Penalty rates set to be secured
Isobel Roe: The Australian Retailers Association, which represents big supermarket chains such as Coles and Woolworths, wants to see less of a reliance on penalty rates. It's applied to the Fair Work Commission, proposing to allow some staff to opt out of penalty rates, overtime and some allowances in favour of a 35 per cent pay rise. But federal Labor will introduce legislation today to prevent that. That move is backed by the Shop, Distributive and Allied Employees Association. Their national secretary is Gerard Dwyer.
Gerard Dwyer: The legislation will provide proper protection for lower paid workers working unsociable hours in the service sector like retail, like hospitality.
Isobel Roe: The Retailers Association says it's not trying to remove penalty rates. It argues workers opting into an annual salary would gain financial stability. And businesses would have more certainty on worker wages, improving productivity. The shop union's Gerard Dwyer rejects that.
Gerard Dwyer: It's got nothing to do with improving productivity. People are saying, oh, this will be simpler. But that's not the motivation. The motivation is to reduce the payment to lower paid workers who work unsociable hours.
Isobel Roe: It's rare for the federal government to intervene in a Fair Work Commission matter. But in a statement, Workplace Relations Minister Amanda Rishworth says the government wants to protect the penalty rates of 2.6 million of the country's low paid workers. The legislation is likely to receive the support of the Greens, although there's been no decision made by the party yet. The Coalition's industrial relations spokesman, Tim Wilson, has been briefed on the bill and is not yet guaranteeing his party's support either.
Tim Wilson: When the minister was asked whether it was going to have an impact on small business, she gave a very explicit firm commitment that it wouldn't. But we're not going to know that till we have a clear consultation with small business and hear that from them. No penalty rates are being paid on jobs that don't exist.
Isobel Roe: Not all small businesses see it that way, like Nat Latter, who owns a bookstore in Perth.
Nat Latter: We choose to stay closed on a public holiday because we don't make enough money on those days to cover penalty rates. However, we're happy to do that. We're happy to have the day off and for other organisations they might make a different choice.
Isobel Roe: Labor's bill will be introduced to the lower house later today.
Sabra Lane: Isobel Roe there.
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