The cuts to penalty rates for Sunday and public holidays will stand after the Federal Court dismissed an appeal.

The United Voice and the Shop, Distributive and Allied Employees Association (SDA) had challenged the Fair Work Commission’s decision to cut penalty rate cuts in awards covering the hospitality and retail sector.

However, the Federal Court found the FWC met its legal obligations when it handed down its decision to cut penalty rates for full-time and part-time workers.

While the Federal Court acknowledged that low paid workers would be adversely impacted by this decision, there was no legal error that was identified to overturn the FWC decision.

Federal Labor leader Bill Shorten tweeted that the decision was “disappointing”.

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Source: Human Resources Director Australia