THE fight to retain weekend penalty rates moved to Tamworth yesterday, with union leaders claiming any cuts would cost the regional economy up to $35 million a year.
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Shop, Distributive and Allied Employees’ Association NSW (SDA) secretary Bernie Smith said research released yesterday revealed retail workers in the New England electorate would be left out of pocket to the tune of up to $25.2 million a year if penalty rates were cut.
A cut to the penalty rates of Tamworth retail workers, who make up 12 per cent of the local workforce, could mean a potential $12.7 million loss of disposable income each year.
But Mr Smith claimed that when hospitality statistics were added to the total figure, the cost in lost wages jumped to up to $35.9 million and up to $15.4 million in lost disposable income.
“Local workers are facing a multi-pronged attack on their penalty rates, including from employers, the federal government, the recent productivity commission report, and the local business lobby groups,” Mr Smith said.
“People rely on weekend penalty rates to compensate them for missing time with family and friends and to ensure they can pay their bills.
“A cut to penalty rates without compensation is a cut to take-home pay workers can’t afford and don’t deserve. These people give up their weekends and won’t be compensated for that time away from their families.
“Cutting penalty rates will also have a negative impact on the local economy. Slashing the take-home pay of workers would mean thousands of New England residents will have less money to spend in local shops and businesses.”
Kevin McCorriston, one of those at yesterday’s union meeting in Tamworth, is more than ready for the fight – he’s got too much to lose.
“I work at Coles. I do work Sundays and I do get penalty rates,” Mr McCorriston said.
“It’s an issue that’s extremely important to me. With what I have to pay outside of work, I do rely on those penalty rates, especially on a Sunday.
“It just kicks enough money in so I don’t have to do any extra hours or find any extra money.”
The union launched a TV and newspaper campaign to make the broader community aware of the flow-on effect, if the government adopted the Productivity Commission’s recommendations.
“What people don’t appreciate is they’re under attack,” Mr Smith said.
“It’s a real threat for retail and hospitality workers, but other workers should realise that once it happens to those workers, it could happen to them, too.
“People work weekends to balance the family budget. What businesses aren’t thinking of is they’re not only workers, they’re customers, too, and if you cut their take-home pay, they have to stop spending in some areas.
“The great irony is it’s going to be in retail and hospitality that they stop spending. Having that takeaway coffee or restaurant meal – even cutting back on the grocery budget – will all have disastrous economic effects within the local community.
“To show their support, members of the community can visit the website, www.saveourweekend.org.au and sign local petitions, or talk to their local MP.
“We’re aiming to galvanise people to say ‘let’s talk to everyone in our communities about this issue’.
“We know that 81 per cent of the community is behind it, but we need to let the rest of them know this is a real problem.
“If penalty rates are cut, it will create a downward spiral, with less spending and less actual hours of work.
“It’s simply bad economics, bad for workers and bad for business, too. If that recommendation is adopted, the Tamworth community will suffer.”
“This isn’t pie-in-the-sky stuff. The threat of Tamworth workers losing their penalty rates is now very real.”