The Fair Work Commission’s Annual Wage Review 2023–24 delivered a 3.75% increase to all modern award minimum wages, effective from the first full pay period on or after 1 July 2024. For casual workers covered by the Hospitality Industry (General) Award 2020 and the General Retail Industry Award 2020, the decision directly raised both ordinary-time base rates and the loaded casual loading, altering take-home pay for an estimated 1.1 million employees across cafes, restaurants, fast-food outlets, clothing stores, and supermarkets. The national minimum wage moved to $915.90 per week or $24.10 per hour, while award-specific casual classifications received proportional uplifts plus the standard 25% casual loading prescribed by section 89(2) of the Fair Work Act 2009. Because hospitality and retail together account for approximately 38% of all casual employment in Australia (ABS, Labour Force, Australia, Detailed, August 2024), the 1 July 2024 adjustment represents the single largest annual pay change affecting short-term visa holders, international students, and working holiday makers who concentrate in these sectors. Employers who fail to pass on the new rates by the operative date risk enforceable undertakings, Fair Work Ombudsman litigation, and back-pay orders, making the current rate card a compliance priority.
Hospitality Industry (General) Award 2020 Casual Rates
Adult Classifications and Base Hourly Rates from 1 July 2024
The Hospitality Award groups casual employees into six classification levels, each with a minimum hourly rate exclusive of the casual loading. From 1 July 2024, the introductory Level 1 rate (kitchen attendant, bar useful, general hand) is $24.98 per hour before loading. Level 2 (cook grade 1, waiter with less than three months’ experience) moves to $25.52. Level 3 (cook grade 2, storeperson, front-office receptionist) rises to $26.15. Level 4 (cook grade 3, qualified trade cook) increases to $27.17. Level 5 (cook grade 4, trade-qualified chef) reaches $28.44. Level 6 (cook grade 5, head chef in a small establishment) sets at $29.62. Each figure is drawn from the Fair Work Ombudsman Pay Guide – Hospitality Industry (General) Award [MA000009], published 1 July 2024. The 25% casual loading mandated by clause 13.1 of the Award is then applied to the base rate, producing loaded hourly rates of $31.23 (Level 1), $31.90 (Level 2), $32.69 (Level 3), $33.96 (Level 4), $35.55 (Level 5), and $37.03 (Level 6). These loaded rates are the minimum a casual hospitality worker must receive for each ordinary hour worked between 7.00 am and 7.00 pm Monday to Friday.
Junior and Apprentice Casual Rates
Workers under 21 years of age receive a percentage of the adult Level 1–6 rates according to age. At 20 years, the junior percentage is 90% of the relevant adult base; at 19 years, 80%; at 18 years, 70%; at 17 years, 60%; at 16 years, 50%; and under 16 years, 45%. A 19-year-old casual kitchen attendant classified at Level 1 therefore receives a base rate of $19.98 per hour ($24.98 × 80%), with the 25% casual loading applied to give $24.98 per loaded hour. Apprentice cooks are paid under Schedule C of the Award: a first-year apprentice cook (adult) receives $18.73 per hour base, or $23.41 loaded; a fourth-year adult apprentice receives $25.95 base, or $32.44 loaded. These rates apply from 1 July 2024 and are published in the same Fair Work Ombudsman Pay Guide.
Penalty Rates for Evenings, Weekends, and Public Holidays
The Hospitality Award imposes additional penalty percentages on the loaded casual rate for work performed outside ordinary hours. For ordinary hours worked between 7.00 pm and midnight Monday to Friday, the penalty is 10% of the loaded rate, producing a total of 137.5% of the base rate (100% base + 25% casual loading + 12.5% evening penalty). Between midnight and 7.00 am Monday to Friday, the penalty rises to 15% of the loaded rate (143.75% of base). On Saturdays, the penalty is 25% of the loaded rate (156.25% of base) for all ordinary hours. On Sundays, the penalty reaches 50% of the loaded rate (187.5% of base). Public holiday work attracts a 125% penalty on the loaded rate, giving a total of 250% of the base rate. For a Level 1 casual working on a Sunday, the minimum hourly rate is $24.98 × 187.5% = $46.84. On a public holiday, the same worker must receive at least $24.98 × 250% = $62.45 per hour. These calculations are consistent with clause 28.1 of the Award and the Fair Work Ombudsman’s penalty rate tables dated 1 July 2024.
