General Retail Award Rates 2025/26: Pay Scales & Penalties

The General Retail Industry Award 2020 [MA000004] sets minimum pay and conditions for employees working in retail businesses across Australia, and the current consolidated version incorporates amendments up to 1 July 2025.

This is a practical, plain-English compliance guide for Australian retail employers covering fashion stores, hardware stores, supermarkets, department stores, and similar retail businesses.

Quick summary for time-poor retail managers

If you only skim one section, make it this one:

• The General Retail Industry Award 2020 [MA000004] sets minimum pay and conditions for employees working in retail businesses across Australia.
• These minimums are typically reviewed annually (often after the Fair Work Commission wage review process), so rates can change year to year.
• You must get four things right for every staff member:
  • Award coverage – does MA000004 actually apply to your business and this employee?
  • Classification level – Retail Employee Level 1 through Level 8.
  • Employment type – full-time, part-time, casual.
  • When they work – weekdays vs weekends/public holidays, early mornings/late nights, overtime.

Example adult minimum hourly rates (ordinary hours):

Indicative only: The following examples are provided as a high-level reference point only and must be verified against the current Fair Work pay guide or consolidated Award wage tables before use.

• Level 1: $26.55/hr (FT/PT), $33.19/hr (casual)
• Level 3: $27.58/hr (FT/PT), $34.48/hr (casual)

Weekend/public holiday penalties (adult retail employees):

• Saturday: 125% (full-time/part-time), 150% (casual)
• Sunday: 150% (full-time/part-time), 175% (casual)
• Public holiday: 225% (full-time/part-time), 250% (casual)

Note: Public holidays are state/territory based. Apply the public holiday rate for the employee's work location, not your head office or registered address.

Evening penalty (Mon–Fri after 6pm):

• Full-time/part-time: 125%
• Casual: 150%

Award coverage (start here)

Coverage checklist

Answer these questions to help determine if the General Retail Industry Award applies to your situation:

Which award applies? – quick comparison

Not sure which award applies? Use this decision tree first.

What the general retail industry award actually is

Think of this Award as the minimum "rulebook" you can't go below. It sets:

• Minimum wages (hourly/weekly depending on role)
• Penalty rates for weekends, public holidays, and early/late work
• Overtime rates
• Allowances (e.g., laundry, first aid, higher duties)
• Rules about rosters, breaks, employment types, and classifications
• How Award conditions sit alongside the National Employment Standards (NES)

You can always pay more, but you generally can't pay less than the Award minimums when it applies.

Who the award covers

Typical businesses

This Award commonly applies to workplaces like:

• Fashion and clothing stores
• Hardware and home improvement stores
• Supermarkets and grocery stores
• Department stores
• Electronics and appliance retailers
• Furniture and homewares stores
• Sporting goods retailers
• Newsagents and convenience stores
• Garden centres and nurseries (retail operations)

Typical roles (examples)

From the Award's classification structure, roles commonly include:

• Sales assistants / retail assistants
• Cashiers / checkout operators
• Stock handlers / warehouse staff
• Visual merchandisers
• Department supervisors
• Store managers and assistant managers
• Customer service representatives
• Deli / bakery staff (in supermarkets)

2025 pay rates overview (snapshot)

These pay rates apply only where the General Retail Industry Award 2020 applies. If part or all of your operations are covered by a different award, refer to the relevant guide for correct rates and penalties.

All figures below are minimums and are based on the Award as consolidated up to 1 July 2025.

Adult minimum hourly rates (ordinary hours) – retail employee levels

Important: Exact minimum rates must be checked against the applicable Fair Work pay guide for the relevant year. Use the official Pay Guide – General Retail Industry Award [MA000004] for the current year.

Rates drawn from the Award wage tables. If there is any inconsistency between this table and the Fair Work pay guide, the pay guide prevails.

Retail managers

Retail managers are covered under the General Retail Industry Award at higher classification levels. Understanding the distinction between different manager levels is important for correct pay.

Manager classification levels

Key points for retail managers

• Supervision duties: Managers who supervise other staff should generally be classified at Level 5 or above.
• Store size matters: The distinction between Level 7 and Level 8 depends on the size and complexity of the store being managed.
• Still Award-covered: Even store managers remain covered by the Award unless they are genuinely "award-free" (typically senior executives with higher salaries and genuine management autonomy).
• Overtime still applies: Managers are entitled to overtime rates when they work beyond ordinary hours, unless they meet specific exemption criteria.

Juniors (under 21)

Junior employees are paid a percentage of the relevant adult rate based on their age. This is common in retail where many staff are younger workers.

Junior percentage rates

Junior employees – quick compliance check

How to classify your staff

Correct employee classification is critical for award compliance. Misclassification is one of the most common causes of underpayment. Use the table below to determine the correct classification level based on your employees' actual duties and responsibilities.

Retail employee classification levels

Getting classification wrong is one of the biggest drivers of underpayments in retail.

Step 1: match duties (not job title) to the level

Use Schedule A classification definitions to match:

• Skill/experience required
• Supervision responsibility
• Trade qualification requirements
• Level of autonomy and decision-making

Step 2: document it

For each employee, keep a clear record such as:

"Employed under the General Retail Industry Award 2020 [MA000004] as Retail Employee Level 3 – part-time."

