How do I know if I am covered by an award or award-free?

Most employees in the national system are covered by a modern award that matches their industry or occupation. The Fair Work Ombudsman's Pay and Conditions Tool can help you identify the correct award. If no award applies and no enterprise agreement covers you, you are award-free and the national minimum wage is your floor.

Can I be paid less than the national minimum wage if I am under 21?

Yes, if you are award-free and under 21, special national minimum wages apply. For example, a 17-year-old award-free junior is entitled to 57.8% of the adult rate, which is $15.29 per hour (or $19.11 casual). If you are covered by an award, the award's junior rates may differ. Apprentices and trainees have their own rates under the Miscellaneous Award.

Does the superannuation guarantee apply on top of the minimum wage?

Yes. The super guarantee is 12% of ordinary time earnings, paid by the employer on top of the gross wage. This applies to both award-covered and award-free employees, as long as they earn $450 or more in a calendar month (from 1 July 2026, the $450 threshold is removed). The national minimum wage figures quoted are before super.

AFL salary cap and the Australian minimum wage: award coverage vs award-free rates

The national minimum wage from 1 July 2026 is $26.44 per hour or $1,004.90 per week for award-free adults, but most employees are covered by a modern award or enterprise agreement that sets higher rates.

AFL salary cap and Australia's wage floors

The AFL salary cap is a negotiated ceiling on total player payments for each club in the Australian Football League. It is not a legal minimum wage; it is a collective bargaining agreement figure that applies only to professional AFL players. For the vast majority of Australian workers, the relevant pay floor is set by the Fair Work Commission's national minimum wage or by a modern award or enterprise agreement. This guide explains how award coverage differs from award-free rates, and where the AFL salary cap sits in the broader pay landscape.

Award coverage vs award-free

Australia's workplace relations system divides employees into two broad groups: those covered by a modern award (or an enterprise agreement that replaces it) and those who are award-free. The Fair Work Ombudsman states that awards cover many industries and occupations, so it is important to get the right award. If you are covered by an award, the minimum pay rates, penalties, and allowances in that award apply. If you are not covered by any award or registered agreement, you are award-free and the national minimum wage is your floor.

Most private-sector employees are in the national system and are covered by a modern award. However, some state public sector and local government employees, and some Western Australian sole traders and partnerships, may be in the state system and covered by state awards. The key point: award rates are almost always higher than the national minimum wage. The Fair Work Commission's Modern Awards Pay Database provides the calculated minimum rates for each award.

The national minimum wage (award-free)

From 1 July 2026, the national minimum wage for award-free adult employees is $26.44 per hour or $1,004.90 per week based on 38 ordinary hours. Casual employees receive a 25% loading, making the casual rate $33.05 per hour. These figures are set by the Fair Work Commission and apply to employees in the national system who are not covered by an award or agreement. The Fair Work Ombudsman explains and enforces these rates.

It is important to note that not every worker must receive $26.44 per hour. Junior employees (under 21), apprentices, trainees, and employees with a disability may be paid less under the special national minimum wages. For example, an award-free 16-year-old is entitled to 47.3% of the adult rate: $12.51 per hour (casual $15.64). These percentages are set out in the National Minimum Wage Order.

Award rates and the backstop

Modern award minimum wages also increased by 4.75% from the first full pay period on or after 1 July 2026. However, the lowest ongoing classification in any award cannot fall below the national minimum wage of $26.44 per hour or $1,004.90 per week. Some awards have introductory rates for new employees (limited to the first six months), which cannot be less than $25.74 per hour or $978.10 per week. If an award rate is lower than the national minimum, the national minimum becomes the backstop.

Enterprise agreements can set rates above the award or national minimum, but cannot undercut them. The AFL salary cap, by contrast, is a maximum total spend per club, not a minimum. Individual player salaries under the cap are negotiated and are far above any legal minimum.

Junior and supported wage rates

For award-free juniors, the percentages of the adult national minimum wage are as follows:

Under 16: 36.8% ($9.73/h, casual $12.16)
16: 47.3% ($12.51/h, casual $15.64)
17: 57.8% ($15.29/h, casual $19.11)
18: 68.3% ($18.06/h, casual $22.58)
19: 82.5% ($21.82/h, casual $27.28)
20: 97.7% ($25.84/h, casual $32.30)
21 and over: 100% ($26.44/h, casual $33.05)

These rates apply only to award-free employees. If you are covered by an award, the award's junior rates apply instead. Apprentices and trainees have their own rates under the Miscellaneous Award, not the junior percentages.

Superannuation guarantee

All figures mentioned are gross wages before tax. Employers must also pay the superannuation guarantee of 12% on top of ordinary time earnings. This applies to both award-covered and award-free employees. The super contribution is not deducted from the wage; it is an additional payment into a super fund.

For more detail on which minimum wage applies to you, see Which minimum wage applies. For a full list of current rates, see Rate tables.

For the published floors, see the rate tables and how the figures work.