The General Retail Industry Award 2025 is a critical legal framework governing wages, entitlements, and conditions for employees in Australia’s retail sector. This award, updated periodically by the Fair Work Commission, ensures fair treatment of retail employees across supermarkets, clothing stores, electronics outlets, and more.
In this article, we break down the most important updates and provide clarity on how they affect both employers and workers.
What Is the General Retail Industry Award?
The General Retail Industry Award is one of the Modern Awards under Australia’s Fair Work system. It outlines:
- Minimum wages
- Ordinary hours of work
- Penalty rates
- Overtime
- Leave entitlements
- Rostering requirements
It applies to full-time, part-time, and casual employees in retail businesses across Australia.
Key Changes in the 2025 Update
Here are some notable changes introduced in the 2025 version:
1. Minimum Wage Increase
The base rates have been increased by 4.6% to reflect inflation and cost-of-living adjustments. The new weekly wage for a Level 1 retail employee is AUD $923.20.
2. Penalty Rate Adjustments
- Sunday rates increased from 150% to 160%
- Evening work (after 6 pm Monday to Friday) attracts 125%
3. Rostering Flexibility
Employers now have more flexibility in scheduling part-time employees, provided written agreements are in place for variations.
4. Superannuation Contributions
The super guarantee rate is now 11.5%, in line with national increases.
Wage Rates by Classification (Weekly Rates)
| Classification Level | Old Rate (2024) | New Rate (2025) |
|---|---|---|
| Level 1 | $882.50 | $923.20 |
| Level 2 | $910.30 | $952.20 |
| Level 3 | $945.00 | $988.50 |
| Casual Loading | +25% | +25% |
Who Does It Apply To?
The Award applies to employees working in:
- Department stores
- Convenience stores
- Online retail operations
- Homeware and furniture shops
- Fast fashion outlets
Note: Managers and higher-level professionals may fall under different classifications or agreements.
Employer Obligations
Employers must:
- Provide payslips within 1 day of payment
- Keep accurate rosters and payroll records
- Adhere to breaks, overtime, and rest periods
- Ensure Fair Work compliance
Failure to comply can result in penalties and back-pay orders.
Employee Rights and Entitlements
Employees are entitled to:
- Minimum hourly and weekly wages
- Paid annual and personal leave (for non-casuals)
- Rest and meal breaks
- Public holiday pay and penalty rates
Casual workers also receive casual loading to compensate for the lack of paid leave.
Real-World Example
Sophie, a Level 2 part-time employee working at a homewares store, works 24 hours per week, including 4 hours on Sunday and 6 hours in the evening.
Under the 2025 Award:
- Her Sunday hours are paid at 160% of the base hourly rate.
- Evening hours (after 6 pm) are paid at 125%.
- She now earns about $60 more weekly compared to 2024, thanks to the changes.
Historical Comparison
Compared to 2024:
- Wage rates have increased by approximately 4.6%
- Sunday penalty rates rose by 10%
- Superannuation increased by 0.5%
- Greater flexibility for employers to manage part-time rosters legally
Frequently Asked Questions (FAQs)
Q: What is the difference between casual and part-time employment?
A: Casual employees are not guaranteed hours and receive a 25% loading. Part-time employees work regular hours and receive paid leave.
Q: Can an employer change my roster without notice?
A: For part-time staff, changes must be agreed upon in writing unless in an emergency.
Q: How do I report underpayment?
A: You can contact the Fair Work Ombudsman or lodge a complaint online through their website.
Challenges for Employers
While the updates are aimed at fairness, some small and medium-sized businesses may face challenges such as:
- Budget adjustments due to higher wage obligations
- Navigating new rostering rules and documentation
- Staying updated with compliance training
Employers are encouraged to consult HR advisors or Fair Work resources to ensure alignment.
The General Retail Industry Award 2025 ensures that Australia’s retail workers are treated fairly and transparently. Employers should review the new updates to avoid non-compliance, while employees can benefit from improved conditions and pay.
Staying informed helps both parties maintain a productive and legally compliant work environment.
For full award details, visit Fair Work Ombudsman.
