Journalist Mike Carlton and men's rights activist Bettina Arndt will not be stripped of their Order of Australia awards.
Ms Arndt attracted widespread condemnation for comments on the murders of a Queensland mother and three children.
Mr Carlton also drew criticism for derogatory past remarks about women and Jewish people.
Shane Stone, who chairs the committee behind the Australia Day and Queen's Birthday awards, reviewed both decisions.
Honours are generally only stripped from people convicted of crimes, and only after all their legal avenues for appeal are exhausted.
Awards can also be revoked when they are found to be based on false or misleading information.
"The Council for the Order of Australia has considered requests for the cancellation of appointments to the Order of Australia of Ms Bettina Arndt AM and Mr Mike Carlton AM and will make no further recommendation to the governor-general," Mr Stone said in a statement on Friday.
"In a system that recognises the service of hundreds of people each year, it is inevitable that each list will include some people who others believe should not be recognised.
"Unanimous community approval is not a criteria for Council to make a recommendation."
Australian Associated Press