Building and Construction Award pay guide: rates, penalties & classifications 2026/2027
A practical guide to the Building and Construction General On-site Award 2020 [MA000020] for Australian employers
Updated • FY2026/27 rates — effective the first full pay period on or after 1 July 2026
Written by
Steve Harris
Summarise with AI
This guide provides general information about the Building and Construction General On-site Award 2020 [MA000020] and related Australian workplace laws as at the date of publication.
It does not constitute legal, financial, payroll or employment advice and should not be relied on as a substitute for advice specific to your business, workforce, or circumstances.
Pay rates, penalty rates and allowance amounts under modern awards change periodically, particularly following the Fair Work Commission’s Annual Wage Review. The figures here are the minimums from the official Fair Work pay guide, effective from the first full pay period on or after 1 July 2026. Employers must always check the current Fair Work pay guide or the latest consolidated Award text before setting or paying wages.
This award has several sectors and two hire arrangements. The reference rates in this guide are for weekly hire, general building and construction, non-residential work — and they already include the all-purpose industry and tool allowances. Residential building, civil construction, metal & engineering construction and daily-hire employees (who also receive a follow-the-job loading) use different figures. Always confirm your exact combination with Fair Work’s Pay and Conditions Tool (PACT).
If you need award-specific guidance, see:
Looking for MA000020?
This is it. MA000020 is the official Fair Work code for the Building and Construction General On-site Award 2020 (also known as Building & Construction Award) . This guide covers its pay rates, classifications, penalties and compliance for 2026/27.
View official MA000020 on Fair Work →Award rate calculator
See how RosterElf interprets the Building & Construction Award
This is an educational example showing how the Building & Construction Award penalty rates work. It demonstrates how RosterElf automatically calculates correct pay rates based on classification level, employment type, and shift times.
Award penalty rates
Example weekly cost (38 hours)
Example only - not for payroll use
This is a demonstration of how RosterElf calculates award-compliant rates.
The actual cost for your employees will depend on:
- Their specific classification level and employment type
- Actual hours worked and shift times
- Any additional allowances, overtime, or enterprise agreement provisions
- Current award rates (which change annually in July)
For accurate payroll calculations, always:
- Verify current rates with the official Fair Work pay guide
- Confirm your employees' correct award coverage and classification
- Use award interpretation software or consult a payroll professional
- Review your specific enterprise agreement (if applicable)
Do not rely on this example for actual wage payments.
Stop calculating penalty rates manually
Let RosterElf handle award compliance automatically
Manual award calculations are time-consuming and error-prone. One mistake can lead to underpayments, compliance issues, and Fair Work penalties. RosterElf's award interpretation engine does the work for you.
How RosterElf automates award calculations
Create pay templates
Create pay templates for each classification level with award-compliant base rates and penalty multipliers. RosterElf applies the correct template to each shift automatically.
Award interpretation →Define rate rules
Configure when different penalty rates apply (evenings, weekends, public holidays). The system detects which rate to use based on shift times and days.
Penalty rates guide →Auto-apply to shifts
Every rostered shift calculates the correct pay rate based on the employee's classification, employment type, and shift timing. No manual work required.
Payroll integration →Quick casual pay rates reference 2026/27
Construction sites rely heavily on casual and labour-hire crews to scale up and down with the job. Here are the casual rates for ordinary weekday hours under the Building and Construction General On-site Award 2020 [MA000020] (weekly hire, general building, non-residential), generated from the current Fair Work pay guide:
FY2026/27 rates are in effect
Modern award minimum rates rose from the first full pay period on or after 1 July 2026, following the Fair Work Commission’s 2026 Annual Wage Review. The rates below and in the calculator reflect the official Fair Work pay guide and already include the all-purpose industry allowance and (for trades) the tool allowance built into the minimum rates.
