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AWARD GUIDES

Road Transport Award pay guide 2026/2027

A simple, practical guide for transport, distribution and logistics employers

Updated FY2026/27 rates — effective the first full pay period on or after 1 July 2026

Steve Harris

Written by

Steve Harris

General information only – not legal advice

This guide provides general information about the Road Transport and Distribution Award 2020 [MA000038] 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 calculator and rate tables model transport employees other than oil distribution; oil distribution employees are paid higher rates. This guide includes indicative minimum figures effective from the first full pay period on or after 1 July 2026. Employers must always check the current Fair Work pay guide before setting or paying wages.

Long-distance drivers may be paid under specific long-distance provisions (cents-per-kilometre), and waste/recycling collection or passenger transport may fall under different awards. Always confirm award coverage (e.g. using Fair Work’s Pay and Conditions Tool (PACT)).

If you need award-specific guidance, see:

Looking for MA000038?

This is it. MA000038 is the official Fair Work code for the Road Transport and Distribution Award 2020. This guide covers its pay rates, classifications, penalties and compliance for 2026/27.

View official MA000038 on Fair Work →

Award rate calculator

AWARD RATE ESTIMATOR

See how RosterElf interprets the Road Transport Award

This is an educational example showing how the Road Transport Award penalty rates work. It demonstrates how RosterElf automatically calculates correct pay rates based on classification level, employment type, and shift times.

Important: This is an estimator for demonstration purposes only. Do not use these calculations for actual payroll without verifying against the official Fair Work pay guide and consulting your Award obligations.
Base ordinary rate
Mon-Fri, standard hours
$ 0.00 /hr

Award penalty rates

Example weekly cost (38 hours)

Example total: $0.00

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:

  1. Verify current rates with the official Fair Work pay guide
  2. Confirm your employees' correct award coverage and classification
  3. Use award interpretation software or consult a payroll professional
  4. 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.

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How RosterElf automates award calculations

1
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 →
2
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 →
3
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

Casual rates for ordinary weekday hours for transport workers (other than oil distribution), generated from the current Fair Work pay guide:

FY2026/27 rates are in effect

All modern award rates rose 4.75% from the first full pay period on or after 1 July 2026, and the national minimum wage is now $26.44/hr. The rates below and in the calculator reflect the current Fair Work pay guide.

Casual hourly rates 2026/27 (transport workers, ordinary weekday hours)

Level Example roles Casual hourly rate
Grade 1Entry-level / yard / loading$33.59
Grade 2Driver up to 4.5t / storeperson$34.39
Grade 3Driver 4.5–13.9t / forklift$34.79
Grade 4Driver 13.9–15.4t$35.40
Grade 5Driver 15.4–22.4t$35.84
Grade 6Driver 22.4–43t$36.25
Grade 7Driver of articulated vehicles$36.78
Grade 8Driver of road trains / B-doubles$37.85
Grade 9Heavy combination / specialised$38.48
Grade 10Most senior / specialised driver$39.44

Weekend & public holiday rates are higher

On top of the ordinary rates above: Saturday +50%, Sunday +100% and public holidays +150% for full-time and part-time staff (casual rates are higher again — the 25% loading is added to the penalty). Shiftwork loadings and the oil-distribution stream’s higher rates apply separately. Use the calculator for the ordinary/weekend/public-holiday figures.

Download the rate sheet (PDF)

Free download — printable Road Transport Award rate sheet: Road Transport Award pay rates 2026/27 (PDF) — every classification level, penalty rate and allowance on one page, straight from the current Fair Work pay guide. No signup required.

Quick summary for time-poor employers

Important: This guide models transport employees other than oil distribution. Oil-distribution employees and long-distance (cents-per-km) drivers are paid differently — confirm which applies (see the disclaimer above).

