The state's peak business lobby says if penalty rates are restored jobs will be lost in regional Tasmania.
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Labor has announced it will legislate to restore penalty rates in its first 100 days if it wins the May 18 election.
It estimated fast food workers will be $218.22 worse off during a 10-day period from Good Friday and pharmacy workers $369 because of the cuts.
Tasmanian Chamber of Commerce and Industry chief executive Michael Bailey said the Fair Work Commission's decision to cut penalty rates was made because of evidence they were an "inhibitor to employment".
"We know that with unfair penalty rates businesses simply don"t open," he said.
"Employment hours are lost.
"Ask someone in Scottsdale, Stanley, Penguin or Smithton what an increase in wages would mean for their business - they simply say that they would have to shed staff to pay for increases."
Secretary of United Voice, the union representing hospitality and retail workers, Jannette Armstrong argues the cuts have "ripped $2 million out of workers' pockets" in Tasmania.
"This is a pay cut Tasmanian workers can't afford and don't deserve," she said. "It's money that puts food on the table and petrol in the car."
Ms Armstrong said when further cuts are phased in, more than $28 million would be lost to Tasmanian workers.
"United Voice members in many industries rely on penalty rates to make ends meet, including cleaners, aged care workers and security guards," she said.
Mr Bailey said both major parties needed to ensure it was affordable to employ people in regional areas.A recently released briefing paper on penalty rate cuts highlighted the effect on the cuts to the broader economy.
In the paper, Dr Jim Stanford, the director of the Centre for Future Work, said people who had to work on public holidays should expect to have their "extra sacrifice" recognised.
"Because of lower penalty rates, however, they will experience an aggregate loss of income in the order of $80 million in the coming 10 days," he said.
"And that loss will get even bigger, if the next stages of penalty rate reductions are allowed to proceed.
"However, the consequences of reduced incomes for work on Sundays and holidays are not experienced solely by these workers; the ripple effects spread through the broader economy."
Labor estimated a hospitality worker would lose $281.78, retail worker $276.55 and restaurant worker $225.40 over the 10-day period.
Further cuts to Sunday penalty rates will come into effect on July 1, 2019 and July 1, 2020.