The federal government says any change to the modern award system needs to look at the impact of penalty rates on employers.
"The commission must balance (penalty rates) against other elements of the objective when considering whether modern awards provide a fair and relevant minimum safety net," the government submission said.
Opposition Leader Bill Shorten labelled the government submission "radical" and said millions of workers would be left worse off.
"They want to cut penalty rates and working conditions for Australian workers," he said in a statement.
Have your say in the comments section below: Do you think the current penalty rates system is fair?
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