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HOW-TO GUIDE

How to find which award applies

A complete guide to identifying the correct Modern Award for your employees under Australian workplace law. Find the right award using official tools and award rates guides.

10 min read Updated January 2025
Georgia Morgan

Written by

Georgia Morgan

General information only – not legal advice

This guide provides general information about identifying Modern Awards under Australian workplace law. It does not constitute legal, HR, or professional advice and should not be relied on as a substitute for advice specific to your business, workforce, or circumstances.

What is a modern Award?

Modern Awards are legal documents that set minimum pay rates and conditions for employees in specific industries or occupations across Australia. There are 121 Modern Awards covering most Australian workers.

Each award specifies minimum wages, penalty rates, allowances, overtime, leave entitlements, and other conditions. Employers must pay at least the award minimums – you can pay more, but never less.

COVERAGE FACTORS

What determines award coverage?

Four key factors determine which award applies to your employees.

Industry of the employer

The main business activity your company conducts determines which industry-based award may apply.

Work performed by employee

The actual duties performed day-to-day, regardless of job title, determine occupational coverage.

Classification level

Each award has classification levels based on skills, qualifications, and responsibilities.

Enterprise agreements

A registered enterprise agreement may apply instead of or in addition to a Modern Award.

STEP-BY-STEP

6 steps to finding your award

Follow these steps to identify the correct Modern Award for each employee role.

1

Identify your primary business activity

Determine what industry your business primarily operates in, as awards are industry-based.

Tips:

  • Focus on the main activity generating revenue
  • If multiple activities, consider the predominant activity test
  • Common industries: hospitality, retail, healthcare, construction, manufacturing
  • The industry matters more than the business name or ABN registration
2

Determine the employee's occupation

Consider what type of work the employee actually performs on a daily basis.

Tips:

  • Job titles don't determine award coverage - actual duties do
  • A "manager" doing hands-on work may still be covered by an operational award
  • Some roles (e.g., admin, maintenance) may be covered by different awards
  • Consider the main purpose of the role, not occasional tasks
3

Use Fair Work's "Find my award" tool

The official Fair Work Ombudsman tool helps identify the correct award for your situation.

Tips:

  • Visit fairwork.gov.au and search for "Find my award"
  • Answer questions about industry and job duties
  • The tool suggests likely awards based on your answers
  • Compare the suggestions with award coverage clauses
4

Check the award's coverage clause

Each Modern Award has a "coverage clause" (usually clause 4) that defines who it applies to.

Tips:

  • Download the award from the Fair Work Commission website
  • Read clause 4 carefully - it lists covered industries and occupations
  • Check if any exclusions apply to your business type
  • Some awards cover entire industries, others cover specific occupations
5

Check for enterprise agreements

An enterprise agreement may override the Modern Award for your employees.

Tips:

  • Search the Fair Work Commission's agreement database
  • Enterprise agreements apply to specific employers/workplaces
  • The agreement must be registered to be enforceable
  • If an agreement applies, use its terms instead of the award
6

Verify if employees are award-free

Some employees are not covered by any award - check if this applies.

Tips:

  • Managerial employees with significant autonomy may be award-free
  • High-income guarantee employees (above threshold) may be award-free
  • Award-free employees are still entitled to National Employment Standards (NES)
  • When in doubt, assume award coverage applies

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IMPORTANT

Key considerations

Don't rely on job titles

Award coverage depends on actual duties performed, not job titles. A "Manager" doing operational work is likely covered by an operational award. A "Team Leader" making day-to-day decisions without significant management authority may also be award-covered.

Check each role individually

Different employees in the same business can be covered by different awards. Your hospitality venue may have staff under the Hospitality Award, admin staff under the Clerks Award, and cleaners under the Cleaning Award. Check coverage for each distinct role.

Document your reasoning

Keep records of how you determined award coverage for each role. This protects your business in case of a Fair Work audit or employee dispute. Document which award you applied, the classification level, and why you determined this was correct.

FAQ

Frequently asked questions

  • Use the Fair Work Ombudsman's "Find my award" tool at fairwork.gov.au. This asks questions about your industry and your employee's duties to suggest the correct award. Then verify by reading the coverage clause (clause 4) of the suggested award to confirm it applies.
  • Apply the "predominant activity test" - identify which industry generates most of your revenue or takes up most business activity. However, employees doing work that falls under a different industry award may be covered by that award instead. For example, a cleaner at a retail store may be covered by the Cleaning Services Award.
  • Yes. Different employees in the same business can be covered by different awards based on their occupation. For example, a hospitality business may have kitchen staff under the Hospitality Award and admin staff under the Clerks Award. Check each role individually.
  • Some employees are "award-free" - typically managerial staff with significant autonomy, or employees earning above the high-income threshold (currently $175,000 as of 2025-26 - check Fair Work for current figures). Award-free employees are still entitled to the National Employment Standards (NES) minimum conditions.

Regulatory sources

This guide is aligned with official Australian workplace regulations.

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