This should be reflected in:

• The employment contract/letter
• Payroll/HR system
• Roster/time and attendance system

Full-time vs part-time vs casual

Full-time

• 38 ordinary hours per week
• Paid leave entitlements under the NES apply
• Rostering arrangements must comply with Award requirements

Part-time

Part-time arrangements must be controlled and documented:

• Agreed regular pattern of hours (less than 38 per week)
• Minimum engagement: 3 hours per shift
• Pro-rata leave entitlements
• Additional hours above agreed pattern may trigger overtime

Casual

• 25% casual loading (reflected in casual rates)
• Minimum engagement: 3 hours per shift
• No paid leave entitlements (loading compensates for this)

Casual conversion

The Award links casual employment status/conversion processes to the NES / Fair Work Act framework.

Penalty rates & overtime

Understanding how to calculate penalty rates correctly is essential for retail compliance. Penalty rates apply when employees work outside ordinary hours, including weekends, public holidays, and late-night shifts. Use our penalty rate calculator to verify your calculations.

Penalty rates summary (adult employees)

Note: Public holidays are state/territory based. Apply the public holiday rate for the employee's work location.

Overtime rates

Overtime applies when employees work:

• More than 38 hours per week (full-time)
• More than agreed hours (part-time)
• More than 9 hours per day (or 11 hours by agreement)
• Outside the span of ordinary hours

For a comprehensive breakdown of break entitlements and overtime triggers under Fair Work, see our Fair Work breaks and overtime guide.

Allowances

Common allowances and entitlements to look out for include:

Compliance note: Allowance amounts are particularly sensitive to annual variation and should always be confirmed against the current Fair Work pay guide before payment.

Leave entitlements (Award + NES)

NES leave basics (permanent employees)

Full-time and part-time employees generally get (among other NES entitlements):

• Annual leave: 4 weeks (pro-rata for part-time)
• Personal/carer's leave: 10 days per year (pro-rata for part-time)
• Compassionate leave: 2 days per occasion
• Parental leave: Up to 12 months unpaid
• Family & domestic violence leave: 10 days paid per year

Casuals generally don't receive paid annual/personal leave (instead they receive the casual loading).

Step-by-step compliance plan

1. Confirm the Award applies to your business and each worker
   • Check the Award's coverage clause
   • Identify any workers who might be covered by a different award
2. Classify every employee (and document it)
   • Don't assume all sales staff are Level 1
   • Review classifications when duties change
3. Set the correct base rate
   • Use the Award wage tables for the correct level
   • Apply junior percentages where applicable
4. Apply penalties and overtime correctly
   • Check weekends, public holidays, early/late work
   • Monitor overtime triggers
5. Apply allowances
   • First aid, laundry, higher duties, meal allowances
6. Review casuals
   • Minimum engagement compliance (3 hours)
   • Conversion requests
7. Keep clean records

   Minimum record-keeping requirements include:

   • Hours worked, rosters, and breaks taken
   • Classification level, pay rate, and allowances paid
   • Leave balances and leave taken
   • Payslips with separately itemised allowances and penalty payments

Retail award compliance self-check

Use this interactive checklist to track your compliance progress:

Common mistakes in retail

• Keeping experienced staff at Level 1

  Level 1 is for entry-level employees only. Most retail employees performing sales, customer service, or cashier duties should be Level 2 or higher.

• Missing weekend penalties

  Saturday (125%/150%) and Sunday (150%/175%) penalties add up quickly. Make sure your payroll system applies these correctly.

• Forgetting early morning/late night penalties

  Work before 7am or after 9pm on weekdays attracts a 125% loading. This is often missed during extended trading hours.

• Not updating junior rates on birthdays

  Junior rates change with each birthday. Set reminders to review rates when employees turn 16, 17, 18, 19, 20, and 21.

• Minimum engagement breaches

  Part-time and casual employees must be engaged for a minimum of 3 hours per shift. Rostering 2-hour shifts breaches the Award.

• Higher duties not paid

  If an employee performs duties of a higher classification for 2 or more hours, they must be paid the higher rate for that time.

• Not itemising allowances on payslips

  Allowances like first aid and laundry must be shown separately on payslips, not bundled into hourly rates.

Industry-specific tips

Fashion retail

• Staff with styling/personal shopping skills may warrant Level 3 classification
• Visual merchandisers typically Level 3+
• Laundry allowance applies if staff must launder uniforms
• Extended trading hours (late night shopping) require penalty rates

Hardware stores

• Staff providing technical advice (paint mixing, building advice) typically Level 3
• Forklift operators may require higher classification
• Trade service desk staff with specialised knowledge typically Level 3+
• Early morning trade hours (6am starts) require penalty rates before 7am

Supermarkets

• Deli/bakery/seafood staff with food preparation skills typically Level 3
• Butchers with trade qualifications are Level 4
• Cold work allowance applies for work in cold storage below 0°C
• Night fill staff (after 9pm or before 7am) require penalty rates
• Department supervisors are typically Level 5

Final takeaways

• Confirm coverage first: MA000004 applies to most retail businesses, but pharmacies, food service areas, and specialist businesses may be covered by different awards.
• Classify properly: Most retail staff should be Level 2 or above. Level 1 is truly entry-level only.
• Don't forget retail-specific traps: Weekend penalties, early/late loadings, junior rates on birthdays, and minimum engagement rules.
• Keep records: If you can't prove it, you're exposed.
• Check regularly: Pay rates change annually. Review your payroll settings after each Annual Wage Review.

