18 July, 2025
urgent-update-new-laws-to-secure-penalty-rates-for-2-6m-workers

UPDATE: Significant legal protections for penalty rates are set to be introduced as the federal parliament resumes on Tuesday, October 17, 2023. The Albanese government will prioritize legislation ensuring that penalty rates and overtime pay remain intact for an estimated 2.6 million workers across Australia.

The new laws aim to prevent penalty rates from being absorbed into a single level of pay, which could potentially disadvantage workers who rely on these critical earnings. Employment Minister Amanda Rishworth emphasized the urgency of passing this legislation, stating, “If you rely on the modern award safety net and work weekends, public holidays, early mornings, or late nights, you deserve to have your wages protected.”

This legislative move comes after proposals from major retail and business groups sought to allow large companies to opt-out of penalty rates in exchange for increased base pay. Labor has already submitted its opposition to the Fair Work Commission, supporting the need for robust protections.

Minister Rishworth highlighted that women, part-time or casual staff, and workers under the age of 35 are disproportionately affected by changes to penalty rates. “Enterprise bargaining is the appropriate place to negotiate on entitlements, not eroding the award safety net,” she asserted, reiterating that workplace agreements should not lead to reductions in pay for workers.

The proposed laws will ensure that pay rates are not diminished during negotiations with the Fair Work Commission, providing critical security for Australia’s workforce. Rishworth’s commitment to these protections signals a clear intent to safeguard workers’ rights amidst evolving workplace dynamics.

As the federal parliament prepares to open its 48th session, discussions around these laws will occur alongside other significant measures, including proposed reductions to HECS debt for students. The introduction of these penalty rate protections will be among the first actions taken by lawmakers later this week, underscoring the government’s commitment to worker welfare.

This urgent development is expected to make a profound impact on those reliant on penalty rates for their livelihoods. Stay tuned for further updates as this legislation unfolds in the coming days.