Overtime and Break Entitlements
Casual hospitality employees are entitled to overtime rates when they work more than 11.5 hours in a single day or more than 38 hours in a week. Overtime is paid at 150% of the loaded rate for the first two hours and 200% thereafter. A Level 3 casual working a 12-hour shift on a Monday receives 11.5 hours at $32.69 and 0.5 hours at $49.04 (150% of $32.69). Meal breaks of at least 30 minutes unpaid must be provided after five hours of work, and a paid rest break of 10 minutes applies for every four hours worked. Employers who roster casuals for shifts shorter than two hours must still pay for a minimum of two hours at the applicable loaded rate.
General Retail Industry Award 2020 Casual Rates
Adult Classification Rates from 1 July 2024
The Retail Award uses eight classification levels. The Level 1 rate (entry-level sales assistant, shelf stacker, ticket writer) from 1 July 2024 is $25.65 per hour base, or $32.06 loaded with the 25% casual loading. Level 2 (sales assistant with more than three months’ service, point-of-sale operator) moves to $26.06 base, $32.58 loaded. Level 3 (supervisory assistant, loss prevention officer) rises to $26.45 base, $33.06 loaded. Level 4 (retail supervisor, senior sales assistant) reaches $27.24 base, $34.05 loaded. Level 5 (assistant manager, visual merchandiser) sets at $28.19 base, $35.24 loaded. Level 6 (store manager of a small outlet, buyer) is $29.16 base, $36.45 loaded. Level 7 (area manager, senior buyer) reaches $30.33 base, $37.91 loaded. Level 8 (senior area manager, national retail operations manager) is $31.98 base, $39.98 loaded. These rates are published in the Fair Work Ombudsman Pay Guide – General Retail Industry Award [MA000004], issued 1 July 2024.
Junior and Trainee Casual Rates
Junior retail workers receive a percentage of the adult Level 1 rate: at 20 years, 90%; at 19 years, 80%; at 18 years, 70%; at 17 years, 60%; at 16 years, 50%; under 16 years, 45%. A 17-year-old casual sales assistant (Level 1) therefore receives a base rate of $15.39 per hour ($25.65 × 60%), with the 25% casual loading applied to give $19.24 per loaded ordinary hour. Traineeships under the Retail Award follow the National Training Wage schedule, with rates varying by year of schooling completed and year of traineeship. A first-year trainee who has completed Year 12 receives $17.19 per hour base, or $21.49 loaded, from 1 July 2024.
Penalty Rates for Evenings, Weekends, and Public Holidays
The Retail Award penalises work outside the ordinary spread of hours (7.00 am to 9.00 pm Monday to Friday, 7.00 am to 6.00 pm Saturday). For ordinary hours worked after 6.00 pm Monday to Friday, the penalty is 25% of the loaded rate (156.25% of base). On Saturdays, the penalty is 25% of the loaded rate for all ordinary hours. On Sundays, the penalty is 50% of the loaded rate (187.5% of base) for all ordinary hours. Public holiday work attracts a 125% penalty on the loaded rate, giving 250% of the base rate. A Level 2 casual working a Sunday shift receives $26.06 × 187.5% = $48.86 per hour. On a public holiday, the same worker receives $26.06 × 250% = $65.15 per hour. These rates flow from clause 29.4 of the Retail Award and the Fair Work Ombudsman’s penalty rate summary dated 1 July 2024.
Overtime and Minimum Engagement
Casual retail employees earn overtime at 150% of the loaded rate for the first three hours beyond 38 hours in a week, and 200% thereafter. For work beyond 11 hours in a single day, overtime is paid at 200% of the loaded rate. A Level 1 casual working 40 hours in a week receives 38 hours at $32.06 and two hours at $48.09 (150% of $32.06). The minimum engagement for a casual shift is three hours; if the employer sends the worker home after two hours, three hours at the loaded rate must still be paid. Rest breaks follow the same pattern as the Hospitality Award: a 10-minute paid rest break for every four hours worked and an unpaid meal break of at least 30 minutes after five hours.