Building & Construction Award casual hourly rates 2026/27 (ordinary weekday hours)
| Level | Example roles | Casual hourly rate |
|---|---|---|
| CW1 | Construction/general labourer & trades assistant (sub-levels a–d $28.44–$29.82) | $35.55 |
| CW2 | Experienced labourer / plant or equipment operator | $37.99 |
| CW3 | Tradesperson — carpenter, joiner, bricklayer, painter, plasterer, tiler (variants $31.48–$32.30) | $40.38 |
| CW4 | Special-class trade — signwriter, joiner special class, letter cutter | $40.51 |
| CW5 | Advanced special-class trade — refractory/special-class bricklayer, special-class plasterer | $42.30 |
| CW6 | Advanced/engineering construction worker | $42.39 |
| CW7 | Higher engineering construction worker | $43.54 |
| CW8 | Top construction-stream worker (e.g. carpenter-diver); the parallel engineering stream tops out at ECW 9 ($36.23/hr) | $45.89 |
Weekends, public holidays & shifts are higher
On top of the ordinary rates above, the Award adds Saturday (150% first 2 hrs, then 200%), Sunday (200%) and public-holiday (250%) penalties, shift loadings (morning/early-afternoon +25%, afternoon/night +50%) and overtime. Use the calculator above to see exact rates for your classification and day.
Quick summary for time-poor builders
Important: This guide uses the weekly-hire, general building, non-residential rates, which include the industry and tool allowances. Residential building, civil construction, metal & engineering construction and daily-hire employees use different figures — and on-site plumbing and electrical work are covered by separate awards (see coverage below).
If you only skim one section, make it this one:
- The Building and Construction General On-site Award 2020 [MA000020] sets minimum pay and conditions for employees doing on-site building, construction, civil and metal & engineering construction work in Australia — labourers, plant operators and building trades.
- The award splits into sectors (general building — residential vs non-residential — civil construction, and metal & engineering construction) and into daily-hire vs weekly-hire arrangements. The rates in this guide are the flagship set: weekly hire · general building · non-residential, which already include the all-purpose industry and tool allowances.
- Workers are classified on the CW/ECW 1–8 ladder (plus ECW 9): CW1 = construction/general labourer, CW3 = tradesperson (carpenter, bricklayer, painter, plasterer, tiler), up to CW8/ECW9 advanced.
- Adult ordinary rates run from $28.44/hr (CW1) to $36.71/hr (CW8) for a 38-hour week. Casuals add a 25% loading on top of these ordinary rates.
- On top of base rates you may also pay shift loadings (morning/early-afternoon +25%, afternoon/night +50%), weekend and public-holiday penalties (Saturday 150%/200%, Sunday 200%, public holiday 250%) and overtime (150% first 2 hours, 200% after).
- Get four things right for every worker: award coverage, sector + hire type, CW/ECW classification, and when they work (day, shift, weekend, public holiday, overtime).
Bottom line: the Award is the floor — many enterprise agreements and site rates in commercial construction pay above it. But you still can’t legally pay below the Award. It’s worth checking your underpayment risk and using award-aware rostering software with award interpretation to apply penalties and overtime automatically.
What the Building and Construction Award actually is
Think of the Building and Construction General On-site Award (MA000020) as the legal minimum standard you can’t go below for covered on-site building and construction work.
It sets:
- Minimum hourly and weekly rates for the CW/ECW 1–8 classification ladder, across the general building, civil and metal & engineering construction sectors
- Extra pay for shift work, weekends, public holidays and overtime
- Allowances (the all-purpose industry and tool allowances, fares & travel, leading hand, first aid, multistorey, living-away-from-home and others)
- Rules about daily-hire and weekly-hire employment, casuals, apprentices, rostering, spans of hours and breaks
- A link into the National Employment Standards (NES) for leave and other basic rights
You can always pay more — and in commercial construction, many employers do via enterprise agreements and site rates — but you can’t legally pay less than the Award.
The Award is updated roughly every July after the Fair Work Commission’s Annual Wage Review. Your job as an employer is to work out whether your staff are covered, pick the right sector and hire type, classify them correctly, pay at least the Award minimum (including penalties, shift loadings and allowances), and update rates when the pay guide changes.
