Passenger Vehicle Transportation Award

If your business in Australia transports passengers by road - operating buses, coaches, taxis, hire cars or charter vehicles - and you employ drivers or associated staff who are not otherwise award-free, the Passenger Vehicle Transportation Award 2020 (MA000063) generally applies. Road freight, rail and air passenger transport fall under other instruments. Confirm coverage for your operation and roles against the Fair Work source before setting pay and conditions.

Match the driver to the level that reflects the vehicle they operate and the work they actually do, using the classification definitions in the award, which take into account vehicle type and responsibilities. A coach or large-bus driver may sit above a smaller-vehicle driver. Title alone is not enough; assess the real duties and vehicle class. Once you have the correct level, look up its current minimum rate on the Fair Work Pay Calculator.

Casual employees are paid an hourly rate plus a casual loading, which is commonly 25% across modern awards, in place of the paid leave and notice entitlements casuals do not receive. The loading applies on top of the minimum rate for their classification, and weekend penalties can apply as well for casual shifts. Treat 25% as a guide only and confirm the exact casual loading for this award on the Fair Work source before running pay.

Ordinary hours worked on Saturdays and Sundays attract penalty rates under MA000063. As a guide, Saturday loadings are commonly around 25% and Sunday around 50%, though the award sets its own figures and casuals are treated differently. Weekend bus, charter and taxi services need to apply these correctly. Always confirm the current Saturday and Sunday rates for your employee type on the Fair Work Pay Calculator before processing pay.

Work on a public holiday is paid at a significant premium under the award, which can reach up to 150% of the minimum rate, and a minimum engagement may apply. Employees who would normally work that day but do not because it is a public holiday are generally entitled to their ordinary pay. Check the current public holiday entitlement, including arrangements for staff who do not work the day, against the Fair Work source.

Because passenger demand peaks at the start and end of the day, drivers often work a divided shift with a gap in the middle. The award sets limits on how shifts may be split and the total spread of hours, and provides for the gap between the two portions to be paid. Roster within those limits and pay the divided shift correctly. Confirm the current divided-shift and spread provisions for this award on the Fair Work source.

Overtime generally applies when a driver works beyond the ordinary hours set by the award, such as exceeding daily or weekly limits or working outside the agreed spread. Overtime is paid at penalty rates that step up after the first couple of hours, with higher rates on Sundays and public holidays. Note that driving-hours limits are a separate safety obligation. For the exact current overtime multipliers, refer to the award and the Fair Work source.

Yes. Part-time employees work fewer than full-time hours on a reasonably predictable pattern, and the award requires the agreed hours, days and times to be recorded in writing at the start, with changes agreed in writing too. Part-timers receive pro-rata leave and the same classification rates as full-timers, and additional hours may attract overtime or penalty treatment. Check the part-time provisions in the award for the full requirements before engaging staff this way.

Heavy-vehicle driving-hours and fatigue laws set the legal maximums for how long a driver may drive and the rest they must take, and they apply alongside, not instead of, the award. The award governs ordinary hours, breaks, overtime and penalties for pay purposes. You must comply with both, and reaching a legal driving limit does not extinguish award entitlements such as overtime. Confirm the pay-related provisions on the Fair Work source.

The award provides for allowances depending on the work, which can include a first aid allowance, a meal allowance for qualifying overtime, overnight or away-from-home allowances for charter and long-distance work, and vehicle or travel allowances. The amounts change with the annual review, so look up the current figures on the Fair Work Pay Calculator rather than relying on remembered values, and check which apply to each role.

Annual leave loading is an extra payment on top of base pay when an employee takes paid annual leave. Under this award it is 17.5% of the minimum rate of pay, and it applies to full-time and part-time employees taking annual leave. Casuals do not accrue annual leave, so the loading does not apply to them. Apply the loading when processing leave payments 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%. To stay compliant you must apply the new rates from that pay period, not the calendar date, so verify the current figures on the Fair Work Pay Calculator each year.

Start by confirming each driver's correct classification by vehicle and duties, then apply the current minimum rate, weekend and public holiday penalties, broken-shift and overtime provisions and any applicable allowances, refreshing all figures from the Fair Work Pay Calculator after each 1 July increase. Keep accurate records of hours, including split shifts, and comply with driving-hours laws as well. Valont's award-compliant payroll service handles this classification, rate and penalty mapping for passenger transport operators so the right amount is paid every cycle.

Road freight and goods transport is the Road Transport and Distribution Award; bus, coach, taxi and charter passenger transport is this award.