Nick Sherry (Tasmania, Australian Labor Party, Minister for Superannuation and Corporate Law) Share this | Hansard source

I can indicate the government is not supporting the amendment. We believe it is not necessary as the bill already enables a modern award to include terms about penalty rates, including for employees working on public holidays. A clause in the modern award providing for this payment will ensure that the employee is entitled to be paid without the need for the proposed amendment. Enterprise agreements could alter the penalty described in the modern award but the agreement would be subject to the ‘better-off overall’ test. If an entitlement such as a penalty was reduced or removed, the agreement would need to provide a more favourable entitlement in another respect to ensure the agreement passed the test. The same test will apply where an employer and employee enter into an individual flexibility agreement, thus ensuring an employee will be compensated if the award entitlements are reduced or removed.