Vehicle Repair, Services and Retail Award

If you operate in the vehicle industry in Australia, whether a mechanical or panel repair shop, a service station, a roadside or rental operator, or a dealer selling vehicles, parts or accessories, and you employ staff who are not otherwise award-free, the Vehicle Repair, Services and Retail Award 2020 (MA000089) is generally the relevant award. Some work, such as clerical roles or general retailing outside the vehicle industry, may fall under a different award. Confirm coverage for each role against the Fair Work source before setting pay and conditions.

First identify the right part of the industry - repair and trade, service station and general, vehicle sales, or stores - then match the employee to the level within that structure that reflects the work they actually perform, using the award's classification definitions. A qualified mechanic or panel beater sits higher than an entry-level service hand. Title alone is not enough; assess the real duties and qualifications, then read the current minimum rate for that level from the Fair Work Pay Calculator.

Vehicle salespersons can be engaged on a base rate plus commission, but the award sets minimum guarantees, so commission arrangements cannot leave a salesperson below the relevant minimum or strip out penalty, overtime and leave entitlements. The way the base, commission and guarantee fit together is governed by the award. Set up any commission arrangement in writing and confirm how it interacts with the minimum rate and entitlements against the Fair Work source.

Casual employees in the vehicle industry are paid an hourly rate plus a casual loading, which is commonly 25% across modern awards, in place of the paid leave and other entitlements casuals do not receive. The loading can combine with weekend and public holiday penalties, so it is not always a simple add-on. Treat 25% as a guide and confirm the exact loading and how it interacts with penalties for this award on the Fair Work source before running pay.

Ordinary hours worked on Saturdays and Sundays attract penalty rates under the award, which matters for service stations and dealerships that trade across the weekend. As a guide, Saturday loadings are commonly around 25% and Sunday around 50%, but MA000089 sets its own figures, which can differ by classification and for casuals. 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, which across awards 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 under the National Employment Standards. Because service stations often trade on holidays, confirm the current public holiday entitlement for MA000089 against the Fair Work source before running that pay period.

Overtime applies when an employee works beyond the ordinary hours set by the award, such as exceeding daily or weekly limits or working outside the spread of ordinary hours. Overtime is paid at penalty rates that step up after the first couple of hours, with higher rates on Sundays and public holidays. For roadside or service station rosters this can arise regularly, so identify the overtime hours and confirm the applicable rate on the Fair Work source.

Yes. Part-time employees work fewer than full-time hours on a reasonably predictable pattern, and the award requires a written agreement setting out the agreed hours, days and times, with any changes also agreed in writing. Part-timers receive pro-rata leave and the same minimum rates as full-timers for their classification. This is common across service stations and parts counters; check the part-time provisions in the award for the full requirements.

The vehicle industry trains apprentice mechanics, panel beaters and painters, and the award sets apprentice rates as a percentage of the relevant tradesperson rate, rising as the apprentice progresses through the stages of the apprenticeship. There may also be junior rates for some non-apprentice roles such as service station work. Because the underlying rate changes each year, apply the correct percentage to the current figure and confirm it on the Fair Work Pay Calculator rather than relying on memory.

The award provides allowances relevant to vehicle work, which can include a leading hand allowance for those in charge of others, a first aid allowance for designated first aiders, an allowance for drivers who handle money, and allowances for work in confined spaces, dirty work, and hot or wet places. Which apply depends on the role and conditions, and they sit on top of the base rate. Identify the relevant allowances for each employee and confirm current amounts on the Fair Work Pay Calculator.

Annual leave loading is an extra payment on top of base pay when an employee takes 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 paid annual leave. Casuals do not accrue annual leave. For commission-paid salespeople, how leave is calculated can be more involved, so apply the loading when processing leave payments and confirm the calculation against the Fair Work source.

Minimum rates, apprentice 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 that pay period, not the calendar date, and because allowances and salesperson commission guarantees build on the base rate, refresh every figure from the Fair Work Pay Calculator each year.

The risks with MA000089 sit in the detail: the right stream and classification across repair, service station and sales, commission arrangements that still meet the minimum guarantee, apprentice progression, the industry allowances, weekend penalties, and figures refreshed every July. Anchor every figure to the Fair Work Pay Calculator and review pay each 1 July, keeping accurate records of hours and commission. Valont runs award-compliant payroll for vehicle industry employers, mapping classifications, allowances, penalties and commission guarantees so the right amount is paid every cycle.

General and heavy-vehicle manufacturing is the Manufacturing Award; vehicle repair, service and retail is this award.