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Fair Work Penalty Rates Decision

The Fair Work Commission on the 23rd February, 2017 handed down a decision which impacts Award penalty rates payable to staff working Sundays, public holidays and, in some cases, loadings for early/late shifts.

The decision impacts workers engaged under the following Awards:

  • Fast Food Industry Award 2010 (the Fast Food Award)
  • General Retail Industry Award 2010 (the Retail Award)
  • Hospitality Industry (General) Award 2010 (the Hospitality Award)
  • Pharmacy Industry Award 2010 (the Pharmacy Award)
  • Restaurant Industry Award 2010 (the Restaurant Award)

While transition arrangements are still being determined, the changes to Sunday penalty rates will be phased in over a couple of years, most likely starting 1 July this year.

Changes to Sunday penalty rates are summarised below:

​Award/Industry
​Full and part-time ​Casual
​Retail
​From 200% to 150% ​From 200% to 175%
​Hospitality​From 175% to 150%​No change
​Fast-food (level 1 workers only)​From 150% to 125%​From 175% to 150%
​Pharmacy (7am-9pm only)​​From 200% to 150%
​​From 200% to 175%

Changes to public holiday penalty rates take effect from 1 July 2017 and are summarised below:

​Award/Industry Full and part-time​
Casual
​Retail ​From 250% to 225% ​250%
​Hospitality​​From 250% to 225%
​​From 275% to 250%
​Fast-food​​From 250% to 225%
​​​From 275% to 250%
​Restaurant​​From 250% to 225%
​250%
​Pharmacy​​From 250% to 225%
​​​From 275% to 250%

This is a summary of changes only. Employers should check the Fair Work website for complete details and updates – www.fairwork.gov.au

This article provides general information only and may not apply in all cases. This information should not be regarded as legal advice. If you have concerns, you should seek advice relating to your specific situation.

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