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

  • The Road Transport and Distribution Award 2020 [MA000038] covers transport, distribution and logistics, with transport worker grades 1–10 (mostly set by vehicle type/weight).
  • Minimums are reviewed each July. The FY2026/27 pay guide took effect from the first full pay period on or after 1 July 2026, lifting all rates by 4.75%.
  • Example 2026/27 adult minimum pay:
    • Grade 1: full-time/part-time $26.87/hr, casual $33.59/hr.
    • Grade 7 (articulated vehicle): full-time/part-time $29.42/hr, casual $36.78/hr.
  • Penalties: Saturday +50%, Sunday +100%, public holidays +150% (full-time/part-time); casual rates are higher again.
  • Dangerous-goods, driver-salesperson and shift allowances/loadings apply on top.
  • Get grade (by vehicle), employment type and shift type right for every employee.

Bottom line: with grade-by-vehicle classifications, weekend rates and dangerous-goods allowances, manual calculation is error-prone — check your underpayment risk. Award-aware rostering software with award interpretation keeps it correct automatically. See our guide on how to roster warehouse and logistics staff.

What the Road Transport Award actually is

The Road Transport Award — full name the Road Transport and Distribution Award 2020 [MA000038] — is the modern award that sets the legal minimum pay and conditions for its industry. It covers road transport, distribution and warehousing businesses and their employees. Its distinguishing feature is that driver grades are set by vehicle size, not seniority — the same driver moves up a grade when they move up a truck.

Pay is built from four things, in this order: the classification level the employee’s duties fall into (10 in this award), their employment type (full-time, part-time or casual — casuals receive a 25% loading instead of paid leave), when the shift was worked (weekend, public holiday, evening or overtime penalties), and any allowances that apply. Get one of the four wrong and the pay is wrong.

Ordinary hours

Full-time work is 38 ordinary hours per week, which most awards allow to be averaged over a roster cycle. Hours beyond the agreed pattern attract overtime, and part-time employees must have their guaranteed minimum hours agreed in writing.

Who the award covers (and who it doesn't)

The Road Transport and Distribution Award covers transport, distribution, warehousing and logistics work — drivers, storepersons, forklift operators and yard staff. Transport workers are graded 1–10, largely by the type and weight of vehicle driven.

Important — who’s covered by other awards/provisions: oil distribution employees are paid higher rates within this award; long-distance drivers may be paid under cents-per-kilometre provisions; waste/recycling and passenger transport may fall under different awards. Confirm coverage with Fair Work’s PACT tool before applying rates.

2026/27 pay rates overview: what you must pay

A snapshot of the current FY2026/27 rates for transport workers (other than oil distribution), generated from the same data that powers the calculator above.

What changed from 2025/26

The FY2026/27 Annual Wage Review lifted all modern award minimum rates by 4.75%. For this award, for example: grade 1 is now $26.87/hr and grade 7 (articulated vehicle) is $29.42/hr (full-time/part-time). Penalty and casual rates rose proportionally. Always confirm against the current pay guide.

Adult – full-time & part-time

Ordinary weekday rates for transport worker grades 1–10:

Level Example roles Weekly pay Hourly rate
Grade 1Entry-level / yard / loading$1,021.00$26.87
Grade 2Driver up to 4.5t / storeperson$1,045.50$27.51
Grade 3Driver 4.5–13.9t / forklift$1,057.60$27.83
Grade 4Driver 13.9–15.4t$1,076.20$28.32
Grade 5Driver 15.4–22.4t$1,089.60$28.67
Grade 6Driver 22.4–43t$1,102.00$29.00
Grade 7Driver of articulated vehicles$1,118.00$29.42
Grade 8Driver of road trains / B-doubles$1,150.50$30.28
Grade 9Heavy combination / specialised$1,169.70$30.78
Grade 10Most senior / specialised driver$1,198.80$31.55

Transport employees other than oil distribution. Grades are largely set by vehicle type/weight. Oil-distribution rates are higher — see the pay guide.

