ePayroll Blog


Fair Work makes changes to penalty rates

23 / 2 / 2017

The Fair Work Commission has announced a decision to cut penalty rates in select hospitality and retail modern awards. 
The decision affects rates for those working on public holidays and weekends (both permanent and casual employees), and also employees working late nights or early mornings in the Restaurant and Fast Food awards.

Full time and part-time hospitality employees will have Sunday rates reduced from 175% to 150%, whilst Sunday rates for casuals are to remain at 175%. Fast food employees see Sunday penalty rates reduced from 150% to 125% for full time and part-time workers. Casual fast food employees see a rate reduction of 175% to 150%.

Employees in retail (both full time and part-time) will have Sunday rates reduced from 200% to 150%, while casuals will be reduced from 200% to 175%. Sunday rates for pharmacy employees (both full time and part-time) working between 7am and 9pm, will be reduced from 200% to 150%. Pharmacy casuals will see a reduction from 200% to 175%.

Public holiday rates will also see a reduction from 250% to 225%, affecting those in hospitality, retail fast food and pharmacy industries. Most of the changes in rates are expected to be in effect from July later this year.

For a full summary of the changes, read the decision here from FWC.


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