Business breakthrough on penalty rates

Mar 26, 2015, updated May 13, 2025

Business SA has reached a landmark agreement with the Shop Distributive and Allied Employees’ Association (SDA)the ‘Shoppies Union’which significantly reduces weekend and public holiday penalty rates for retailers in SA.

Driven out of a concern for businesses’ ability to viably open on Sundays and public holidays, the agreement will reduce barriers faced by retailers opening on those days.

Key points of the agreement include:

  • A template agreement to use as a basis for voluntary agreements between businesses and their employees.
  • Penalty rates to be abolished on Saturdays and weekday evenings.
  • Penalty rates to be reduced on Sundays from 100 per cent loading to 50 per cent and reduced from 150 per cent to 100 per cent on public holidays.
  • Workers guaranteed a three per cent annual pay rise.
  • Workers have the right to refuse to work on the weekend and permanent employees have the right to take every second weekend off.
  • All enterprise agreements must be lodged with the Fair Work Commission and pass the Better Off Overall Test (BOOT).

For further assistance or to find out the benefits of an Enterprise Agreement, Business SA members can contact the Business SA Member Advisory Service on 8300 0000

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