Casual workers will be able to transition into a permanent role if they want to under a shake up of industrial relations laws.
The government is moving ahead with further employment reform that will force employers to offer casual workers who work regular hours a permanent job.
Workers do not have to take up the offer and can remain a casual employee to continue receiving loadings on their hourly rates.
Workplace Relations Minister Tony Burke said he expects most of the 850,000 people the legislation will cover will remain casual.
"Many casuals won't want a permanent job ... but there are casual workers who are trying to support households," he will say in a speech to the Sydney Institute on Monday.
"They're being used as though they're permanent workers and the employer is double dipping, taking all the advantages of a reliable workforce and not providing any of the job security in return."
Businesses will not have to back-pay employees for any entitlements gained by moving to permanent employment.
Mr Burke said that means there will be no additional economic costs with workers swapping extra loading for holidays.
"There's actually zero cost to the economy but a huge change in job security for people who need it," he said.
The laws will form part of a broader set of industrial relations reforms that the government will introduce to parliament later in the year.
The government is also moving to enact same job, same pay laws to stop employers paying labour hire cheaper rates than the awards they have negotiated with their workers.
Mr Burke rejected suggestions it would lead to employers having to pay people with decades of experience the same rate as the new kid on the block.
"I can categorically rule that out," he told Sky News on Sunday.
"What I'm wanting to close is a loophole where an employer has already agreed that for a particular worker with a particular level of experience there should be a minimum rate of pay and then labour hire is used to undercut the rate of pay they just agreed to."
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