Modern award

A modern award is a legal document setting the minimum pay and conditions for an industry or occupation, sitting on top of the National Employment Standards. There are more than a hundred of them, maintained and varied by the Fair Work Commission — and for most small shift businesses, the award is the rulebook that matters day to day.

What an award controls

• minimum wage rates by classification, plus junior and apprentice scales,
• ordinary hours, the daily span they can fall in, and rostering and roster-change rules,
• penalty rates, overtime, shift loadings and allowances,
• breaks, minimum engagement lengths, and casual and part-time arrangements,
• consultation duties when you change rosters or restructure.

Working out which award applies

Coverage follows the employer's industry and the employee's duties — not the job title on the contract. A cook in a pub usually sits under the Hospitality Award, a disability support worker under SCHADS, a shop assistant under the Retail Award. One business can have employees under different awards, and a small number of employees are award-free. The Fair Work Ombudsman's "Find my award" tool is the place to start, and the stakes are real: applying the wrong award is one of the most common causes of accidental underpayment in Australia.

Modern awards made under the Fair Work Act 2009 (Cth) Pt 2-3 — maintained by the Fair Work Commission; coverage help via the Fair Work Ombudsman.

Related terms

• Award Interpretation
• SCHADS Award
• Hospitality Award (HIGA)
• Penalty rates