Staff at the company’s 19 pharmacies – including nine in Ballarat and Buninyong – would have otherwise seen cuts to their penalty rates from the start of this month, with a full 25 per cent drop by 2020.

UFS Dispensaries board ruled unanimously in favour of keeping exiting penalty rates – a decision which will affect 20 to 30 staff each Sunday, chief executive Lynne McLennan said. 

“We did some analysis, we looked at what other organisations were doing and the unanimous view of the board of directors was we valued our staff. It was the staff who make sure you’re in a sustainable financial position,” Ms McLennan said.

“We didn’t think it was fair or just to make those changes.”

Rhiannon Grant, who works at UFS Sturt Street, said Sunday penalty rates made a big difference to her family income.

“I have four young kids and I work on weekends because my husband works during the week. It would make a big difference losing $10 an hour on Sundays and $20 an hour on public holidays,” she said.

Ballarat’s Red Lion Hotel is also retaining penalty rates, according to a list compiled by the Australian Council of Trade Unions which as of Friday included 14 Victorian businesses.

Cosmetics retailer Lush Australia has vetoed cutting back rates, as have some small businesses including Bacchus Marsh hairdresser The Brazen Fox.

The Fair Work Commission ruled to slash Sunday and public holiday penalty rates for pharmacy, fast food, retail and hospitality workers in February.

The commission found existing Sunday penalty rates “overcompensated" employees for Sunday work. Rates will drop from double-time on Sundays to Saturday rates, at 175 per cent the standard hourly rate. 

Unions warned the change will affect one in five Ballarat workers and cup up to $6000 from workers’ take-home pay.