Government Moves to Block Retail Push to Cut Penalty Rates

The federal government is opposing a proposal from retailers to alter pay conditions for employees earning over $67,000.

Current Environment Minister Murray Watt speaks during a press conference in Brisbane, Australia on July 22, 2022. Dan Peled/Getty Images

The federal government has said it would oppose the push by retailers to amend the General Retail Industry Award (GRIA), arguing the changes would erode worker protections.

The Australian Retailers Association (ARA) had applied to amend the award, which would relax rostering rules, allow split shifts, and let managers earning over $67,000 opt for a fixed salary—at the cost of penalty rates.

‘Pay Cut Disguised as Flexibility’

Employment Minister Murray Watt said the government would not stand by as retailers attempted to cut penalty rates.