It was announced early in October that the weekend penalty rates for casual employees under the Hair and Beauty Award are set to increase. The Fair Work Commission has now confirmed that the increases will commence from 31 January 2022 and will occur over 5 instalments. The last instalment will be on 31 December 2023.
Currently, casual employees receive the same amount as part-time and full-time employees when they are required to work on a weekend. To take into consideration the various entitlements casuals do not receive (e.g. paid leave or notice) the Commission took the view that the weekend rates should be raised by an additional 25% for casuals.
What does the Hair and Beauty Award currently say?
The Award currently states as follows:
‘31.2 Overtime and penalty rates
[…]
(c) Saturday work
A loading of 33% will apply for ordinary hours of work for full-time, part-time and casual employees within the span of hours on a Saturday.
(d) Sunday work
A 100% loading will apply for all hours of work for full-time, part-time and casual employees on a Sunday.’
What is going to change?
An extra 25% will be added to the weekend penalty rates for casual employees by deleting the above clauses and replacing them with the following:
‘(c) Saturday work
(i) a loading of 33% will apply for ordinary hours of work for full-time and part-time employees within the span of hours on a Saturday.
(ii) subject to clause 31.2(e)(i), a loading of 58% (including casual loading) will apply for ordinary hours of work for casual employees within the span of hours on a Saturday.
(d) Sunday work
(i) a loading of 100% will apply for all hours of work for full-time and part-time employees on a Sunday.
(ii) subject to clause 31.2(e)(ii), a 125% (including casual loading) will apply for all hours of work for casual employees on a Sunday.’
However, the increases won’t happen automatically, they will be brought in gradually over time, as explained further below.
Saturday Penalty Rates
From 31 January 2022 casual employees will receive a 138% penalty rate for the ordinary hours worked on a Saturday (including casual loading).
The Saturday penalty rates will then be increased by the following schedule:
| Date | Saturday penalty rate |
| Currently until 30 January 2022 | 133% |
| 31 January 2022 to 29 April 2022 | 138% |
| 30 April 2022 to 30 December 2022 | 143% |
| 31 December 2022 to 29 April 2023 | 148% |
| 30 April 2023 to 30 December 2023 | 153% |
| From 31 December 2023 | 158% |
Sunday penalty rates
From 31 January 2022 casual employees who work either ordinary or overtime hours on a Sunday will receive a penalty rate of 205% of the ordinary rate (including casual loading).
The rates will then increase via the following increments:
| Date | Sunday penalty rate |
| Currently until 30 January 2022 | 200% |
| 31 January 2022 to 29 April 2022 | 205% |
| 30 April 2022 to 30 December 2022 | 210% |
| 31 December 2022 to 29 April 2023 | 215% |
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Disclaimer
The information provided in these blog articles is general in nature and is not intended to substitute for professional advice. If you are unsure about how this information applies to your specific situation we recommend you contact Employment Innovations for advice.
This article was originally published on 15 September 2021; updates have been made following the decisions of the Fair Work Commission. Last updated on 10 November 2021.