A WA parliamentary question addresses the impact of penalty rates on small businesses in tourist and regional areas, particularly concerning weekend trading and potential job losses for part-time workers. The Minister deflects responsibility, citing the GST and historical context of penalty rates.

AnsweredQoN 1746Legislative Assembly
Asked
12 August 2003
Portfolio
Consumer and Employment Protection

QuestionView source ↗

(b) has the Minister sought comment from his colleague, the Member for Albany, on the reaction of traders on the impact of penalty rates on weekend trading; (c) does the Minister acknowledge that penalty rates will have a severe impact on small businesses, especially in tourist and regional destinations; (d) what action will the Minister take to assist small businesses in tourist and regional destinations to employ people on weekends; and (e) what action will the Minister take to compensate part time workers and their families, who are no longer able to be employed on weekends because of the high cost of penalty rates?
(c) does the Minister acknowledge that penalty rates will have a severe impact on small businesses, especially in tourist and regional destinations; (d) what action will the Minister take to assist small businesses in tourist and regional destinations to employ people on weekends; and (e) what action will the Minister take to compensate part time workers and their families, who are no longer able to be employed on weekends because of the high cost of penalty rates?
(d) what action will the Minister take to assist small businesses in tourist and regional destinations to employ people on weekends; and (e) what action will the Minister take to compensate part time workers and their families, who are no longer able to be employed on weekends because of the high cost of penalty rates?
(e) what action will the Minister take to compensate part time workers and their families, who are no longer able to be employed on weekends because of the high cost of penalty rates?
(b) Not Applicable. (c) The award system incorporating an obligation on employers to pay penalty rates has been in place for decades. I have been advised that the casual penalty rates to which the Member refers apply to employees covered by hospitality industry awards. This was not an initiative of the Government, but an award variation negotiated between the Australian Hotels Association, on behalf of employers and the union, during the period of the former Government. The abolition of workplace agreements has not had a significant impact upon the hospitality industry. Investigations by the Department of Consumer and Employment Protection, during its recent compliance campaigns, found the incidence of workplace agreements in the Hotel and Restaurant industries was insignificant. (d)-(e) There are many cost pressures on small business, not the least being the Federal Government’s Goods and Services Tax (GST). The State Government cannot be expected to compensate people or businesses for the GST or other changes that may impact on them.
(c) The award system incorporating an obligation on employers to pay penalty rates has been in place for decades. I have been advised that the casual penalty rates to which the Member refers apply to employees covered by hospitality industry awards. This was not an initiative of the Government, but an award variation negotiated between the Australian Hotels Association, on behalf of employers and the union, during the period of the former Government. The abolition of workplace agreements has not had a significant impact upon the hospitality industry. Investigations by the Department of Consumer and Employment Protection, during its recent compliance campaigns, found the incidence of workplace agreements in the Hotel and Restaurant industries was insignificant. (d)-(e) There are many cost pressures on small business, not the least being the Federal Government’s Goods and Services Tax (GST). The State Government cannot be expected to compensate people or businesses for the GST or other changes that may impact on them.
The abolition of workplace agreements has not had a significant impact upon the hospitality industry. Investigations by the Department of Consumer and Employment Protection, during its recent compliance campaigns, found the incidence of workplace agreements in the Hotel and Restaurant industries was insignificant. (d)-(e) There are many cost pressures on small business, not the least being the Federal Government’s Goods and Services Tax (GST). The State Government cannot be expected to compensate people or businesses for the GST or other changes that may impact on them.
(d)-(e) There are many cost pressures on small business, not the least being the Federal Government’s Goods and Services Tax (GST). The State Government cannot be expected to compensate people or businesses for the GST or other changes that may impact on them.

AnswerView source ↗

Answered
25 September 2003
Responded by
Minister for Consumer and Employment Protection
Response time
44 days
(a) No.
(b) Not Applicable.
(c) The award system incorporating an obligation on employers to pay penalty rates has been in place for decades. I have been advised that the casual penalty rates to which the Member refers apply to employees covered by hospitality industry awards. This was not an initiative of the Government, but an award variation negotiated between the Australian Hotels Association, on behalf of employers and the union, during the period of the former Government.
The abolition of workplace agreements has not had a significant impact upon the hospitality industry. Investigations by the Department of Consumer and Employment Protection, during its recent compliance campaigns, found the incidence of workplace agreements in the Hotel and Restaurant industries was insignificant.
(d)-(e) There are many cost pressures on small business, not the least being the Federal Government’s Goods and Services Tax (GST). The State Government cannot be expected to compensate people or businesses for the GST or other changes that may impact on them.

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