Penalty rates are compensation for workers who would have missed this weekend's footy grand finals.
That's how shadow assistant treasurer Andrew Leigh describes the work entitlements enjoyed by retail and hospitality workers, which the Productivity Commission believes should be pared back.
"We play these games on weekends, just as we do a whole load of socialising on weekends," Dr Leigh told Sky News on Sunday.
"Simply put, it's compensation for working when others aren't."
The Productivity Commission recommended in its draft workplace relations framework report, released in August, that Sunday penalty rates should be cut to the same level as Saturday's.
Labor opposes the idea and the government appears to be in no rush to respond.
Finance Minister Mathias Cormann says penalty rates have implications for small businesses in particular, but it would be up to the Fair Work Commission to respond to the recommendation.
"Whether we will do any more as part of a second-term agenda is something we have to consider between now and the next election," he told Network Ten on Sunday.
Senator Cormann, along with Prime Minister Malcolm Turnbull and the rest of his economics team, met with business, union and community leaders last week as a follow-up to a privately-sponsored national reform summit in August.
Tax reform was on the agenda, including the GST and superannuation tax concessions, but Senator Cormann insists the government does not intend to increase the tax burden on the economy.
"What we have undertaken is to keep all of the potential avenues to improve the tax system on the table," he said, adding the aim was to improve productivity, encourage people to work harder and save and invest more.
Dr Leigh says Labor is up for a debate about tax, but it must result in a plan that lifts economic growth.
He says the discussion comes at a time of slow wages growth and weak consumer confidence, with economic growth being downgraded and unemployment up.
"You really need a tax plan that goes to the importance of stimulating growth ... I worry too much that the government's continual talk about cutting penalty rates, their suggestions about raising the GST, could damage the economic prospects of the nation," he said.
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