Award vs enterprise agreement: if your site is covered by a registered enterprise agreement (EBA), it will generally set pay and conditions in place of the Award — but it must leave employees better off overall than the Award (the BOOT test). The Award still matters as the safety-net comparison, and is common on residential and smaller commercial jobs that don’t run an agreement.
Who the Building and Construction Award covers (and who it doesn't)
In simple terms, MA000020 covers employers and employees in the on-site building, engineering and civil construction industry across Australia. It commonly applies to:
- General building and construction — houses, apartments, offices, retail and commercial buildings (residential and non-residential)
- Civil construction — roads, bridges, earthworks, drainage, rail and other infrastructure
- Metal & engineering construction — on-site fabrication, erection and installation of structural steel and plant
- On-site trades and labour — carpenters, bricklayers, painters, plasterers, tilers, concreters, formworkers, riggers, scaffolders, plant operators and construction labourers
The single biggest coverage trap is on-site plumbing and electrical work — those trades have their own awards even when they’re working on the same building site (see below).
Once you’ve confirmed coverage, see our construction rostering software for how to build and cost on-site crew rosters with these rates applied automatically.
Building & Construction Award vs the other on-site trade awards
This is the distinction that trips up more builders than any other. Several trades work on the same site but are covered by different awards:
- Plumbing and Fire Sprinklers Award [MA000036] covers plumbers, gasfitters, drainers, roof plumbers and fire-sprinkler fitters — even on a building site.
- Electrical, Electronic and Communications Contracting Award [MA000025] covers electricians and electrical contracting work.
- Joinery and Building Trades Award [MA000029] covers off-site joinery, shopfitting and glass manufacture (a factory-based award, not on-site construction).
- Mobile Crane Hiring Award [MA000032] covers businesses whose main activity is hiring out mobile cranes with operators.
When in doubt, classify by the actual work and the employer’s main business, not the site the person happens to be standing on.
On-site construction vs plumbing, electrical, joinery & mobile crane awards
A quick side-by-side to place MA000020 against the awards it’s most often confused with.
| Award | Covers | Common confusion |
|---|---|---|
| Building & Construction General On-site Award (MA000020) | On-site general building, civil and metal & engineering construction — labourers, plant operators and building trades | Assuming it covers on-site plumbers and electricians (it doesn't) |
| Plumbing and Fire Sprinklers Award (MA000036) | Plumbers, gasfitters, drainers, roof plumbers and fire-sprinkler fitters, on and off site | Paying plumbers CW trade rates instead of the plumbing award |
| Electrical Award (MA000025) | Electricians and electrical, electronic and communications contracting work | Treating an on-site electrician as a CW3 tradesperson |
| Joinery and Building Trades Award (MA000029) | Off-site joinery, shopfitting and glass manufacture (factory-based) | Confusing factory joinery with on-site carpentry |
| Mobile Crane Hiring Award (MA000032) | Businesses whose main activity is hiring out mobile cranes with operators | Applying MA000020 to a dedicated crane-hire business |
Not sure which on-site award applies? Start here.
Use this top to bottom. If you answer "YES", follow the arrow.
Is the worker doing plumbing, gasfitting, drainage or fire-sprinkler work?
Plumbers, gasfitters, drainers, roof plumbers and fire-sprinkler fitters are covered by their own award, even on a building site.
Is the worker doing electrical or communications contracting work?
Electricians and electrical/electronic/communications contracting work sit under the Electrical Award, not MA000020.
Is it off-site joinery/shopfitting, or a dedicated crane-hire business?
Factory-based joinery, shopfitting and glass manufacture are covered by the Joinery award; a business whose main activity is hiring out mobile cranes with operators is covered by the Mobile Crane Hiring award.
Is it on-site general building, civil or metal & engineering construction?
Is the work on-site building, civil (roads, bridges, earthworks) or metal & engineering construction — labouring, plant operation or building trades such as carpentry, bricklaying, plastering or tiling?
Reminder: Always check the latest Fair Work pay guide before setting rates, and confirm coverage with Fair Work’s PACT — award rates and allowances change annually. Our guide on how to find which award applies walks through the process.
