Industry News

Pay rise ahead for many in road freight transport industry

The pay rise includes many awards, such as the Road Transport (Long Distance Operations) Award 2020.
Image: Scott Donkin/

Minimum wages and award rates will increase by 3.75 per cent from July 1, the Fair Work Commission has announced today.

In an advisory note to its members, the Queensland Trucking Association said the increases apply for the majority of modern awards, including:

Road Transport and Distribution Award 2020
Road Transport (Long Distance Operations) Award 2020
Clerks – Private Sector Award 2020
Manufacturing & Associated Industries and Occupations Award 2020
Waste Management Award 2020

“Members who have Workplace Agreements in place will need to ensure that their agreement rates meet, or exceed, the new minimum award rates and, if the agreement pay increases are linked to the panel’s decision, the pay rates will need to be adjusted within the Workplace Agreement accordingly,” the QTA said.

“The increases can be absorbed into any amounts now being paid over and above the relevant minimum rates. However, be aware the Fair Work Ombudsman makes it clear that over award pay-rates can NOT off-set other award entitlements (e.g. penalties or loadings) unless there is a formal agreement in place.  Rates for juniors, trainees and apprentices will also be adjusted, as usual, on a proportionate basis.”

The new federal minimum wage for award-free employees will be $915.90 per week, or $24.10 per hour.  The hourly rate has been calculated on a 38-hour week for a full-time employee.  This constitutes an increase of $33.06 per week to the weekly rate, or .87 cents per hour to the hourly rate.

The FWC estimates the increase to minimum and award wages will affect “about a quarter of all Australian employees”.

“The increase of 3.75 per cent which we have determined is broadly in line with forecast wages growth across the economy in 2024 and will make only a modest contribution to the total amount of wages growth in 2024,” the FWC said.

“We consider therefore that this increase is consistent with the forecast return of the inflation rate to below 3 per cent in 2025.”


The post Pay rise ahead for many in road freight transport industry appeared first on Big Rigs.

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