NATIONAL: Small businesses have been granted some reprieve from the federal government's controversial new retail award, an industry group has claimed.
The Australian Retailers Association (ARA) said businesses were relieved by a decision to phase-in increases to wages, casual and part-time loadings, penalty rates and shift allowances at 20 per cent per year from July 2010.
ARA employment relations spokesperson Yvonne Anderson said many retailers had been concerned by the proposed full wage increases from January 2010. The Australian Industrial Relations Commission had saved countless jobs by granting a full five year transition period, Anderson said.
"The gradual phase-in of wage bill increases under the new retail award will give small retailers time to accommodate the changes and allow them to concentrate on holding onto staff at a time when job security is a vital ingredient in continuing economic recovery."
However Anderson said there was still concern that phase-in of weekend penalty rates would only protect jobs in the short term, with retailers considering closing their doors on Sundays or cutting back staff who work during weekends."This is of particular concern for small retailers in NSW, QLD and ACT where penalty rates for hours worked on Sundays will eventually increase from time and a half to double time under the new award," Anderson said.
"For small retailers the increased wage bills will eventually begin to outweigh the commercial benefits of meeting consumer demand and of employing workers for Sunday trading.