Adult – casual

Casuals receive the same base rate plus a 25% loading. Ordinary weekday casual rates:

Level Example roles Casual hourly rate
Grade 1Entry-level / yard / loading$33.59
Grade 2Driver up to 4.5t / storeperson$34.39
Grade 3Driver 4.5–13.9t / forklift$34.79
Grade 4Driver 13.9–15.4t$35.40
Grade 5Driver 15.4–22.4t$35.84
Grade 6Driver 22.4–43t$36.25
Grade 7Driver of articulated vehicles$36.78
Grade 8Driver of road trains / B-doubles$37.85
Grade 9Heavy combination / specialised$38.48
Grade 10Most senior / specialised driver$39.44

Casual rates shown are the ordinary weekday rate (base + 25% loading). Weekend and public-holiday loadings apply on top — use the calculator above.

Road Transport Award pay rates by level (2026/27)

Below is the 2026/27 ordinary hourly rate for each classification in the Road Transport Award (full-time and part-time), with the casual rate (base + 25% loading) in brackets. Weekend, public-holiday and overtime penalties apply on top. Classification follows duties, qualifications and responsibility — not the job title.

Transport worker grade 1 pay rate

Transport worker grade 1 — $26.87/hour full-time/part-time (casual $33.59/hour, $1021.00/week full-time). Entry-level / yard / loading.

Transport worker grade 2 pay rate

Transport worker grade 2 — $27.51/hour full-time/part-time (casual $34.39/hour, $1045.50/week full-time). Driver up to 4.5t / storeperson.

Transport worker grade 3 pay rate

Transport worker grade 3 — $27.83/hour full-time/part-time (casual $34.79/hour, $1057.60/week full-time). Driver 4.5–13.9t / forklift.

Transport worker grade 4 pay rate

Transport worker grade 4 — $28.32/hour full-time/part-time (casual $35.40/hour, $1076.20/week full-time). Driver 13.9–15.4t.

Transport worker grade 5 pay rate

Transport worker grade 5 — $28.67/hour full-time/part-time (casual $35.84/hour, $1089.60/week full-time). Driver 15.4–22.4t.

Transport worker grade 6 pay rate

Transport worker grade 6 — $29.00/hour full-time/part-time (casual $36.25/hour, $1102.00/week full-time). Driver 22.4–43t.

Transport worker grade 7 pay rate

Transport worker grade 7 — $29.42/hour full-time/part-time (casual $36.78/hour, $1118.00/week full-time). Driver of articulated vehicles.

Transport worker grade 8 pay rate

Transport worker grade 8 — $30.28/hour full-time/part-time (casual $37.85/hour, $1150.50/week full-time). Driver of road trains / B-doubles.

Transport worker grade 9 pay rate

Transport worker grade 9 — $30.78/hour full-time/part-time (casual $38.48/hour, $1169.70/week full-time). Heavy combination / specialised.

Transport worker grade 10 pay rate

Transport worker grade 10 — $31.55/hour full-time/part-time (casual $39.44/hour, $1198.80/week full-time). Most senior / specialised driver.

Check the level, not the title

Two people with the same job title can sit on different levels if their duties differ, and moving someone into higher duties moves their level. If you are unsure, confirm the right classification or download the full rate sheet.

How to classify your staff

Classification is largely driven by the type and weight of vehicle driven (plus non-driving roles):

  • Grade 1–2 cover yard, loading and light-vehicle/storeperson duties.
  • Grades 3–6 step up by vehicle weight (rigid trucks from 4.5t up to 43t).
  • Grades 7–10 cover articulated vehicles, road trains, B-doubles and specialised heavy combinations.
  • Forklift, dangerous-goods and driver-salesperson roles attract additional allowances.

Write each employee’s grade (by vehicle), employment type and any allowances into your payroll/rostering system. If unsure, confirm the right level.

What do truck drivers and warehouse staff get paid?

Here’s how the most common roles map to classifications and 2026/27 rates. Use these as a starting point, then confirm the level against the employee’s actual duties.

