Pharmaceutical Industry Award

If your business manufactures, produces, packages or wholesales prescription or non-prescription pharmaceutical, medicinal or related products in Australia and employs staff who are not award-free, the Pharmaceutical Industry Award 2020 (MA000069) generally applies. It is a manufacturing and wholesaling award covering production, packaging, warehousing and supporting technical roles, not retail or hospital pharmacies. Confirm coverage against the Fair Work source, as some roles may fall under another manufacturing or storage award.

Match each employee to the level that reflects the work they actually do, using the classification definitions in the award, which describe the skills, training and responsibilities for each grade, from production and packaging operators through to Grade 4 (the top grade in each stream) across the manufacturing and warehouse streams. Title alone is not enough; assess the real duties. 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, commonly 25% across modern awards, in place of paid leave and other entitlements casuals do not receive. On a manufacturing site the loading can interact with shift and weekend arrangements, so treat 25% as a guide only. Confirm the exact current casual loading, and how it combines with shift work, for this award on the Fair Work source before running pay.

Saturday and Sunday work attracts weekend penalties on top of the ordinary rate. As a general guide, Saturday is commonly around 25% and Sunday around 50% across awards, and these can combine with shift loadings on an extended manufacturing roster. The figures MA000069 actually sets depend on the shift and employment type, so confirm the current Saturday and Sunday rates on the Fair Work Pay Calculator before processing pay.

Work on a public holiday is paid at a significant premium, which across awards can reach up to 150% of the ordinary 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. The award's own provisions govern what applies to a given shift, so verify the current public holiday entitlement for MA000069 against the Fair Work source.

Overtime generally applies to hours worked beyond an employee's ordinary or rostered hours, or outside the agreed spread of hours, with the award setting different rates for the first hours and for hours after that, and separate treatment on weekends. Continuous shift work has its own overtime arrangements. Identify which hours count as overtime for each worker, and confirm the applicable overtime rate for this award on the Fair Work Pay Calculator.

Yes. Part-time employees work fewer than full-time hours on a reasonably predictable pattern, and the award requires the agreed hours and days to be set out in writing, with changes also agreed in writing. Part-timers receive pro-rata leave and the same minimum rates as full-timers for their classification. Check the part-time provisions in MA000069 for the full requirements before setting a part-time arrangement.

Junior employees are generally paid a percentage of the relevant adult classification rate that increases with age, and apprentices are paid on a graduated scale that rises through the apprenticeship. The exact percentages depend on age, year of apprenticeship and competency. Rather than rely on a remembered figure, confirm the current junior and apprentice rates for MA000069 on the Fair Work Pay Calculator before setting pay.

The award provides for allowances of the kind common in manufacturing, which may include a first aid officer allowance, a meal allowance for qualifying overtime, and allowances tied to particular conditions, equipment or disabilities of the work. Because some are paid per shift or per occasion, they are easy to overlook. Identify which apply to each role and confirm the current amounts on the Fair Work Pay Calculator rather than relying on past figures.

Annual leave loading is an extra payment on top of base pay when an employee takes paid annual leave, set at 17.5% under this award. It applies to full-time and part-time employees taking annual leave, while casuals do not accrue annual leave. Shift workers may have alternative arrangements where shift loadings would otherwise be higher. 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 verify the current figures for each classification and allowance on the Fair Work Pay Calculator.

Manufacturing awards distinguish continuous shift work, where production runs without interruption across shifts, from non-continuous shift work, and the shift loadings and some entitlements differ between them. Getting this distinction wrong can mean paying the wrong loading or leave arrangement for night and afternoon shifts. Map each roster to the correct category and confirm the applicable loadings for MA000069 on the Fair Work source.

Start by confirming each employee's correct classification, then apply the current minimum rate, the right shift, weekend and public holiday loadings, overtime tiers and any applicable allowances, refreshing every figure from the Fair Work Pay Calculator after each 1 July increase. Accurate time and shift records are essential on a multi-shift site. Valont runs award-compliant payroll for manufacturers, mapping rosters to the correct classifications, loadings and allowances so the right amount is paid every cycle.

Community and hospital pharmacy is the Pharmacy Award; manufacturing and wholesaling pharmaceuticals is this award.