Casual loading

Casual loading is typically 25% on top of the applicable hourly rate because casual employees do not receive paid annual leave and other entitlements that permanent staff get.

From the Fair Work frame in force with the 1 July 2026 national minimum wage: award/agreement-free casuals receive 25% on the national minimum wage or modern award rate, whichever applies; award-covered casuals receive 25% on the award rate. Most hourly employees sit on a modern award above the national floor.

Casual loading is ordinary-time earnings for superannuation. It is not overtime, not a penalty rate for Saturday night, and not a substitute for getting classification right. Sham contracting — treating someone as a contractor to avoid casual employment — remains a Fair Work risk.

Also called: no direct US, UK, or Canadian equivalent. Related: penalty rates, overtime, national minimum wage, casual workers.