The Palaszczuk government has called on Prime Minister Malcolm Turnbull to intervene following the Fair Work Commission's decision to slash Sunday penalty rates.
Ms Palaszczuk says the "devastating decision" would see some Queenslanders lose up to $6000 a year.
"Clearly the Turnbull government needs to intervene and put an end to these cuts to the take-home pay of Queensland workers," Ms Palaszczuk said in a statement.
Under changes announced by the Fair Work Commission on Thursday, Sunday penalty rates for casual hospitality workers will fall from 175 per cent to 150 per cent, while retail workers face a reduction from 200 per cent to 150 per cent.
Ms Palaszczuk wrote to Commissioner Iain Ross in September last year expressing her concerns that Queensland families and the state's economy would be worse off under the changes.
"These workers rely on penalty rates to provide the basics for their families and themselves," she wrote.
Industrial Relations Minister Grace Grace said the decision would hit the economy hard, especially in regional Queensland.
"Today's decision will take money out of the real economy, reducing the spending power of thousands of Queensland families," she said.
Queensland Council of Unions general secretary Ros McLennan called the decision "voodoo economics" and said it will rip $1.2 billion from the state economy without creating any jobs.
"It's a disgraceful decision," Ms McLennan told AAP.
"It is the single largest pay cut in Australia's history since the Depression," she added.
Earlier, a crowd of about 100 union members gathered outside Fair Work Commission's offices in Brisbane's CBD as the news broke, before marching to the federal offices at Waterfront Place.
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