This guide is intended as a practical compliance aid only. It does not replace the need to refer to the current consolidated Award, Fair Work pay guides, or to obtain professional advice where interpretation or coverage is uncertain.

Quick compliance cheat sheet (2025/2026)

Award: General Retail Industry Award 2020 [MA000004]

Rates: Indicative only – based on the Award as consolidated to 1 July 2025

Always check: Fair Work pay guide or PACT tool before paying staff

1. does the retail award apply?

Use this top to bottom. If you answer "YES", follow the arrow.

2. adult minimum pay rates (ordinary hours – indicative)

Casual rates include the 25% casual loading.

3. penalty rates (adults, ordinary hours)

Casual penalty percentages are inclusive of casual loading. Shiftworkers have different rates under clause 25.

4. small retail vs national chains – key differences

Small retail businesses (independent stores)

High-risk areas:

• Paying "flat weekend rates" that underpay Sundays
• Treating all staff as Level 1 forever
• Informal part-time arrangements without set patterns
• Missing public holiday penalties

Best-practice tips:

• Clearly document part-time hours in writing
• Review classifications annually
• Check Sunday and PH pay every roster
• Keep payslips simple but itemised

National chains & franchises

High-risk areas:

• Award-absorbing salaries that don't fully cover penalties
• Misclassified supervisors/managers
• Inconsistent application of part-time overtime rules
• Payroll system not updated after wage reviews

Best-practice tips:

• Run annual salary reconciliations
• Centralise classification rules
• Audit Sunday & PH payments quarterly
• Keep Award interpretation consistent across sites
• Use payroll integration with systems like Xero and MYOB to help simplify payroll processing

Payroll risk by business type

Industry-specific retail award snippets

Fashion & Apparel Retail (clothing, footwear, accessories)

Common roles:

• Sales assistant
• Visual merchandiser
• Senior sales / key holder
• Store manager

Typical compliance traps:

• Treating visual merchandisers as Level 1 when they often meet Level 3–4
• Paying flat Sunday rates (150% FT/PT, 175% casual)
• Relying heavily on casuals without monitoring conversion obligations
• Underpaying supervisors who regularly open/close stores alone

Classification reality check:

• Basic selling & POS → Level 1–2
• Advanced product knowledge, styling advice, visual merchandising → Level 3
• Key holding, staff direction, stock control → Level 4+

Hardware & Home Improvement Retail

Common roles:

• Sales assistant (trade & non-trade)
• Forklift operator
• Yard/storeperson
• Department supervisor

Typical compliance traps:

• Under-classifying forklift operators and trade specialists
• Missing higher-level classifications for employees giving technical advice
• Incorrectly paying warehouse-style work as basic retail
• Assuming early starts don't attract penalties (check span of hours)

Classification reality check:

• General retail floor sales → Level 2–3
• Trade-qualified advice, specialist product knowledge → Level 3–4
• Forklift operation + stock control responsibilities → often Level 3+
• Supervising departments or yards → Level 4–5

Supermarkets & Grocery Retail

Common roles:

• Checkout operator
• Night-fill / shelf stacker
• Fresh food assistant (bakery, deli, produce)
• Department manager

Typical compliance traps:

• Missing Sunday penalties for night-fill and early-morning work
• Treating department managers as Award-free salaried staff
• Incorrect junior rates for regular evening/weekend work
• Not applying penalties correctly to casual rates

Classification reality check:

• Checkout / basic shelf work → Level 1–2
• Night-fill with responsibility or machinery → Level 2–3
• Fresh food departments (skill-based work) → Level 2–3
• Department heads → Level 4–6 (depending on scope)

5. worked pay examples (logic-based)

Assumptions for examples:

• Adult Level 2 retail employee
• Base FT/PT rate: $27.16/hr
• Ordinary hours (no overtime trigger)

6. juniors – fast check

• Junior rates are age-based percentages
• Percentages apply to the correct classification level
• Penalties still apply (Sunday & PH included)

Junior rates compliance checklist

7. Part-time trap (big one)

Part-time employees:

• Must have agreed regular hours
• Working outside those hours may trigger overtime
• Can't be treated like "cheap casuals with leave"

If hours are regularly changing, reassess whether the employee is really casual or full-time.

Part-time overtime triggers

8. quick compliance checklist

Bottom line

• Retail Award compliance is mostly about weekends
• Sunday + public holiday errors = biggest backpay risk
• Small retailers trip up on informality
• Big retailers trip up on salary assumptions
• If you can't prove it, Fair Work will assume it wasn't done