Retail Award

What is retail award?

The retail award is a modern award that sets out the minimum terms and conditions of employment for employees working in the retail industry in Australia.

The award covers a broad range of retail businesses and sets out the minimum rates of pay, penalty rates, and allowances for employees, as well as their entitlements to breaks, leave, and other benefits.

For the complete version of the General Retail Industry Award, please refer to Fair Work.

Who is entitled to retail award?

The retail industry is defined broadly and includes businesses that sell goods or services directly to the public, including department stores, supermarkets, and speciality retailers.

The award covers a range of retail roles, including sales assistants, cashiers, merchandisers, and supervisors. It’s important to note that not all employees in the retail industry are covered by the award, as some may be covered by an enterprise agreement negotiated between their employer and their union.

Retail pay rates

Workstem has developed a comprehensive guide to help compliance with the General Retail Industry Award Rates.

If you’re uncertain about the applicable classifications, this guide can help you understand how to comply with Fair Work legislation, classify your employees correctly, and pay penalties and allowances in accordance with the retail award.

Full-time and part-time employees

  • Ordinary and penalty rates (other than shiftworkers)
Adult employees Junior employees
% of ordinary hourly rate
Ordinary hours 100% 100%
Monday to Friday 

after 6.00 pm

125% 125%
Saturday 125% 125%
Sunday 150% 150%
Public holiday 225% 225%
  • Ordinary and penalty rates (shiftworkers)
Adult employees Junior employees
% of ordinary hourly rate
Monday to Friday Starting at or after 6.00 pm and before 5.00 am 130% 130%
Starting at or after 2.00 am and before 6.00 am 112.5% 112.5%
Starting before 2.00 am 130% 130%
Saturday 150% 150%
Sunday 175% 175%
Public holiday 225% 225%
  • Overtime rates
Adult employees Junior employees
% of ordinary hourly rate
Monday to Saturday – 

first 3 hours

150% 150%
Monday to Saturday – 

after 3 hours

200% 200%
Sunday – all day 200% 200%
Public holiday 250% 250%

*Rates in table are calculated based on the minimum hourly rate

Casual employees

  • Ordinary and penalty rates (other than shiftworkers)
Adult employees Junior employees
% of ordinary hourly rate
Ordinary hours 125% 125%
Monday to Friday 

after 6.00 pm

150% 150%
Saturday 150% 150%
Sunday 175% 175%
Public holiday 250% 250%
  • Ordinary and penalty rates (shiftworkers)
Adult employees Junior employees
% of ordinary hourly rate
Monday to Friday Starting at or after 6.00 pm and before 5.00 am 155% 155%
Starting at or after 2.00 am and before 6.00 am 137.5% 137.5%
Starting before 2.00 am 155% 155%
Saturday 175% 175%
Sunday 200% 200%
Public holiday 250% 250%
  • Overtime rates
Adult employees Junior employees
% of ordinary hourly rate
Monday to Saturday—

first 3 hours

175% 175%
Monday to Saturday—

after 3 hours

225% 225%
Sunday 225% 225%
Public holiday 275% 275%

How to make payroll efficient with Workstem?

Simplify your payroll processes with Workstem’s all-in-one platform, handling onboarding, time and attendance, award interpretation, payroll, STP 2, superannuation and more.

Customise attendance entitlements, auto-track attendance data, streamline the payment process and keep compliance with Fair Work award through our AI Engine. Workstem provides a complete solution for efficient payroll management and regulatory compliance.

FAQs

Q: Do retail employers be required to pay award minimum wage?

A: Yes, the award minimum wage is the minimum legal requirement that an employee must be paid if they are covered through the retail award. Employers are legally bound to comply with this.

Q: How do employers pay employees not covered under an award?

A: If a business owner is in the retail industry, but a particular employee is not covered by the retail award, then either the FWC’s national minimum wage or the state minimum wage applies.

Read More:

General Retail Industry Award Guide [MA000004]

Updated Retail Award Rates: What You Need to Know

Case Study 1: Revealing the Difference Between Woolworths’ EBA and Retail Award

Enhanced Retail Scheduling: Rostering System for Australia

Managing Retail Payroll: Best Practices and Guidelines