Penalty rate cuts won’t be fully implemented until 2020

Pic: University of Sydney Union.


By Danielle Bowling 

The cuts to penalty rates announced earlier this year won’t be completed until 2020, according to a ruling by the Fair Work Commission (FWC).

The FWC announced that the reformed penalty rate conditions for part-time and full-time hospitality employees working on Sundays would be phased in over three years, commencing from 1 July 2017. Sunday penalty rates would be reduced from 175 percent to 170 percent in 2017-18, from 170 percent to 160 percent in 2018-19, and from 160 percent to 150 percent in 2019-2020.

Public holiday penalty rate reductions for both Hospitality and Restaurant Awards will take effect from 1 July 2017.

Sunday rates for casual employees will not change.

“Hotels will now be able to make long term decisions about the future operation of outlets on Sundays,” said Ferguson. “The reform could lead hotels to increasing trading hours and services and employing more staff.”

Read more here.

This story first appeared in Hospitality Magazine. 

Comment below to have your say on this story.

If you have a news story or tip-off, get in touch at  

Sign up to the Government News newsletter

Leave a comment:

Your email address will not be published. All fields are required