Bill Shorten (Maribyrnong, Australian Labor Party, Leader of the Opposition) Share this | Link to this | Hansard source

My question is to the Prime Minister. The Prime Minister has said that he supports the decision to cut penalty rates. So will the Prime Minister please advise the 700,000 Australians who rely upon these penalty rates whether he will intervene to stop these pay cuts? Yes or no—will the Commonwealth intervene to stop these pay cuts?

Honourable Members:

Honourable members interjecting—

Tony Smith (Speaker) Share this | Link to this | Hansard source

The Leader of the House will cease interjecting, as will the member for Jagajaga.

Malcolm Turnbull (Wentworth, Liberal Party, Prime Minister) Share this | Link to this | Hansard source

As the honourable member said not so long ago: 'Under the fair go workplace system Labor put in place, penalty rates in modern awards are set by the independent umpire, Fair Work Australia, after extensive consultations with employer representatives and the unions. The tribunal is currently holding a major check-up of the operation of penalty rates and public holidays in modern award rates. Employers, employees and their representatives are able to appear before the umpire and put their views forward. That's a fair system, one that balances the rights of employers to make a profit with the rights of employees to fair treatment.'

That is what the Leader of the Opposition said a few years back when he was a minister. He said it again and again. He said it right up until January this year. He repeatedly said that he supported the independent umpire, and in fact he challenged the coalition. In April last year, Neil Mitchell asked him: 'You'll accept them?' and 'Even if they reduce Sunday penalty rates?' 'Well, I said I'd accept the independent tribunal,' said the Leader of the Opposition, 'and that makes a big difference between us and … the Liberals.' We always said would accept the independent tribunal, and we still do. Of course we do.

The reality is this. When he was a union leader he made detailed decisions about penalty rates. I can give you a very good example. Agreements with the Melbourne & Olympic Parks Trust were signed in 2001 and 2003 by the Leader of the Opposition. Penalty rates were excluded completely—absolutely completely—other than time and a quarter for work performed between 1 am and 6 am. That was the extent of it. Having denied those workers any additional compensation on weekends and on public holidays—limited to an extra 25 per cent for working between 1 am and 6 am—and having then supported the independent umpire, now he wants to attribute to others the decision, for example, to reduce the public holiday rate for casuals under the hospitality award from 275 per cent to 250 per cent. He reduced it. He was prepared to give workers for whom he was responsible absolutely nothing except an extra quarter between midnight and dawn. That is the extent of his sincerity on this issue. (Time expired)