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What are the changes to retail penalty rates on 1 July?

Third round of Sunday penalty rate cuts to take effect on 1 July 2019.

Sunday penalty rates in the General Retail Industry Award will be reduced on 1 July 2019.

These changes are as a result of the Fair Work Commission’s decision to reduce penalty rates in 2017.

From 1 July 2019 Sunday penalty rates will be reduced for employees covered by the General Retail Industry Award as follows:

Retail Award
Permanent: 180% reduced to 165%
Casual: 185% reduced to 175%

This is the third round of penalty rate cuts for which started being phased in on 1 July 2017.

The cuts will be fully implemented on 1 July 2020 which will bring the Sunday penalty rate down to 150% for permanent employees.

The penalty rate cuts were opposed by the SDA, the union for retail workers, who argued against the pay cuts throughout the case in the Fair Work Commission. The SDA, along with hospitality workers union, United Voice, also appealed the decision in the Federal Court but were unsuccessful.

The SDA continues to campaign to protect penalty rates as fair compensation for working unsociable hours.

If you want more information about SDA union membership and the campaign to protect penalty rates, head to www.national.sda.com.au.