From 1 January 2010, modern awards cover most workplaces. Modern awards were created to establish one set of minimum conditions for employers and employees across Australia who work in the same industries or occupations.
Modern awards, together with the National Employment Standards (NES) and the national minimum wage orders made by Fair Work Australia, make up the safety net for employees covered by the national workplace relations system.
Important! There are significant changes to pay under modern awards that you must be aware of.
Who’s covered by a modern award?
Modern awards cover most employers and employees in the national workplace relations system.
Modern awards are industry or occupation-based, and cover all employers and employees who perform work covered by a particular modern award.
Who’s not covered by a modern award?
Modern awards do not cover employees who are paid a guaranteed amount of $113,800 p.a. (during the year ended 30 June 2011 – indexed annually). Many managers and higher income employees may also not be covered by a modern award - even if there is a relevant modern award for their industry.
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How are agreements affected by modern awards?
Many businesses have an agreement that covers their employees. Modern awards do not apply to an employer and employee while they have an agreement in place.
However the base rate of pay under an agreement must not be less than the base rate of pay under the relevant modern award. If there is no modern award that covers the employees the agreement rate must be at least equal to the national minimum wage. Terms in a modern award about outworker conditions will also apply to parties covered by an agreement.
Agreements also operate alongside the NES on a ‘no detriment’ basis. This means that, employees must receive at least the minimum conditions in the NES (to the extent that they apply), along with the entitlements in their agreement (provided that they are at least as beneficial as the corresponding NES entitlement(s)).
If the agreement is terminated then the employee’s minimum entitlements will come from the modern award that covers the work that they perform. If there is no modern award, then the employee will be covered by their relevant pre-modern award or the national minimum wage.
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What’s in a modern award?
Modern awards can contain terms relating to:
- base rates of pay, including piecework rates
- types of employment (eg. full-time, part-time, casual)
- overtime and penalty rates
- work arrangements (eg. rosters, variations to working hours)
- annualised wage or salary arrangements
- allowances (eg. travel allowances)
- leave, leave loading and taking leave
- superannuation
- procedures for consultation, representation and dispute settlement
- outworkers
- an industry-specific redundancy scheme.
In addition, they must also have a flexibility term, which means employers and employees are able to negotiate changes to meet their individual needs relating to issues specified in the flexibility term.
Modern awards must also include a procedure for settling disputes about matters covered by the award or the NES.
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Which modern award (or other arrangement) am I covered by?
The 122 Modern awards replace thousands of federal and state based awards, so finding your modern award can be complex. It will depend on factors including the relevant job type and duties, any exclusions that apply in the modern award and what your previous federal or state award (pre-modern award) was.
Award Finder
You can use the Fair Work Ombudsman’s Award Finder tool to search for the modern award you’re covered by from 1 January 2010.
You can also use Award Finder to search for the pre-modern award that applied before 1 January 2010. If you know the pre-modern award you’re covered by, but you’re not sure which modern award applies to you, Award Finder will help you locate the right information.
Award Finder also provides information for state reference employers and employees covered by Division 2B State awards and enterprise awards.
Fair Work Australia Draft Awards Audit spreadsheet
Fair Work Australia (FWA) has also published a list of federal and state awards (pre-modern awards) and identified for each the most appropriate modern award that may now apply. If you know the name of your pre-modern award, then you can use the 
FWA Draft Awards Audit spreadsheet - 534KB to help you find the modern award that may apply to you.
The Draft Awards Audit spreadsheet has different tabs allowing you to search either by pre-modern award or by modern award. Each tab lists the awards alphabetically. You can also search for a specific award within the spreadsheet by selecting ‘Edit’, then ‘Find’ and typing in a key word for that award.
Important! The translation of these pre-modern awards to a relevant modern award is indicative only and the coverage clause, classifications and any exclusions contained in the modern award will determine which modern award applies.
Find what you're covered by:
You'll need to know some basic details about your award to find it.
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I’m an employer, what if I get something wrong?
The Fair Work Ombudsman can provide you with information, education and advice about your obligations. The Fair Work Ombudsman can help you determine correct entitlements under a modern award and assist you in complying with workplace laws.
However, under the Fair Work Act 2009, penalties of up to $6600 for an individual and $33 000 for a corporation may apply to a breach of a term of a modern award or the National Employment Standards (NES).
Where can I get further information?
For further information on modern awards or other rights and obligations under the national workplace relations system, contact the Fair Work Infoline on 13 13 94 or chat online with our 
Live help advisor.
For information on the award modernisation process, contact Fair Work Australia on 1300 799 675.
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