Record-Keeping and Compliance Obligations
Pay Slip Requirements
Under the Fair Work Regulations 2009 (reg. 3.46), every pay slip must show the employer’s name and ABN, the employee’s name, the pay period, the date of payment, the gross and net pay, any loadings, allowances, bonuses, or penalty rates paid, the hourly rate for each component, the number of hours worked at each rate, and the amount of superannuation contributed. For casual hospitality and retail workers, the pay slip must separately itemise the base rate, the 25% casual loading, and any evening, weekend, or public holiday penalty. The Fair Work Ombudsman issued a compliance notice template on 1 July 2024 that reinforces these itemisation requirements. Employers who issue non-compliant pay slips face infringement notices of up to $18,780 for a body corporate per contravention.
Time and Wages Records
Employers must keep time and wages records for seven years. The records must show the employee’s classification under the applicable award, the hours worked each day (including start and finish times), the rate of pay for each hour, and the total gross and net wages paid. The Fair Work Ombudsman’s Record My Hours app, updated in August 2024, provides a free digital tool for casual workers to independently log their shifts and compare them against employer-issued pay slips. Discrepancies identified through self-audit can be reported to the Fair Work Ombudsman via the online anonymous tip-off form, which received 16,837 reports in the 2023–24 financial year (Fair Work Ombudsman, Annual Report 2023–24, tabled October 2024).
Award Coverage and Misclassification Risks
A common compliance failure is misclassifying a casual employee as a Level 1 when the duties performed correspond to a higher classification. An international student working as a barista who opens and closes the venue, handles cash reconciliation, and supervises junior staff is likely performing Level 3 duties under the Hospitality Award, not Level 1. The Fair Work Ombudsman’s 2023–24 litigation record includes a Federal Court penalty of $89,100 against a Melbourne café operator that misclassified 12 casual employees as Level 1 kitchen attendants when their duties met the Level 3 descriptor (Fair Work Ombudsman v Jooine Pty Ltd [2024] FCA 847, judgment delivered 12 September 2024). Workers who suspect misclassification can request a written statement of their classification from the employer under clause 5.3 of the Hospitality Award and clause 5.4 of the Retail Award.
Practical Steps for Workers and Employers
Workers covered by the Hospitality or Retail Awards should first download the Fair Work Ombudsman Pay Guide for their award from fairwork.gov.au and confirm their classification level. Cross-check the base rate, casual loading, and penalty rates on the most recent pay slip against the 1 July 2024 figures. If a shortfall is identified, request a corrected pay slip and back-pay in writing, keeping a copy of the request. If the employer does not resolve the underpayment within 14 days, lodge an online enquiry with the Fair Work Ombudsman or contact the Migrant Workers Centre for free, confidential advice in languages including Mandarin, Vietnamese, and Tagalog.
Employers should audit their payroll systems to ensure the 3.75% increase has been applied to every casual classification. Review time and attendance records for the first full pay period after 1 July 2024 to confirm that evening, weekend, and public holiday penalties have been calculated on the new loaded rates, not the superseded rates. Update pay slip templates to separately itemise the base rate, casual loading, and each penalty component. Display the current award summary in a common staff area, as required by clause 37 of the Hospitality Award and clause 37 of the Retail Award.
International students on a Student visa (subclass 500) should note that the 48-hour-per-fortnight work restriction remains in place during study periods, but all hours worked must be paid at the full award rate including penalties. Working holiday makers on a Working Holiday visa (subclass 417) or Work and Holiday visa (subclass 462) who work beyond 38 hours in a week are entitled to overtime rates under the award, regardless of the 88-day regional work requirement for a second-year visa extension. Tax file number declarations, superannuation guarantee contributions of 11.5% from 1 July 2024, and the 15% withholding tax rate for working holiday makers under the Backpacker Tax rules operate independently of award wage obligations and must be checked separately.