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Modern awards explained for Australian employers

A modern award is a legal document, made by the Fair Work Commission, that sets minimum pay and conditions for an industry or type of job. An employment contract cannot provide for less than the award or the National Employment Standards. Find the award that covers each role before you set pay.

By CrossNation Editorial Team. Sources checked 6 October 2026.

Official data

Key facts from official sources

What an award is

Awards are legal documents made by the Fair Work Commission that outline minimum pay rates and conditions of employment for an industry or occupation, and an employment contract can't provide for less than the award or the NES.

Source: Fair Work Ombudsman: About employment contracts (retrieved 6 October 2026)

Where the Fair Work Ombudsman points employers

To find the right award use the Find my award tool. To find out whether an enterprise agreement applies, check the Fair Work Commission website.

Source: Fair Work Ombudsman: Hiring employees (retrieved 6 October 2026)

Award minimum: registered nurse level 1

Registered nurse level 1, pay point 1: $1,219.50 a week ($32.09 an hour) (Nurses Award 2020, clause 15.1(c)(i), pay period commencing 1 July 2026). This is the award minimum, not an average or a going rate. Check Fair Work for the latest rates.

Source: Fair Work Ombudsman: Nurses Award 2020 [MA000034] (retrieved 6 October 2026)

Award minimum: hospitality cook (tradesperson) grade 3

Hospitality Industry (General) Award, level 4: $1,119.10 a week ($29.45 an hour) (Hospitality Industry (General) Award 2020, clause 18.1, pay period commencing 1 July 2026). This is the award minimum, not an average or a going rate. Check Fair Work for the latest rates.

Source: Fair Work Ombudsman: Hospitality Industry (General) Award 2020 [MA000009] (retrieved 6 October 2026)

What you need to know

What is a modern award?

Awards are legal documents made by the Fair Work Commission, the national workplace relations tribunal. They outline the minimum pay rates and conditions of employment for an industry or a type of job and can cover many different businesses and employees. An award can apply to an employee in addition to an employment contract. If the two differ, the contract cannot give the employee less than the award or the National Employment Standards.

How does an award differ from an enterprise agreement?

An enterprise agreement is a registered document between an employer and its employees, approved by the Fair Work Commission. Where an agreement applies, the Fair Work Ombudsman tells you to check the agreement for the minimum pay rates, not the award. The agreement still has to leave employees better off overall than the award would. If you are unsure which applies, ask the Fair Work Ombudsman or seek legal advice, because the answer changes the rate you must pay.

How do you find the right award?

Start with the Fair Work Ombudsman's Find my award tool, which asks about the industry and the work the employee does. Then use the Pay and Conditions Tool to get the minimum rates, penalties and allowances, or download the pay guide for the award. Classification matters as much as the award: a role is paid at a level set by its duties, qualifications and experience, not by its job title. Keep a note of the award, the classification and the date you checked.

What do awards cover besides pay?

Awards set minimum pay rates together with penalty rates, allowances and other conditions such as hours, breaks, leave and notice. They work alongside the National Employment Standards, which make up the minimum entitlements for all employees in the national system and cannot be excluded by an award, contract or agreement. The Fair Work Information Statement that you give each new employee summarises the NES and refers to modern awards.

What do current award minimums look like?

The two examples below are read from the Fair Work award text and show how much awards differ by industry. They are the award minimum for one classification each, not an average, a going rate or an offer level. Rates change at each annual wage review, so use the Pay and Conditions Tool for the figure that applies to a specific shift and classification. Our salary guides show more classifications for aged care, nursing, disability support and hospitality.

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FAQ

Frequently asked questions

How many modern awards are there?

The Fair Work Ombudsman keeps a full list of awards. Use the list of awards or the Find my award tool to identify the one that covers your industry and role.

Can I pay more than the award?

Yes. The award sets minimum pay, and employers can pay more. Employees covered by an enterprise agreement are paid under that agreement, which must leave them better off overall than the award.

What if two awards seem to apply?

Classification is based on the work the employee mainly does and the industry of the employer. If it is unclear, ask the Fair Work Ombudsman for help or get legal advice before you set pay.

Do awards apply to casual employees?

Yes. Awards cover casual employees and usually include a casual loading and specific casual conditions. Check the award text or the Pay and Conditions Tool.

Where can I see current award rates?

Use the Fair Work Pay and Conditions Tool or download the pay guide for the award. The CrossNation award rate calculator and salary guides show rates read from the award text with the date they were read.

Does an award apply to a contractor?

Awards apply to employees. Whether someone is an employee or an independent contractor depends on the real nature of the relationship. See the Fair Work Ombudsman's information for independent contractors if you are unsure.