Warehouse and storeperson pay rates

A storeperson, warehouse picker packer or freight handler sits at grade 2 — $27.51/hr (casual $34.39/hr); entry-level yard and loading work sits at grade 1 — $26.87/hr.

Forklift operator pay rates

A forklift operator sits at grade 3 — $27.83/hr (casual $34.79/hr), the same grade as a driver of a 4.5–13.9 tonne vehicle.

Truck driver pay rates by vehicle size

Driver grades follow gross vehicle mass: 4.5–13.9t at grade 3 ($27.83/hr), 13.9–15.4t at grade 4, 22.4–43t at grade 6 ($29.00/hr), articulated at grade 7 ($29.42/hr) and road trains and B-doubles at grade 8 ($30.28/hr).

Warehouse supervisor pay rates

A warehouse shift supervisor or packing team leader is classified on duties rather than vehicle, generally grade 4–6.

Penalty rates, shiftwork & allowances

Road Transport Award penalties (on the ordinary rate):

  • Saturday: 150% (full-time/part-time), 175% (casual)
  • Sunday: 200% (full-time/part-time), 225% (casual)
  • Public holiday: 250% (full-time/part-time), 275% (casual)
  • Shiftwork loadings apply for afternoon and night shifts (separate from the calculator above).
  • Dangerous goods (about $25.07/day bulk, $10.47/day packaged), driver-salesperson (about $23.16/week) and other allowances apply.
  • Overtime: time-and-a-half then double time; double time on Sundays and public holidays.

The calculator above covers ordinary, Saturday, Sunday and public-holiday rates. For shiftwork, oil distribution, long-distance and overtime, use Fair Work’s PACT tool or award-interpreting software.

Stop calculating transport penalties by hand

RosterElf's award interpretation engine applies Road Transport Award weekend, public-holiday and shift rates automatically from each shift's times.

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Full-time vs part-time vs casual

Full-time & part-time

  • Full-time is around 38 hours per week, ongoing; part-time has a regular agreed pattern.
  • Both receive paid annual and personal/carer’s leave (pro-rata for part-time) and other NES entitlements. Part-time hours should be agreed in writing.

Casual

  • Paid a 25% casual loading instead of paid leave, with a minimum engagement per shift.
  • Casual weekend and public-holiday rates are higher than the permanent rates because the loading is added to the penalty (for example, casual Sunday is 225% of the base rate).

Casuals working regular, ongoing hours may be able to notify their employer under the employee choice pathway that they no longer meet the casual definition and should convert to permanent employment — see our casual conversion guide.

Allowances

Common allowances under this award include:

  • Driver-salesperson – about $23.16 per week.
  • Dangerous goods – about $25.07/day (bulk) or $10.47/day (packaged).
  • First aid – about $16.92 per week.
  • Dirty material – about $0.63/hr; carting tar – about $4.76/week; carbon black – about $2.96/day.
  • Travelling, meal and living-away allowances apply for distant work.

Exact amounts update each pay guide — see the Fair Work pay guide.

Leave entitlements under the award & NES

Leave comes from the National Employment Standards (NES), which apply on top of the award and cannot be reduced by it. Casual employees receive the loading instead of paid leave, but still get unpaid carer’s and compassionate leave, and paid family and domestic violence leave.

Annual leave

Four weeks per year for full-time employees, pro-rata for part-time, accruing progressively from the first day. Employees the award defines as shiftworkers receive a fifth week. Most awards also add annual leave loading — check the leave clause of this award for the rate that applies. See our annual leave guide for how accrual, cash-out and payout on termination work.

Personal, carer's and other leave

  • Personal/carer’s leave: 10 days per year for full-time employees, pro-rata for part-time. It accrues and carries over year to year.
  • Compassionate leave: 2 days per occasion.
  • Family and domestic violence leave: 10 days per year, available to casuals as well, renewing each year rather than accruing.
  • Parental leave: 12 months unpaid with a right to request a further 12, alongside the government paid parental leave scheme.
  • Public holidays: employees are entitled to be absent on a public holiday; if they work it, the award’s public-holiday penalty applies.

