Unions NSW says the proposed change to the award system would negatively affect low-paid workers. Photo: Unions NSW.
Unions NSW has voiced its opposition to an application by the Australian Retailers Association (ARA) to the Fair Work Commission that would cut penalty rates and workplace entitlements.
The proposal would abolish overtime, weekend and evening penalty rates, reduce time for rest between shifts, scrap annual leave loading and remove breaks.
In exchange, the ARA proposes that workers receive a 25 per cent pay rise, which Unions NSW says falls “seriously short” of adequate compensation.
If the ARA’s application is successful, it may set a precedent for the stripping of entitlements in other award-reliant industries such as administration, fast food, hospitality and health.
Unions NSW has cited ABS statistics to approximate how many permanent award-reliant workers across the state would be negatively affected by the proposal:
- 8140 in Parramatta
- 14,894 on the Central Coast
- 13,000 in the electorates of Gilmore and Eden-Monaro.
Unions NSW secretary Mark Morey said ARA’s proposal would undermine the protections workers had fought for and affect low-paid workers statewide.
“Retailers are making billions in profits, so it’s disgraceful that they’re targeting the penalty rates and entitlements of the very people who keep their businesses running,” Mr Morey said. ”This is a cash grab at the expense of hard-working Australians.”
Some of Australia’s retail giants, such as Coles, Kmart, Woolworths, Costco, 7-Eleven, and Mecca Cosmetica, support the ARA’s proposal.
“We’ve seen this happen before,” Mr Morey said. ”When penalty rates were cut in 2017, workers across retail and hospitality lost thousands from their annual pay.
”We can’t let history repeat itself. These cuts will hit the lowest-paid workers hardest, especially in regions where penalty rates are vital to making ends meet.”
Unions NSW also targeted the Federal Opposition in its statement, saying that Peter Dutton and the Coalition had historically voted against the restoration of penalty rates for workers in the hospitality, fast-food, retail and pharmacy industries since 2017.
