Unions have welcomed the Senate’s passage of the Albanese Government’s Bill to protect penalty and overtime rates for Australia workers.

The new provisions will safeguard penalty and overtime rates as part of changes to the Fair Work Act.

Millions of workers who work irregular hours will benefit from the new protections, including those who
rely directly on modern awards for their pay and conditions, as well as those with collective agreements
and employment contracts underpinned by such awards.

“Protecting penalty rates also protects the weekend. They compensate people for working unsociable hours and giving up time away from family and loved ones," said Australian Council of Trade Unions Sally McManus.

The passage of the Bill means that large employer lobby groups can no longer seek to win so-called
exemption rate clauses in modern awards, which pay employees a higher base rate of pay, but scrap
their penalty and overtime rates, leaving them worse off overall.

The legislation follows recent attempts by big employer lobby groups to erode workers’ overtime and
penalty rates in some sectors through applications to the Fair Work Commission.