Tracking accruals across mixed full-time, part-time and casual teams is where spreadsheets break down — leave management software keeps balances, requests and approvals in one place.

Step-by-step compliance plan

  • Confirm the award and stream (general transport vs oil distribution; not long-distance cents-per-km or passenger transport).
  • Download the latest pay guide (FY2026/27).
  • Classify each employee by grade (vehicle type/weight) and role.
  • Set base rates and apply weekend/public-holiday penalties, shift loadings, dangerous-goods and other allowances, and overtime.
  • Use award-interpreting software so penalties and allowances are calculated automatically, and keep records for 7 years.

Common Road Transport Award mistakes we see all the time

These are the errors that show up most often when employers audit their own Road Transport Award payroll.

Classifying on job title instead of duties

Awards classify on what the employee actually does, their qualifications and their level of responsibility. Two people with the same title can sit on different levels, and someone doing higher duties is owed the higher rate for those hours.

Applying the casual loading and the penalty separately

Casual weekend and public-holiday rates are not the permanent penalty plus 25% bolted on afterwards. The award publishes a single casual figure for each penalty — use the rate sheet or the calculator above rather than stacking percentages by hand.

Forgetting the allowances

This award carries 6 common allowances. They are easy to overlook because they are not part of the hourly rate, but they are still legally owed — the rate sheet above lists every one.

Leaving a driver on their old grade after a vehicle change

Because grade follows the vehicle, a driver who covers a shift in a larger truck must be paid the higher grade for that shift. Fleet changes are the most common source of quiet underpayment in this award.

Small errors compound fast

Award underpayments are rarely one big mistake — they are a small error repeated every shift, every fortnight, for years. Check your underpayment risk, or let award interpretation apply the classification, penalty and allowance automatically.

Final takeaways

  • Grades 1–10, largely set by vehicle type/weight.
  • Saturday +50%, Sunday +100%, public holidays +150%.
  • Oil distribution and long-distance drivers are paid differently.
  • Dangerous-goods and driver-salesperson allowances are easy to miss.
  • Update every July and keep good records.

For official guidance, visit the Fair Work Ombudsman website.

Embed this calculator on your site

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<p style="font-size:13px"><a href="https://www.rosterelf.com/guides/award-rates/logistics">Road Transport and Distribution Award 2020 pay rates</a> by RosterElf</p>
            

Prefer a spreadsheet? Get these rates in Google Sheets or download the open dataset .

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FAQ

Road Transport Award FAQ

  • The Road Transport and Distribution Award 2020 (MA000038) covers transport, distribution, warehousing and logistics — drivers, storepersons, forklift operators and yard staff. Transport workers are graded 1–10, largely by the type and weight of vehicle driven. Oil distribution employees are paid higher rates within the award, and long-distance drivers may be paid under cents-per-kilometre provisions.

  • Grades are mostly set by the vehicle type and weight: lower grades cover yard/loading and light vehicles, mid grades step up by rigid-truck weight (from 4.5t to 43t), and higher grades (7–10) cover articulated vehicles, road trains and B-doubles. Non-driving roles like storepersons and forklift operators are graded by their duties. Always classify by actual duties and vehicle.

  • Long-distance drivers may be paid under specific cents-per-kilometre provisions rather than hourly rates, depending on the trip and configuration. Because these are distinct from the hourly grades, use the Fair Work pay guide or PACT — the estimator on this page covers the hourly grades for transport workers other than oil distribution.

  • The Road Transport Award works in four steps. First, confirm the award covers your business and the employee. Second, assign a classification based on the employee’s duties, qualifications and responsibility — not their job title. Third, apply the employment type: full-time, part-time or casual (casuals receive a 25% loading instead of paid leave). Fourth, layer on penalties and allowances for when and how the shift was worked. Every one of those four inputs changes the pay, which is why award interpretation is worth automating once you are past a handful of staff.