Most agricultural jobs are covered by a state or federal award, so it’s important to know which applies to your farm.

Since 1 January 2010, all states and territories except Western Australia have joined the federal industrial relations system, making employers in those states national system employers. As a result, state industrial relations laws no longer apply to the private sector in those states. For more information visit State Industrial Laws.

 

Modern federal awards

 

In 2010, all federal awards were modernised into industry-based awards. In farming, around 40 awards were consolidated into the Pastoral Award 2010 and the Horticulture Award 2010. On 6 November 2020, the Pastoral Award 2020 replaced the 2010 award.

The Pastoral Award 2020 applies to all national system employers across Australia, including those that were previously covered by a different award or were award free (such as dairy farms in Queensland). The start date for coverage depends on your business structure and award status as of 1 January 2010:

• Companies or trusts with a company trustee – covered by the Pastoral Award 2010 from 1 January 2010, regardless of previous award coverage.
• Sole traders, partnerships, or non-company trusts that were award free – covered from 1 January 2010.
• Sole traders, partnerships, or non-company trusts previously covered by a state award – the state award continued until the end of the first full pay period before 1 February 2011, after which the Pastoral Award 2010 applied.
• Businesses covered by the federal Pastoral Industry Award 1998 as transitional employers – covered by the Pastoral Award 2010 from 1 January 2010.

For dairy farmers, the Pastoral Award 2020 retains the hours-of-work provision from the 1998 award, allowing 152 hours over four weeks for full-time and casual employees before overtime applies.

Western Australia: Non-national system employers (such as sole traders and partnerships) remain under the WA state industrial relations system and are not covered by the Pastoral Award 2020. Only companies in WA fall under the federal system and are covered by the award. The Farm Employees Award 1985 applies to most farming work in WA but does not cover dairy farming. As a result, WA dairy farmers who were previously covered by the Pastoral Industry Award 1998 became award-free after 26 March 2011. While that award no longer applies, it may still be relevant for calculating entitlements like sick leave and long service leave that accrued before that date. For further detail, refer to WA state industrial laws.

 

State awards

 

In all states except Western Australia, state awards applied only in a limited way from 1 January 2010. If your business was a sole trader, partnership or trust without a company trustee and was covered by a state award, that award continued during a transitional period until 1 February 2011, after which the Pastoral Award 2010 applied. This award was later replaced by the Pastoral Award 2020 on 6 November 2020.

In Western Australia, non-national system dairy farmers are award-free because the WA Farm Employees Award does not cover the dairy industry. However, state minimum employment conditions still apply.

It is the employer’s responsibility to ensure that both they and their employees understand which award, if any, applies to the job. State farming organisations can provide guidance on award coverage.

 

No award or agreement?

 

If a job is not covered by an award, you should still have a written common law employment contract outlining the terms and conditions of employment.

Federal industrial laws, and state laws in WA, set minimum employment standards that apply where no award exists. These include minimum pay, annual leave, sick leave, and other leave entitlements. (See the National Employment Standards and State Industrial Laws for more information.)

It’s advisable to seek help from your state farming organisation or a legal adviser when drafting contracts.

Award-free employees should still receive rest breaks as part of workplace health and safety obligations. It is recommended to apply award-standard breaks even where no award applies.