This inquiry, the first completed by a Legislative Assembly select committee in many years, examined the impact on Victorians of the Fair Work Commission’s 2017 decision to reduce penalty rates in the hospitality, fast food, retail and pharmacy sectors.

This report consists of five chapters:

• Chapter 1, introduces the inquiry by outlining the inquiry’s terms of reference and process.
• Chapter 2 provides a background to penalty rates and outlines the Fair Work Commission’s decision.
• Chapter 3 outlines the immediate impacts of the reduction to penalty rates, both on employees and employers.
• Chapter 4 looks at the broader economic impacts of the decision, including on wage growth, consumption and employment.
• Chapter 5 considers potential safeguards and legislative changes to protect vulnerable Victorian workers.

Please note: the government response to this report, tabled in the Victorian Parliament on 20 September 2018, is also available for download