Question Time AU

Bill Debate · In Committee

Fair Work Amendment (Protecting Penalty and Overtime Rates) Bill 2025; In Committee

Senate · Thursday 28 August 2025

Continued from Wednesday 27 August 2025.

Official Hansard for this day (APH) · Read this debate on OpenAustralia

At a glance

The Senate considered amendments to the Fair Work Amendment (Protecting Penalty and Overtime Rates) Bill 2025 during committee stage. The Coalition moved amendments to exclude small businesses and mandate a regulation impact statement, arguing the bill imposed unnecessary burdens and risked unintended consequences. The Greens proposed amendments to broaden flexible work rights for all employees and ensure workplace determinations did not result in less favourable terms than existing agreements. The government opposed all amendments, maintaining that the bill’s scope was strictly limited to protecting penalty rates in modern awards and that existing laws already addressed flexibility and bargaining fairness. All five amendments were defeated.

Outcome

All five amendments were defeated, with divisions resulting in votes of 25-34, 26-33, 27-32, 12-29, and 13-30 against passage.

Summary in reported speech - not a transcript. AI-generated, so check the official record before quoting.

How the debate unfolded

Continued the debate

Ciccone opened the committee consideration of the bill and the first amendment moved by Senator Kovacic. Ciccone noted that the committee was proceeding to examine the legislation and the proposed changes in detail. His contribution served to formally introduce the stage of debate and the specific amendments under consideration.

Government response

Watt clarified that the bill was not retrospective and would not override existing award arrangements. Watt explained that the legislation applied a new principle to future award variation applications, ensuring the Fair Work Commission could not approve reductions in penalty rates or rolled-up rates that failed to properly compensate employees. Watt stated that the government supported flexible working arrangements but opposed the amendments because they fell outside the bill’s specific focus on penalty rates. Watt argued that existing provisions in the Fair Work Act already protected workers’ rights regarding flexibility and intractable bargaining.

Opposition response

Kovacic argued that the Coalition supported penalty rates but believed the bill imposed excessive regulation on small businesses and limited employee flexibility. Kovacic cited Senate inquiry evidence suggesting the legislation might compromise the independence of the Fair Work Commission and create unintended consequences. Kovacic moved amendments to exclude small business employees from the bill’s provisions and to require a regulation impact statement within six months of commencement. Kovacic contended that the bill did not practically safeguard penalty rates as intended and risked creating additional challenges for employers.

Votes during this debate

Division 1: Fair Work Amendment (Protecting Penalty and Overtime Rates) Bill 2025; In Committee Not passed 25–34 Division 2: Fair Work Amendment (Protecting Penalty and Overtime Rates) Bill 2025; In Committee Not passed 26–33 Division 3: Fair Work Amendment (Protecting Penalty and Overtime Rates) Bill 2025; In Committee Not passed 27–32 Division 4: Fair Work Amendment (Protecting Penalty and Overtime Rates) Bill 2025; In Committee Not passed 12–29 Division 5: Fair Work Amendment (Protecting Penalty and Overtime Rates) Bill 2025; In Committee Not passed 13–30