts.

"For retail workers who would lose $100 a week from these sorts of changes it means a loss of $5,000 a year to their incomes."

Sydney man Tom Williams supplements his personal-trainer income by working on Sundays as a retail assistant.

"I work often during the week on my own small business. Having the penalty rates on a Sunday helps subside any financial side of it that I need for my small business."

The federal Employment Minister, Michaelia Cash, says it's up to the Fair Work Commission to determine which of the Productivity Commission's recommendations will be accepted.

Senator Cash says the federal government intends to test the public's support for any possible changes to workplace laws.

"We will now carefully consider the review's recommendations and the final report. If there is a case for sensible and fair changes to the Fair Work framework, these will be clearly outlined, and they will be taken to the next election, and we will seek a mandate from the Australian people."

Labor says because the government commissioned the workplace relations review, it has -- in effect -- directed how it should be conducted.

Employment and workplace relations spokesman, Brendan O'Connor, says cutting Sunday penalty payments will hurt Australian households, and ultimately the economy.

"This report is Malcolm Turnbull's gift that no worker wants at Christmas, the report looks at changing arrangements which will have significant effects on many workers in this economy."

The Productivity Commission recommended no changes to other penalty rates such as overtime, night or shift loadings.

 

 


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By Anita Clark

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