In addition to the glossary term below, ACXPA Members also have access to a range of additional resources, including our Member Symposiums & Video Library, premium resources to download, exclusive industry insights & data, discounted training courses and lots more!
Penalty Rates
Penalty Rates in Australia are special rates of pay that some employees are entitled to if they work weekends, public holidays, late nights or early mornings to compensate them for working hours that aren’t considered ‘normal’.
Given the varied nature of contact centres supporting a whole range of industries, there really is no such thing as a ‘normal’ shift with contact centre employees quite often working standard day shifts, afternoon shifts, nightshifts and pretty much every combination of them all!
The history of penalty rates in Australia
Penalty rates were first introduced to Australia in 1947.
The move was encouraged by various unions and state regulatory bodies, who argued that employees deserved a higher pay rate when asked to work outside what was considered normal hours (e.g. 9 am to 5 pm).
The working landscape has changed considerably since then with flexible working arrangements, changing consumer habits (e.g. retail stores open longer) and of course, the impact of COVID.
However, penalty rates remained firmly fixed within Australian society and are seen as a vital form of compensation for employees who work on weekends, public holidays or outside normal working hours.
How much are the penalty rates in Australia?
The applicable penalty rate is typically determined by the employment award or agreement you are under.
Contact Centre employees, for example, are covered by the Contract Call Centre Award however, that may not be applicable to your particular workplace, so it always pays to check with your Human Resources (HR) team or contact the FairWork Ombudsman for more information.
Check here for a list of all the different awards >
For non-designated shift workers, the following penalty rates are applied:
- Normal shift – 100%
- Working outside your normal spread of hours – 125%
- Saturday – 125%
- Sunday 7 am to 7 pm – 150%
- Sunday 12 am to 7 am and 7 pm to 12 am – 175%
- Public Holiday – 250%
For designated shift workers:
- Ordinary hours – 100%
- Afternoon and Night shift – 115%
- Permanent night shift – 130%
- Public Holiday – 200%
Other useful Links:
- View other related Glossary Terms:
- Read: 2024 Australian Contact Centre Salaries – what everyone is getting paid!
- Visit: FairWork Ombudsman
CX Roundtables - Upcoming Guest
Live and interactive sessions for customer experience professionals in Australia.
Contact Centre Manager Roundtables - Upcoming Guest
Live and interactive sessions for contact centre professionals in Australia.
Next Members Symposium Livestream: Tuesday, 21st May, 2024, 13:30 AEST
The Members Symposium sessions are only available to ACXPA Members!
ACXPA Members can watch the symposium live, and, can watch any of the sessions at any time in their Video Library.
Preview of upcoming Symposium Sessions:
IVR Best Practice
Over 90% of contact centres are using an IVR (Press 1 for this, press 2 for that), and we've encountered many contact centres with over four layers of options for customers to select from. In this session, Nadine will be sharing some best practice tips on IVR design for 2024.
Presented by Nadine Power, Chief Product Officer, Datagamz (and ACXPA National Advisory Board Member)
Tips to Boost Engagement on Calls
Of the five quality competencies we assess as part of the Australian Call Centre Rankings, the 'ENGAGE' competency from the Australian Contact Centre Quality Standards has consistently been at the bottom of the rankings throughout 2023 and into 2024.
In this session, Simon will provide some tips that can be shared with agents on how to increase engagement with customers at the start of calls.
Presented by Simon Blair, General Manager Quality Insights, ACXPA
More sessions announced soon!
(If you're interested in speaking at one of our events, click here to learn more >)
