Hydrocarbons Industry (Upstream) Award

If your business operates at the upstream end of the oil and gas chain in Australia - exploration, drilling, field development, production, or servicing and decommissioning wells and facilities - and you employ staff in the award's classifications, MA000062 generally applies. It covers onshore rigs, offshore and platform work, and connected on-site services. Downstream activities like refining sit under other awards, so confirm coverage against the Fair Work source before setting pay and conditions.

The award sets minimum rates against classification levels defined by the skills, responsibilities and qualifications each role requires, with the published rates already including an industry allowance. You place each employee at the level matching the work they actually do, then pay at least that minimum. Job title alone is not enough; assess the real duties. Once the level is settled, read the current minimum rate for that classification from the Fair Work Pay Calculator.

Casual employees are paid an hourly rate plus a casual loading in place of paid leave and other permanent entitlements. Across modern awards this loading is commonly 25%, but you should treat that as a guide and confirm the exact figure for MA000062 on the Fair Work source. Casual engagement is less common in upstream operations than permanent roster-cycle employment, so check how casual hours interact with the award's penalty provisions before running pay.

Ordinary hours worked on weekends attract penalty rates on top of the minimum. As a general guide across awards, Saturday penalties commonly run around 25% and Sunday around 50%, but roster-cycle arrangements affect how penalties apply across a swing. You must confirm what MA000062 actually provides for the relevant shift and employment type against the Fair Work Pay Calculator rather than assuming a figure, particularly where hours are averaged over a cycle.

Public holiday entitlements flow from the National Employment Standards and the award. As a guide, public holiday work across awards can attract penalties of up to 150%, and the award's own provisions determine what applies to a given shift and employment type. Roster cycles can complicate which days count, so always verify the public holiday rate, and any arrangement for staff rostered off, for MA000062 on the Fair Work source before processing a pay run that includes a public holiday.

Overtime generally applies to hours worked beyond the ordinary or averaged rostered hours set by the award, or outside the agreed pattern. It is paid at penalty rates that step up after the first hours worked, with higher rates at certain times. Because ordinary hours are often averaged across a roster cycle, identifying the correct overtime threshold takes care. Confirm the applicable overtime rate for MA000062 via the Fair Work Pay Calculator.

Yes. Part-time employees work fewer hours than full-timers on a reasonably predictable basis, and the award requires the agreed pattern of hours to be set out and any changes agreed. Part-timers receive pro-rata leave and the same minimum rates as full-timers for their classification. Part-time arrangements need particular thought where work is roster-cycle based, so check the part-time provisions in the award for the full requirements.

The rates published for MA000062 already incorporate an industry allowance that recognises the conditions of upstream hydrocarbons work, so it is built into the figure rather than added separately. This does not mean every extra is covered - allowances for tools, travel, accommodation and remote or offshore work can still apply. Identify which additional allowances are owed for each role, and confirm the current amounts using the Fair Work Pay Calculator.

Beyond the industry allowance folded into the rates, MA000062 provides for allowances connected to the demands of the work, such as a tool allowance and provisions relating to travel, accommodation and remote or offshore engagement. Because some are paid per week and others by circumstance, they are easy to overlook on a complex roster. Work out which apply to each role and confirm the current figures on the Fair Work source rather than relying on remembered values.

Yes. Annual leave loading is an extra payment on top of base pay when an employee takes paid annual leave, and under this award it is 17.5%. It applies to full-time and part-time employees taking annual leave; casuals do not accrue annual leave. Where shift or roster loadings are involved, the leave calculation can need extra attention. Apply the loading when processing leave and confirm the calculation against the Fair Work source.

Minimum rates and many allowances are reviewed each year in the Fair Work Commission's Annual Wage Review and take effect from the first full pay period on or after 1 July. The 2026 review increased modern award minimums by 4.75%. Apply the new rates from the correct pay period, not the calendar date, and refresh the figures for each classification and allowance from the Fair Work Pay Calculator each year so upstream pay stays compliant.

Upstream rosters often involve travel to remote sites or offshore platforms, with time on site and time off. The award contains provisions dealing with travel, accommodation and the conditions of remote and offshore work, and these interact with how ordinary hours, penalties and allowances are calculated across a swing. Treat each of these as a separate item to get right, and confirm the current entitlements and amounts for MA000062 against the Fair Work source.

The risks with MA000062 sit in the detail: the right classification, averaged ordinary hours across a roster cycle, weekend and overtime penalties, the industry allowance versus the separate travel, accommodation and tool allowances, and rates refreshed every July. The safest approach is to map each roster to the award and anchor every figure to the Fair Work Pay Calculator. Valont runs award-compliant payroll for employers, mapping rosters to the correct classifications, allowances and penalties so figures stay current and accurate.