ARTIO NSW clarifies FWC’s penalty rate decision


McMaster says penalty rates in the transport sector will not change based on this ruling

ARTIO NSW clarifies FWC’s penalty rate decision
Hugh McMaster explains that this decision is not indicative of the same rule passing on to all industries.

 

Following the Fair Work Commission (FWC’s) decision on penalty rates for certain employment sectors, the NSW branch of the Australian Road Transport Industry Organisation (ARTIO NSW) highlights that the decision will have no effect on the transport sector.

Part of FWC’s ongoing review of modern awards, yesterday’s decision relates to the level of penalty rates in the retail, hospitality and fast food industries.

There will be no changes to penalty rates in the transport sector as a result of this decision, ARTIO NSW secretary Hugh McMaster explains.

Hospitality and retail sectors will see "penalty rates fall for full-time and part-time employees and, in the case of most of the affected modern awards, casual employees as well," he says.

"The full bench rejected claims by clubs and restaurants employers, saying they had not established cases on the merits.

"However, the FWC left the door open for the clubs and restaurant industries to continue to argue for a reduction in penalties based on further evidence and submissions.

"The FWC concluded that appropriate transitional arrangements will need to be put in place for the implementation of changes to penalty rates."

McMaster explains that this decision is not indicative of the same rule passing on to all modern awards, including transport, and that the Commission will judge each sector based on evidence related that industry.

"It is important to note that although this is a major decision, the FWC specifically indicated that this does not mean that changes in penalty rates will flow to all modern awards," he says.

"Any attempt to reduce penalties in other awards, including the transport awards, will be done on the merits and only after extensive and persuasive evidence is provided around all aspects of employment relevant to a particular industry."

You can also follow our updates by joining our LinkedIn group or liking us on Facebook