Mr Frydenberg's comments came just days after the Prime Minister Malcolm Turnbull said Sunday penalties would be up for consideration by his government. The bold move marks a radical departure from former prime minister Tony Abbott's timidity on the issue of industrial relations. Mr Abbott as opposition leader declared Workchoices "dead, buried and cremated" and as prime minister resisted backbenchers' calls to look at reducing penalty rates as one way of alleviating high youth unemployment. Then-assistant treasurer Josh Frydenberg spoke of 'real concern' that wealthy business owners would be targeted for kidnap if the public became aware of how wealthy they were. But Dave Oliver from the Australian Council of Trade Unions told Fairfax Media the renewed discussion about slashing penalty rates proved the Turnbull government was no different to the Abbott regime. "It's Groundhog Day," he said. "Tony Abbott has gone but the Coalition's policies stay the same. "And if the Turnbull government wants to make this election about working conditions and pay of working people we say bring it on," Mr Oliver said.

He vowed to meet "any move to cut the pay packets of the workers of Australia" with "a fierce campaign", which he said would be bigger than Your Rights At Work. He said it would differ from the 2007 "air-war" approach, which had emotionally charged television advertisements at its core, and instead would be led by grassroots volunteers and paid campaigners on the ground with a strong social media focus. It would be a ramped up version of ACTU's campaign against the China-Australia free trade agreement currently underway in 32 marginal electorates. It involves 24 full-time campaigners hosting town-hall meetings and community stalls around the country. Mr Oliver said that after knocking on 20,000 doors in one weekend this month the biggest issue voters raised was penalty rates. "What we have found is the best way to convince [swinging voters] is to have a one-on-one discussion with them at the community level," he said. This technique mimics the successful election campaign in 2014, which catapulted Victorian Labor back into office after just one term of opposition.

Business welcomed the government's new approach to workplace relations. Kate Carnell from small business lobby group ACCI said it was a relief to see the previously no-go issue of workplace relations reopened for debate. "What's sensible now is we're looking at having a debate about these issues and not just putting them off the table," she said. Ms Carnell said high Sunday rates led to restaurants and cafes closing early, being staffed by family or not opening at all. Ms Carnell said that bringing the Sunday maximum rate of double time into line with the maximum Saturday rate of time and a half would help spur economic growth and create jobs.



This view is also backed by the Productivity Commission, which is reviewing Labor's Fair Work Act. Its draft report said penalty rates have a "legitimate role in compensating employees" for working at "unsociable times", and should be maintained but aligned with Saturday rates for retail and hospitality workers. Mr Oliver rubbished this argument and said he would back boosting Saturday rates in line with higher Sunday penalties instead. "Predominantly, people still use Sundays to spend time with their friends and family," he said. In its submission to the Productivity Commission, the ACTU rejects there would be any economic benefit of cutting penalty rates and says those in favour overlook the crucial issue of inequality. Follow Latika Bourke on Facebook