Mechanic Salary in Australia: Award Rates vs Award-Free Minimums
The minimum salary for a qualified mechanic covered by the Vehicle Repair, Services and Retail Award is $28.12 per hour (plus 12% super) from 1 July 2026, which is above the national minimum wage of $26.44 per hour.
What is the mechanic salary in Australia?
The term "mechanic salary" can mean different things depending on whether the mechanic is covered by a modern award, an enterprise agreement, or is award-free. For most mechanics working in vehicle repair, services, and retail, the Vehicle Repair, Services and Retail Award (the Vehicle Award) sets the minimum pay rates. This guide explains the legal minimums, award rates, and how they compare to the national minimum wage.
The legal minimum for mechanics: award coverage
The Fair Work Commission's Modern Awards Pay Database includes the Vehicle Award. For a qualified tradesperson (Vehicle industry RS&R tradesperson), the minimum weekly rate from the first full pay period on or after 1 July 2026 is $1,068.40, which equates to $28.12 per hour for a 38-hour week. This is higher than the national minimum wage of $26.44 per hour. The award also specifies penalty rates, allowances, and overtime. For example, Saturday work attracts time-and-a-half, and Sunday work double time. Casual employees receive a 25% loading on top of the hourly rate, making the casual rate $35.15 per hour.
It is important to note that the award rate is the minimum. An enterprise agreement or individual flexibility arrangement can set a higher rate, but not lower.
Award-free mechanics: the national minimum wage
If a mechanic is not covered by any award or registered agreement, the national minimum wage applies. As of 1 July 2026, that is $26.44 per hour or $1,004.90 per week for a 38-hour week. However, junior employees (under 21) can be paid a percentage of the adult rate. For example, a 20-year-old award-free mechanic would be entitled to 97.7% of the adult rate, or $25.84 per hour. Apprentice and trainee rates for award-free employees follow the Miscellaneous Award.
The Fair Work Ombudsman provides tools to check which award applies. Most mechanics in the private sector are covered by the Vehicle Award, so the award-free scenario is less common.
Survey averages and negotiated salaries
The Australian Bureau of Statistics (ABS) reported that in May 2026, average weekly total earnings for all employees was $1,579.20. This figure includes overtime, bonuses, and all industries. A mechanic's actual salary may be higher than the award rate due to experience, specialisation, or enterprise agreements. For example, a mechanic working for a large dealership may have a salary negotiated above the award. However, the ABS does not publish a specific "mechanic salary" figure. The award rate provides a reliable floor.
Superannuation
All the pay rates mentioned are before tax. Employers must also pay superannuation guarantee contributions on top of ordinary time earnings. From 1 July 2026, the super guarantee rate is 12%. So for a mechanic earning the award rate of $28.12 per hour, the employer pays an additional $3.37 per hour into the employee's super fund.
For more information on how minimum wages are calculated, see our How the figures work page. You can also explore Rate tables for other occupations.
Conclusion
When researching a "mechanic salary" in Australia, the most relevant figure is the Vehicle Award rate for a qualified tradesperson: $28.12 per hour (plus 12% super). This is the legal minimum for most mechanics. Award-free mechanics are entitled to the national minimum wage, but that is lower. Always check the applicable award or agreement.
Questions people ask next
What is the minimum wage for a mechanic in Australia?
For most mechanics covered by the Vehicle Repair, Services and Retail Award, the minimum wage for a qualified tradesperson is $28.12 per hour (or $1,068.40 per week) from 1 July 2026. This is higher than the national minimum wage of $26.44 per hour. Award-free mechanics are entitled to the national minimum wage, but junior and apprentice rates may apply.
Are mechanics covered by an award?
Yes, most mechanics working in vehicle repair, services, and retail are covered by the Vehicle Repair, Services and Retail Award. The Fair Work Ombudsman provides a Pay and Conditions Tool to confirm coverage. If an enterprise agreement applies, it may set higher rates.
Can a mechanic be paid less than the award rate?
No. The award rate is the legal minimum. An employer cannot pay less unless a valid individual flexibility arrangement or enterprise agreement allows a different arrangement, but it cannot undercut the award. Junior, apprentice, or supported wage rates may be lower, but they are specified in the award or the Fair Work Act.
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