We know several awards that include the following statement within the guidelines for casual payees. Please review your Award to confirm if this clause is included.
Also, review your award to confirm whether all-purpose allowances are required.
Where this award refers to a penalty rate, overtime rate or shift loading as being calculated as a percentage of the ordinary hourly rate, that reference will (for a casual employee) instead be taken to be a reference to the casual ordinary hourly rate if the entitlement is applicable to a casual employee.
Based on this guidance, we have found that the Casual Loading (OTE) and/or the Casual Loading Pay Rates need to be copied, and the % of the Rate Per Hour needs to be changed to ensure the Payee is paid correctly.
As an example, under the Manufacturing and Associated Industries and Occupations Award 2020 [MA000010]. The percentage set in the Casual Loading (OTE) and/or the Casual Loading Pay Rates must be changed to;
- 28.75% when the Payee is paid 115% of the hourly rate. (Less than 10-hour break between shifts).
- 31.25% when the Payee is paid 125% of the hourly rate. (Ship trials at the wharf - technical field).
- 32.50% when the Payee is paid 130% of the hourly rate. (Permanent night shift).
- 37.50% when the Payee is paid 150% of the hourly rate. (Saturday - shift worker).
- 41.25% when the Payee is paid 165% of the hourly rate. (Working through a meal break - employee entitled to 15% loading (afternoon and night shift).
- 45.00% when the Payee is paid 180% of the hourly rate. (Working through a meal break - employee entitled to 30% loading (night shift).
- 50.00% when the Payee is paid 200% of the hourly rate. (Sunday - shift worker).
- 62.50% when the Payee is paid 250% of the hourly rate. (Public holiday - noncontinuous shift worker).
To manually calculate the relevant percentage for certain pay types which will be used for Casual Payees, you will need to;
- Calculate 25% of the full-time rate.
- Multiply the result of the above by the required factor (e.g. 150%).
- Access the Percentage Calculator and enter the calculated amount and full-time rate into the second line.
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E.g., 8.47 is what per cent of 22.61 = 37.46%.
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