Reduced Sunday and holiday penalty rates for retail and hospitality workers failed to ignite the boom in employment as promised by employer groups who supported the change.
Key findings (one year since penalty rates were first cut, 1 July 2017):
- The retail sector performed very badly relative to the rest of the economy; total employment was unchanged
- Full-time employment declined by 50,000 positions
- Average weekly hours of work declined by more than a full hour; underemployment ratio grew almost 2 percentage points
- Hospitality experienced similar results: weak job-creation, loss of full-time employment, shorter hours, and higher underemployment
“Far from experiencing a jobs boom, the retail and hospitality sectors have significantly underperformed the rest of the economy,” said Dr. Jim Stanford, Director of the Centre for Future Work.