Sectors and daily-hire vs weekly-hire
MA000020 is unusual because a worker’s minimum rate depends not just on their classification but on which sector they work in and how they’re engaged. Get these two settings right before you read a rate off the pay guide.
The construction sectors
The award sets separate rates for each sector:
- General building and construction — split again into residential and non-residential (commercial) work. The rates in this guide are the non-residential general-building set.
- Civil construction — roads, bridges, earthworks, drainage and other infrastructure.
- Metal & engineering construction — on-site structural steel fabrication, erection and plant installation.
The classification ladder (CW/ECW 1–8) is the same across the sectors, but the dollar figures differ. Use Fair Work’s PACT to confirm the exact rate for residential, civil or metal & engineering work.
Daily hire vs weekly hire
The award also recognises two engagement types for permanent employees:
- Weekly hire — the standard ongoing engagement. The rates in this guide (and in the calculator) are weekly hire, and they already include the all-purpose industry allowance and (for trades) the tool allowance.
- Daily hire — a construction-specific arrangement where carpenters, bricklayers and some other trades are engaged and terminated on a daily basis (one day’s notice). Daily-hire employees receive an additional follow-the-job loading on top of the base rate to compensate for that insecurity, in place of some notice and redundancy entitlements.
Because the daily-hire follow-the-job loading changes the hourly figure, don’t apply the weekly-hire rates below to daily-hire employees — check the daily-hire column in the pay guide or PACT.
Payroll shortcut: decide sector + hire type once per employee and record it alongside their CW/ECW classification. Then the only things that change pay run to pay run are the days and hours they actually work — which award-interpreting software can read straight off the roster and timesheet.
The CW/ECW classification ladder
MA000020 classifies employees on a Construction Worker (CW) / Engineering Construction Worker (ECW) ladder from CW1 to CW8, with a parallel ECW9 for the most advanced engineering work. Classification is decided by actual skills and duties, not job title.
- CW1 – construction/general labourer and trades assistant. Has sub-levels a–d ($28.44–$29.82/hr) that step up with experience and tasks (e.g. safety/traffic control, use of tools).
- CW2 – experienced labourer, plant or equipment operator.
- CW3 – tradesperson: carpenter, joiner, bricklayer, painter, plasterer, tiler and similar. Trade variants run $31.48–$32.30/hr depending on the trade and tool allowance.
- CW4 – special-class trade (e.g. signwriter, joiner special class, letter cutter).
- CW5 – advanced special-class trade (e.g. refractory/special-class bricklayer, special-class plasterer).
- CW6–CW7 – advanced and higher engineering construction workers.
- CW8 – top construction worker (e.g. carpenter-diver), with ECW9 ($36.23/hr) for the most advanced engineering construction work.
The full FY2026/27 rate table (with weekly and hourly figures per level) is in the next section, and every level is built into the calculator above.
Write the classification down. Record the award (MA000020), sector, hire type, CW/ECW level and employment type for each worker — for example: “Employed under the Building and Construction General On-site Award, general building (non-residential), weekly hire, as a CW3 carpenter – full-time.” This should appear in the contract, your payroll system and any award-interpretation software.
2026/27 pay rates overview: what you must pay
This section is a practical snapshot of the current FY2026/27 minimum rates so you can sanity-check payroll. All figures are minimums from the official Fair Work pay guide (weekly hire · general building · non-residential) effective from the first full pay period on or after 1 July 2026, and are generated from the same data that powers the calculator above. These rates include the all-purpose industry and tool allowances. Residential, civil, metal & engineering and daily-hire rates differ — use PACT.
What changed for FY2026/27
The 2026 Annual Wage Review lifted modern award minimum rates from the first full pay period on or after 1 July 2026. For the Building & Construction Award, adult ordinary rates (weekly hire, non-residential) now run from $28.44/hr (CW1) to $36.71/hr (CW8). Casual rates (base + 25%), penalty rates and allowances rose in step. Always confirm against the current pay guide.
