The Fair Work Commission (FWC) has increased casual retail workers’ penalty rates for weekday evening shifts and Saturdays, but reduced them for Sunday shifts. The new penalty rate changes will be phased in over the next three to five years for the retail industry.

Saturday penalty rates for casual retail employees working between 7am-6pm will increase to 25% by 2020 in transition as under:

  • 1 November 2018 – a casual employee must be paid an additional 15% for all work performed on a Saturday;
  • 1 October 2019 – a casual employee must be paid an additional 20% for all work performed on a Saturday; and
  • 1 March 2020 – a casual employee must be paid an additional 25% for all work performed on a Saturday.

Penalty rates for casuals performing weekday evening work after 6pm will increase to 25% by 2021 in transition as under:

  • 1 November 2018 – an additional 5% will be paid to casuals for hours worked after 6pm
  • 1 October 2019 – an additional 10% will be paid to casuals for hours worked after 6pm
  • 1 March 2020 – an additional 15% will be paid to casuals for hours worked after 6pm
  • 1 October 2020 – an additional 20% will be paid to casuals for hours worked after 6pm
  • 1 March 2021 – an additional 25% will be paid to casuals for hours worked after 6pm

The Sunday penalty rate for full-time and part-time shift workers will reduce from 200% to 175% by 2020 in transition as under:

  • 1 November 2018 – the penalty rate will reduce from 200% to 195%
  • 1 July 2019 – the penalty rate will reduce from 195% to 190%
  • 1 July 2020 – the penalty rate will reduce from 190% to 175%

The Sunday penalty rate for casual shift workers will reduce (including casual loading) to 200% by 2020 in transition as under:

  • 1 November 2018 – the penalty rate will reduce to 220%
  • 1 July 2019 – the penalty rate will reduce from 220% to 215%
  • 1 July 2020 – the penalty rate will reduce from 215% to 200%

Need Help?

If you have a query regarding the minimum wage and/or award, please contact one of our payroll accountants on (02) 9223 9166 to discuss. Alternatively, you can submit an online enquiry form

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