Hair and Beauty Industry Award 2010 Increased weekend penalty rates for casuals

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Posted February 1, 2022

On 7 October 2021, the Fair Work Commission (Commission) decided to amend the terms of the Hair and Beauty Industry Award 2010 (Hair and Beauty Award) to insert phase-in arrangements for increases in weekend penalty rates for casuals.

HABA Members can download the new weekend penalty rates for casuals from the members section of the website.

The award variation follows the major Penalty Rates Decision in 2017 in which the Commission decided that casual loadings and weekend penalty rates are separate and distinct forms of compensation. Subsequently, in 2020 a Full Bench of the Commission expressed the view that the current weekend penalty rates for casuals under the Hair and Beauty Award do not reflect the findings of the Commission in the 2017 Penalty Rates Decision because casuals under the Award are paid the same rate as other employees for weekend work.

In proceedings over the past two years, the Commission reviewed the weekend penalty rates for casuals under the Hair and Beauty Industry Award. Hair and Beauty Australia (HABA) represented the hair and beauty industry in the case through Ai Group Workplace Lawyers.

Ultimately, the Commission determined that, consistent with its earlier decisions, casual employees in the hair and beauty industry should be paid a 25% casual loading on top of the weekend penalty rates that apply to other employees.

Importantly, however, the Commission endorsed an agreement reached between HABA and relevant unions to phase-in the increases over the period up to 31 December 2023, with the first instalment operative from the end of January next year. The Commission accepted HABA’s submissions that hair and beauty businesses are currently facing major challenges as a result of the pandemic and therefore the increased penalty rates need to be phased-in over a lengthy period with no increases operative before 2022.

What variations have been made to the Award?

The variations are set out in the attached wage advice. For all ordinary hours worked by a casual employee on a Saturday within the spread of hours specified in clause 28.2(a), the penalty rates that will apply are:

Date	Saturday penalty rate
	% of ordinary hourly rate for a full-time employee
3 November 2021 to 30 January 2022	133%
31 January 2022 to 29 April 2022	138%
30 April 2022 to 30 December 2022	143%
31 December 2022 to 29 April 2023	148%
30 April 2023 to 30 December 2023	153%
From 31 December 2023	158%

For all ordinary and overtime hours worked by a casual employee on a Sunday, the penalty rates that will apply are:

Date	Saturday penalty rate
	% of ordinary hourly rate for a full-time employee
3 November 2021 to 30 January 2022	200%
31 January 2022 to 29 April 2022	205%
30 April 2022 to 30 December 2022	210%
31 December 2022 to 29 April 2023	215%
30 April 2023 to 30 December 2023	220%
From 31 December 2023	225%

What is the operative date?

The first increase in weekend penalty rates for casuals takes effect on 31 January 2022, with subsequent increases on 30 April 2022, 31 December 2022, 30 April 2023 and 31 December 2023.

Do you require further advice?

For more information or assistance, please contact the HABA Advice Line on 02 9221 9911 between 8:30am and 5:30pm (AEST), Monday to Friday.