Warning: Don’t copy-paste these into payroll and forget about them. Always double-check the latest Fair Work pay guide before paying staff — rates change annually, differ by sector and hire type, and enterprise agreements may set higher rates.
Adult – full-time & part-time
For adult employees, ordinary hours (based on a 38-hour week), weekly hire, general building, non-residential:
| Level | Example roles | Weekly pay | Hourly rate |
|---|---|---|---|
| CW1 | Construction/general labourer & trades assistant (sub-levels a–d $28.44–$29.82) | $1,080.65 | $28.44 |
| CW2 | Experienced labourer / plant or equipment operator | $1,154.65 | $30.39 |
| CW3 | Tradesperson — carpenter, joiner, bricklayer, painter, plasterer, tiler (variants $31.48–$32.30) | $1,227.47 | $32.30 |
| CW4 | Special-class trade — signwriter, joiner special class, letter cutter | $1,231.44 | $32.41 |
| CW5 | Advanced special-class trade — refractory/special-class bricklayer, special-class plasterer | $1,286.01 | $33.84 |
| CW6 | Advanced/engineering construction worker | $1,288.45 | $33.91 |
| CW7 | Higher engineering construction worker | $1,323.45 | $34.83 |
| CW8 | Top construction-stream worker (e.g. carpenter-diver); the parallel engineering stream tops out at ECW 9 ($36.23/hr) | $1,395.07 | $36.71 |
Rates include the all-purpose industry allowance and (for trades) the tool allowance. Residential, civil, metal & engineering and daily-hire rates differ — see the Fair Work pay guide.
Adult – casual
Casuals receive the same base rate plus a 25% casual loading in place of paid leave. Adult casual rates for ordinary weekday hours:
| Level | Example roles | Casual hourly rate |
|---|---|---|
| CW1 | Construction/general labourer & trades assistant (sub-levels a–d $28.44–$29.82) | $35.55 |
| CW2 | Experienced labourer / plant or equipment operator | $37.99 |
| CW3 | Tradesperson — carpenter, joiner, bricklayer, painter, plasterer, tiler (variants $31.48–$32.30) | $40.38 |
| CW4 | Special-class trade — signwriter, joiner special class, letter cutter | $40.51 |
| CW5 | Advanced special-class trade — refractory/special-class bricklayer, special-class plasterer | $42.30 |
| CW6 | Advanced/engineering construction worker | $42.39 |
| CW7 | Higher engineering construction worker | $43.54 |
| CW8 | Top construction-stream worker (e.g. carpenter-diver); the parallel engineering stream tops out at ECW 9 ($36.23/hr) | $45.89 |
Casual rates shown are the ordinary weekday rate (base + 25% loading). Shift loadings, weekend/public-holiday penalties and overtime apply on top — use the calculator above.
Apprentices
Apprentice rates depend on the year of the apprenticeship and, for those who started on or after 1 January 2014, on whether they completed Year 12. Indicative FY2026/27 rates for a 4-year apprenticeship (non-residential, started on or after 1 January 2014) are:
- 1st year: around $16.49/hr (did not complete Year 12) or $17.96/hr (completed Year 12)
- 2nd year: around $19.44/hr (no Year 12) or $20.91/hr (Year 12)
- 3rd year: around $23.85/hr
- 4th year: around $28.27/hr
Because the exact figure depends on the sector, start date, year of apprenticeship and Year 12 status, always confirm the precise rate via Fair Work’s PACT or the current pay guide. Apprentices are also entitled to the daily fares & travel allowance (at their year’s rate).
Juniors
Most on-site construction work is done by adults and apprentices, but where junior (under-18) rates apply the award sets them as a percentage of the relevant adult rate. Match age, sector and classification against the Fair Work pay guide before paying a junior.
Full-time vs part-time vs casual on site
The Award works alongside the national definitions of full-time, part-time and casual employment — plus the construction-specific daily-hire and weekly-hire arrangements covered above.
Full-time & part-time
- Full-time is generally an average of 38 ordinary hours per week.
