Email link to this page Print this page Reduce font size Increase font size

Allowances, penalty and overtime rates



Allowances

Allowances are additional payments that are made to workers on top of their regular weekly wage for undertaking certain tasks, possessing a particular skill, using their own tools or performing work under adverse conditions.  These extra payments are in addition to any penalty rates paid for working additional hours.

You will often receive an allowance if you:

  • are appointed as first aid officer by your employer
  • carry out supervisory duties such as being in charge or leading hand
  • work at heights or in confined places
  • do work that is excessively dangerous or dirty
  • are required to have uniforms laundered
  • use your own car for work purposes.

There are also various disability and qualification allowances.

Shift work

Shift work is usually separated into early morning, afternoon and late night shifts.

Allowances for shift work range from an additional 10% to 30% on top of your normal salary for the entire shift. 

Check your award or agreement for details.

Penalty rates

Many awards and agreements allow for workers in NSW to work a set number of days within a seven day period. Part of these ordinary hours of work may fall on a Saturday or Sunday or late on certain nights. For instance if you work as a hairdresser or at a restaurant, your normal hours may include weekend or late night work.

If you work a late shift, work on a Saturday or Sunday, or a public holiday you will usually be entitled to additional money or penalty rate. This could be anything from an additional 15% of your salary per hour to 30%. The amount of the penalty rate will depend on which award or agreement covers your work.

Overtime rates

Overtime rates are paid for work completed outside your ordinary hours of work.

For example, your award or agreement may not include weekends and late night work in your ordinary hours of work. If this is the case and you are required to work at these times, you will usually be entitled to some extra money on top of your usual salary. This will be paid at the overtime rate detailed in your award or agreement.

In some circumstances, part-time and casual workers may be required to work up to the same hours as a full-time worker before overtime is paid.

Overtime rates are often an extra 50% of your usual hourly rate of pay for the first two or three hours and then an additional 100% for any hour after that.

It is important to check your award or agreement for the conditions of overtime and penalty rates for your job as these conditions can differ between different types of work.

You may be able to take time off in lieu (instead of receiving penalty or overtime payments) for extra time worked. Once again, check your award or agreement to see if this applies to you.

Email link to this page Print this page Reduce font size Increase font size