Retail workers’ unions are pushing for a pay rise for young workers, with an effort to bring adult pay rates to 18-year-olds.

An industry test case is being presented to the Fair Work Commission, brought by the Shop, Distributive and Allied Employees Association (SDA). It seeks to eventually give the full adult pay rate to employees at 18 years of age. If the SDA is successful there could be changes on the way across all industries, seeing 20-year-old retail workers have their rate increased from $16.19 an hour to $17.98 and their weekly pay packet lifted from $615 to $683.

The case has legions of young workers on its side and the backing of unions too. The Australian Manufacturing Workers’ Union president Andrew Dettmer said, “part of our suite of issues is the commencement of the adult rate at the age of 20... on this policy, as on many others, we are completely consistent and wanting to ensure that young people - treated as adults for every other purpose - actually receive adult rates of pay.”

The Australian Chamber of Commerce and Industry has warned of the dangerous economic implications, chief executive Peter Anderson said “the case is concerning enough for the retail industry because of the significant entry point that retailers provide for young people into the world of work... the prospect that this case could flow into other service industries cannot be dismissed even though the consequences of doing so don't bear thinking about."

The Australian Industry Group industrial relations director said giving adult wages to junior employees “will have a negative impact on junior employees as well as the whole community,” citing an inquiry in 1998.