- Part-time employees work fewer, regular hours with an agreed pattern.
- Both accrue paid annual leave and personal/carer’s leave under the NES (pro-rata for part-time), whether engaged as daily hire or weekly hire.
Casual
- No firm advance commitment to ongoing work with an agreed pattern.
- Paid a 25% casual loading instead of paid leave.
- Common for filling short-term labour and trade gaps as jobs ramp up and wind down.
The big trap: running “casuals” on a regular, ongoing roster. Regular casuals may be able to request conversion to permanent — see our casual conversion guide. For building repeatable site rosters, see how to roster construction staff.
Ordinary hours, spans & shift work
Before you build a roster, it pays to know the award’s hours rules:
- Ordinary hours average 38 per week, worked Monday to Friday within the ordinary span.
- Ordinary hours are typically worked as a fixed daily pattern agreed for the site.
- Work outside the ordinary span, or beyond the daily/weekly limit, is overtime.
- Work on Saturday, Sunday and public holidays attracts penalty rates (below), even when it’s part of a normal working week.
Shift work loadings
Where the award’s shift-work provisions apply, ordinary-hours shift work is loaded as follows:
- Morning shift and early-afternoon shift – +25% loading.
- Afternoon shift, night shift and early-morning shift – +50% loading.
Shift loadings are roster-based and depend on when the shift starts and finishes, so they’re applied from the roster rather than the calculator’s weekend/public-holiday settings. Confirm the shift definitions in the award before applying them.
Reminder: shift-work rules interact with overtime and penalties. If you run shifts, model the total cost from the actual start and finish times — award-interpreting software applies the right loading automatically.
Penalty rates & overtime
Weekend and overtime work is where the real cost — and most underpayment risk — sits. The key rules under MA000020:
- Saturday: the first 2 hours are paid at 150%, then 200%.
- Sunday: work is paid at 200%.
- Public holidays: 250%.
- Saturday after Good Friday: 250%.
- Overtime (Mon–Fri): 150% for the first 2 hours, 200% after.
These multipliers are applied to the ordinary hourly rate for the worker’s classification, sector and hire type.
Casual penalties are additive. Under this award, a casual’s penalty is the permanent percentage plus the 25% casual loading, applied to the ordinary rate — so a casual Saturday’s first 2 hours is 175%, a casual Sunday is 225% and a casual public holiday is 275%. The calculator above handles this automatically.
Overtime in real life
Overtime is triggered when an employee works beyond their ordinary rostered hours or outside the agreed span. On a busy site with lots of last-minute changes, overtime — not base rates — is where costs blow out. See our guide to calculating overtime costs, or model weekend and overtime rates with our overtime penalty rate calculator.
Stop calculating construction penalties by hand
RosterElf's award interpretation engine applies Building & Construction Award weekend penalties, public-holiday and overtime rates automatically from each shift's times — no manual lookups, fewer underpayment risks.
See award interpretationAllowances: fares, travel, leading hand & more
Beyond hourly pay and penalties, MA000020 includes some of the most-used allowances of any award — especially fares & travel (paid to most on-site workers) and leading hand. The all-purpose industry and tool allowances are already built into the base rates above. Current FY2026/27 amounts:
| Allowance | Amount (FY2026/27) | When it applies |
|---|---|---|
| Industry allowance | All-purpose — already included in the rates above | Compensates for the disabilities of on-site construction work; built into the minimum rate, so it flows through penalties and overtime |
| Tool allowance | All-purpose — included in the trade rates above | Where a tradesperson must supply and maintain their own tools |
| Fares & travel allowance | $22.41 per day (apprentices $16.81–$21.29/day by year) | Paid to most on-site employees per day worked to compensate for travel to site |
| Leading hand allowance | 2.4% (1 employee) or 5.3% (2–5 employees) of the highest classification supervised | Employee placed in charge of other workers |
| First aid allowance | $4.03/day (minimum qualification) or $6.38/day (higher qualification) | Employee appointed to hold first-aid qualifications and perform first-aid duties |
| Multistorey allowance | $0.94/hr for work above 15 metres (plus $0.94 for each further 15 m band) | Work on multistorey buildings above the height threshold |
| Electrician's licence allowance | $0.94/hr (all-purpose) | Employee required to hold and use an electrician's licence |
| In charge of plant allowance | $52.60/week | Employee placed in charge of specified plant |
| Living away from home (distant work) | $102.92/day (not in camp/board), plus $45.36 per weekend return home | Employee required to live away from home to work on a distant job |
All-purpose vs expense allowances: all-purpose allowances (industry, tool, electrician’s licence, multistorey) are added to the base rate before casual loading, penalties and overtime are calculated. Expense-related allowances (fares & travel, living-away-from-home) are not. Getting this the wrong way round is a common — and costly — payroll error. Always confirm current amounts in the Fair Work pay guide, as they change annually.
