Sunday Penalty In Australia Essay

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Penalty rates are an increased percentage of the employee’s hourly rate. This occurs on abnormal work hours and days such as overtime, Sundays and Public Holidays. Specifically, Sunday penalty rates for a casual and full time employee is 175% of their wage rate outlined in the Award and in agreement with their employer (32.1, p. 51).

This award covers employers and employees within Australia that work within the following; private and public hotels, hostels, motels, guest houses, apartments, flats, motor homes, camping and caravan parks; nature, health and/or recreational farms, retreats and lodges, resorts, casinos, bars and restaurants. (4.1 & 4.2, p. 9-11).
This award covers labour hire companies that include contract cleaning, restaurants, and catering services for aged care, security and maintenance. This award applies to this organisation because they operate within the hospitality industry (4.1 & 4.6, p.9-11). For example, cleaners are used as subcontractors to clean the hotel, whereas security is hired to ensure the safety of staff, customers and business. However, the award does not cover; clubs registered under state or territory legislation, schools, orphanages and colleges,
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The first change was that there was a decrease in the minimum rate of pay for employees 16 years and under (B.3.1 (d), p. 68). The minimum pay rate in 2010 for employees aged 16 and below was 60% of the adult wage (B.3.1 (d), p. 68). Where as in 2014, the rate was 50% (B.3.1 (d), p. 68). Additionally, employees aged 20 are now receiving 100% of the adult wage. In 2010, the wage was 95% (B.3.1 (d), p. 68). The increase has occurred because companies hire junior workers, as they are usually cheaper to hire than older applicants. Furthermore the junior workers are more attracted to employment because the wage rates have increased

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