The Australian Council of Trade Unions has formally petitioned the Albanese Government to legislatively increase the nation’s minimum annual leave from four weeks to five.
The landmark proposal, which includes a push for six weeks for shift workers, marks the first attempt to update Australia's leave standards since the four-week benchmark was established in 1974.
ACTU Secretary Sally McManus argues the change is a "fair and reasonable" response to a half-century of stagnant leave entitlements, noting that many Australians weren't even born the last time the standard was raised.
Central to the ACTU’s argument is the growing "productivity gap." McManus highlights that while Australian workers provide an average of 4.5 weeks of unpaid overtime annually—rising to 6.4 weeks for those aged 18 to 24—real wages have failed to keep pace with productivity since 2000.
The union maintains that an extra week of rest would help bridge this 10% wage-productivity disparity while combatting the modern "burnout" epidemic.
While the move would increase employment costs by an estimated 2%, proponents suggest these expenses would be offset by reduced staff turnover and lower rates of stress-related sick leave.
Highlighting that major retailers like Ikea and Bunnings have already adopted the five-week model, the ACTU points to OECD leaders such as France and Denmark as proof that more rest fosters a more competitive economy.