Leave entitlements under the award & NES
The Award sits on top of the National Employment Standards (NES), which set minimum leave for permanent employees (weekly hire and daily hire alike).
Full-time & part-time
Permanent employees are entitled to, among other things:
- Paid annual leave – 4 weeks per year based on ordinary hours, paid with 17.5% leave loading.
- Paid personal/carer’s leave (sick leave) – 10 days per year based on ordinary hours.
- Compassionate leave, parental leave, family and domestic violence leave, and other NES entitlements.
Casuals
- No paid annual or personal/carer’s leave.
- Instead, they receive the 25% casual loading.
Always check current entitlements against the Award and NES, or seek advice for complex rosters and daily-hire arrangements.
Step-by-step compliance plan
A simple process you can actually follow.
Step 1: confirm the award (or agreement) applies
- Confirm the work is on-site building, civil or metal & engineering construction covered by MA000020 — and not plumbing (MA000036), electrical (MA000025), off-site joinery or crane hire.
- Check whether a registered enterprise agreement applies — if so, its terms generally replace the Award (but must beat it on the BOOT).
Step 2: pick the sector and hire type
For each worker, decide the sector (general building residential vs non-residential, civil, or metal & engineering) and the hire type (weekly hire or daily hire, which adds the follow-the-job loading). These set which pay-guide column you read.
Step 3: classify every employee
Assign each worker a CW/ECW level based on their actual skills and duties — CW1 labourer through CW3 tradesperson to CW8/ECW9 advanced — not just their job title.
Step 4: set correct base rates + allowances in payroll
- Enter the correct base rate per classification, sector and hire type, and configure the fares & travel, leading hand, first aid, multistorey and living-away-from-home allowances so they’re easy to apply.
Step 5: make sure penalties, shift loadings & overtime calculate
Use Fair Work’s PACT each pay run, or use award-interpreting rostering/payroll software with payroll integration that understands the Building & Construction Award and calculates weekend/public-holiday penalties, shift loadings and overtime automatically from the roster and timesheets.
Step 6: keep records & payslips tidy
Keep rosters, timesheets, pay records and contracts, and capture exact start and finish times with time and attendance tools. Make sure payslips clearly show ordinary hours, penalties, shift loadings, overtime and allowances.
Common construction payroll mistakes
The traps that trip up construction employers most often.
1. Using the wrong trade award
Paying on-site plumbers or electricians CW trade rates instead of their own awards is the most common, costly error on a mixed site. Classify by the actual work, not the site.
2. Reading the wrong sector or hire type
Applying non-residential rates to residential work, or weekly-hire rates to daily-hire employees (who are owed the follow-the-job loading), understates pay.
3. Forgetting fares & travel
The daily fares & travel allowance is owed to most on-site workers for every day worked — it’s easy to miss and adds up fast across a crew.
4. Handling all-purpose allowances incorrectly
The industry, tool, electrician’s licence and multistorey allowances are all-purpose — they must be in the base before penalties and overtime. Treating them as flat add-ons understates penalty pay.
5. Missing weekend and overtime penalties
Paying flat rates for Saturday, Sunday and overtime — especially the Saturday 150%-then-200% step — is a frequent source of backpay claims.
