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From 1 January 2010, modern awards cover most workplaces. Modern awards establish one set of minimum conditions for employers and employees across Australia who work in the same industries and occupations.
The commencement of modern awards means that there have been changes to minimum terms and conditions for many employees.
Transitional arrangements in most modern awards mean that some pay rates (including loadings and penalties) did not commence until 1 July 2010. These arrangements give employers and employees time to adjust to the changes in pay rates.
The transitional provisions include a phasing schedule which allows wages, loadings and penalty rates which are higher or lower than pre-existing conditions to be progressively introduced over 4 years. Where there was no existing loading or penalty applying under the existing instrument then the new loading or penalty in the modern award is also progressively introduced.
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