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Penalty rate cuts for retail and hospitality workers will help boost jobs for young people

CUTS to weekend and public holiday penalty rates for retail and hospitality workers will help boost jobs for young people­, a former federal Treasury official has said.

Waitresses are among those to benefit from penalty cuts.
Waitresses are among those to benefit from penalty cuts.

CUTS to weekend and public holiday penalty rates for retail and hospitality workers will help boost jobs for young people­, a former federal Treasury official has said.

Economist Gene Tunny said high labour costs hampered youth employment — but these are set to fall with cuts to be phased in over the next four years.

“This is why changes to penalty rates are so important because that impacts industries that young people would traditionally get a start in,” he said. “We need to make sure we’re not pricing people out of the labour market by not setting penalty rates and minimum wages too high.”

Mr Tunny also pointed to a lack of access to transport as a possible impediment, along with a welfare system he argued could sometimes act as a “disincentive” to finding work.

GIVE KIDS A REAL CHANCE

AUSTRALIAN employers are being called upon to help Sydney­ students forge a new path to a job by offering them work experience.

The Daily Telegraph’s Project­ Sydney campaign has launched a drive to find 1000 work experience places in 30 days in an effort to help provide­ young people with the practical experience and access­ to connections vital to securing work in today’s employment­ landscape.

We are asking businesses of any size to help provide that first foot in the door for the next generation. Go to Project-Sydney.com.au or register at Iwantworkexp.com.

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Original URL: https://www.dailytelegraph.com.au/projectsydney/penalty-rate-cuts-for-retail-and-hospitality-workers-will-help-boost-jobs-for-young-people/news-story/ba19ffbf14426cb827cebe779d7bfe65