6. Not updating rates each July
Still paying last year’s rates. Download the new pay guide every July and compare it to your payroll.
Final takeaways
Applying the Building and Construction Award correctly is a legal requirement — but it doesn’t have to be overwhelming:
- Confirm coverage first: on-site construction (MA000020) vs plumbing, electrical, off-site joinery and crane hire — and check for an enterprise agreement.
- Pick the sector and hire type: general building (residential/non-residential), civil or metal & engineering, and weekly vs daily hire (which adds the follow-the-job loading).
- Classify correctly: the right CW/ECW level based on skills and duties.
- Don’t ignore penalties, shift loadings and allowances: this is where most underpayments happen. You can estimate weekend and overtime costs before you publish a roster.
- Update every July and keep good records.
For official guidance, see the Building and Construction General On-site Award [MA000020] on Fair Work, the Fair Work pay guide and PACT.
Run the Building & Construction Award on autopilot
RosterElf builds the award rules into your rosters, timesheets and payroll.
Award interpretation
Automatically applies Building & Construction Award penalty, weekend, overtime and public-holiday rates from shift times.
Rostering software
Build award-aware site rosters in minutes with live wage cost and compliance warnings.
Time & attendance
Capture exact start and finish times on site with a kiosk time clock and live attendance.
Payroll integration
Send award-interpreted timesheets straight to Xero, MYOB and other payroll systems.
Building & Construction Award knowledge base
Step-by-step help for applying the award inside RosterElf.
Related award rate guides
Explore other Australian Modern Award pay rate guides
Common roles in construction
Download free job description templates for your construction team
Stop calculating the Building & Construction Award by hand
RosterElf applies Building and Construction General On-site Award (MA000020) penalty rates, weekend loadings, overtime and public-holiday rates automatically based on shift times — built for Australian construction businesses.
Building and Construction Award FAQ
-
A CW3 tradesperson (carpenter, joiner, bricklayer, painter, plasterer, tiler and similar) is paid an ordinary rate of about $32.30/hr ($1,227.47/week) for FY2026/27 on the weekly-hire, general-building, non-residential set — with trade variants running $31.48–$32.30/hr. As a casual, a CW3 is about $40.38/hr for ordinary hours (base + 25% loading). These rates already include the all-purpose industry and tool allowances. Residential, civil, metal & engineering and daily-hire rates differ — use the calculator above or Fair Work’s PACT.
-
MA000020 uses a Construction Worker (CW) / Engineering Construction Worker (ECW) ladder from CW1 to CW8, with ECW9 above. CW1 is a construction/general labourer or trades assistant (sub-levels a–d); CW2 is an experienced labourer or plant operator; CW3 is a tradesperson (carpenter, bricklayer, painter, plasterer, tiler); CW4–CW5 are special-class trades; CW6–CW7 are advanced/higher engineering construction workers; and CW8 is a top construction worker, with ECW9 for the most advanced engineering work. Classification is based on actual skills and duties, not job title — see the full rate table above.
-
Apprentice rates depend on the year and (for those who started on or after 1 January 2014) on Year 12 completion. Indicative FY2026/27 rates for a 4-year non-residential apprenticeship are roughly: 1st year $16.49/hr (no Year 12) or $17.96/hr (Year 12); 2nd year $19.44/hr or $20.91/hr; 3rd year $23.85/hr; and 4th year $28.27/hr. Apprentices also receive the daily fares & travel allowance at their year’s rate. Confirm the exact figure via Fair Work’s PACT or the current pay guide.
-
Casual employees receive a 25% loading on top of the equivalent permanent ordinary rate, in place of paid leave — so a CW1 labourer is about $28.44/hr permanent and $35.55/hr casual, and a CW3 tradesperson is about $32.30/hr permanent and $40.38/hr casual for ordinary hours. Casual penalty rates are additive: the casual figure is the permanent percentage plus 25%. For example, a casual Saturday’s first 2 hours is 175%, a casual Sunday is 225%, and a casual public holiday is 275%.