Toyota Australia president Max Yasuda has slammed the workplace culture at the car manufacturer's plant in Melbourne, where absenteeism is as high as 30 per cent in certain areas.
Mr Yashuda said he found it difficult to understand the culture of taking a sick day, particularly on a Friday to create a long weekend.
Ms Gillard says workers have been taking sickies in Australia longer than since the creation of the Fair Work Act in 2009.
"Anybody who knows anything about Australian history might know a little bit more about that," she told reporters in Melbourne on Thursday where she was inspecting the Boeing Aerostructures Australia plant.
But the prime minister said there was no excuse for taking a sick day without justification.
Mr Yashuda also said Australia's workplace relations system was hurting the competitiveness of local firms.
Ms Gillard said the Fair Work Act aimed to prevent employers taking part in a race to the bottom with workers' benefits and wages.
