As the election campaign hits a brief pause for Easter, Labor has positioned itself as the protector of penalty rates for those working during the holiday period.
The government on Saturday announced it would enshrine penalty rates in law if re-elected.
That would prevent business groups, such as the Australian Retailers Association, from applying to the Fair Work Commission to cut the provisions from award agreements.
Industrial relations issues have worked in Labor’s favour during the campaign, with polling showing Opposition Leader Peter Dutton’s short-lived pledge to force public servants back into the office fared poorly with voters.
With cost-of-living concerns at the forefront of the campaign, more polling has shown how parties treat penalty rates could be a factor in how people vote.
The Essential Research polling, commissioned by Australian Unions, found 70 per cent of respondents said protecting penalty rates for workers would be an issue voters take into consideration at the ballot box.
The poll also said 44 per cent of people were more likely to vote for a party that had policies in place to protect penalty rates, compared with 10 per cent being less likely to support such a party.
Retail worker Pauline Lethborg said the extra money from penalty rates went a long way.
“If we lose penalty rates, it doesn’t just affect the older workers, it’s the younger ones as well. That bonus money goes to pay rent and food,” she said.
“The cost of living these days is very hard, right across the board.
“It’s not like we’re being paid $100 an hour, a lot of retail workers are on $20 to $25 an hour … penalty rates is what gives them their supplement income.”
The Australian Retail Association earlier in 2025 submitted a proposal for some staff at large companies to opt out of penalty rates in exchange for a 25 per cent raise.
Employer lobby Australian Industry Group has backed a similar push for the clerks and banking awards, arguing the rise in working from home has made it impractical for employees to log their hours and compounds the regulatory burden on employers.
Labor had filed a submission to the Fair Work Commission opposing the changes, while also calling for the coalition to provide clarity on its penalty rate stance.
Around three million workers would be affected if Labor succeeds in legislating to protect penalty rates.
Workplace Relations Minister Murray Watt said employees deserved to be rewarded for giving up family time to work on weekends.
“We will always stand with workers to protect their wages so that we can help them deal with the pressures of today and get ahead in the future,” he said.
Opposition employment spokeswoman Michaelia Cash said in February penalty rates would not be cut under a future coalition government, dismissing Labor attacks as a scare campaign.
Prime Minister Anthony Albanese and Peter Dutton spent Good Friday in Sydney, amid a lull in campaigning for the Easter period.
But electioneering will heat up again with early voting opening on Tuesday ahead of the May 3 poll.
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