weekend penalty rates

Life could become harder for some of Australia's lowest paid workers.

The Australian Industry Group, on behalf of Hair and Beauty Australia, has asked the Fair Work Commission to slash Sunday and public holiday penalty rates in the hairdressing industry.

They want to reduce Sunday penalty rates for hairdressers from 200% to 150% and public holiday rates from 250% to 225%.

The Australian Workers Union said the cut would mean a qualified hairdresser could lose $85 a week for an eight-hour Sunday shift and almost $4500 a year.

Minimum wages rises $22 a week

Australia's lowest-paid workers will get a $22 a week pay rise after the Fair Work Commission lifted the national minimum wage to $694.90 from July 1.

FWC lifted the wage by 3.3% or 59 cents an hour to $18.29 an hour. Inflation for the year to the end of March was 2.1%. Minimum rates in modern awards will also rise by 3.3%.

ACTU secretary Sally McManus said the rise would not make up for penalty rate cuts affecting 700,000 workers.

The decision will affect up to 2.3 million people reliant on minimum rates of pay.

 

Staff at stationery chain Kikki.K will be the first employees covered by an enterprise agreement to directly face cuts as a result of the Fair Work Commission’s decision to cut weekend penalty rates.

The 550 Kikki.K workers are covered by a new enterprise agreement approved last month.

It has a clause that allows it to cut public holiday and Sunday penalty rates without any opportunity to renegotiate when the FWC's cuts to the retail award come into effect.

The deal was struck without the involvement of any union or employee bargaining representatives.

"As students, penalty rates can be your main sources of income,” Susie Elliott, a member of the Retail and Fast Food Workers Union (RAFFWU), told a "Save our penalty rates: Hands off our pay," rally in Pitt Street Mall on April 2.

“Often, you can't work during the week because of classes, and you'd rather be doing something else on a Sunday, but you need the money to buy food. That's why we need penalty rates. This system should be working for the people, not the big corporations."

Domino's Pizza workers are missing out on penalty rates worth at least $32 million a year due to an old deal struck between the company and the Shop, Distributive and Allied Employees Association (SDA). Under a deal struck in 2009, before the introduction of the national award system, which set minimum standards for the fast-food industry, Domino's need not pay workers penalty rates for late-night or weekend shifts.
It is now more difficult for unemployed people to find a job than it has been for 20 years. Official youth unemployment is 12% and the official national jobless rate has risen to a 13-year high of 6.3%. The last time employment prospects were so depressed was in the 1990s when the national unemployment rate was 8%. In South Australia, the official unemployment rate is now 7.9%, with employment growth a negligible 0.3%.