Australian Eastern Standard Time (AEST -UTC+10), Australian Central Standard Time (ACST-UTC+9.5), Australian Western Standard Time (AWST-UTC+8)

Payroll is a key process for all organizations in Australia. The payroll cycle refers to the period for which employees are paid. Employers may choose their preferred pay frequency, provided it complies with legal requirements under the Fair Work Act 2009 (Cth).

Under Section 323 of the Fair Work Act 2009, employees must be paid at least once a month. In Australia, it is common for employees to be paid weekly, fortnightly (every two weeks), or monthly, depending on what is specified in the applicable award, enterprise agreement, or employment contract. Fortnightly payments are the most common practice across most industries, while weekly or monthly pay cycles are also used in certain sectors. There is no specific legal requirement for a bi-monthly pay schedule, and such arrangements are typically determined by company policy or contractual agreement.

A 13th & 14th -month salary is not mandatory in Australia. Employers may choose to provide an additional bonus or annual payment at their discretion, but this is not required under Australian employment law.

• The national minimum wage in Australia is AUD $24.95 per hour or AUD $948.00 per week for full-time employees working 38 hours a week.
• This new rate applies from the first full pay period after 1 July 2025 and represents a 3.5% increase decided by the Fair Work Commission in its 2024–25 annual wage review.
• Employees who are covered by a modern award or enterprise agreement must be paid at least the minimum rate set in that award or agreement, which may be higher than the national minimum wage. 

Overtime in Australia refers to any work performed beyond an employee’s ordinary hours, as defined by the applicable award, enterprise agreement, or employment contract. It generally includes hours worked over the maximum daily or weekly limits, outside the agreed spread of ordinary hours, or beyond the agreed hours for part-time employees.

Whether overtime rates apply depends on the relevant award or agreement, which specifies the ordinary hours, conditions under which overtime can be worked, and the rate to be paid—usually higher than the regular rate. Employers can only require employees to work overtime if the additional hours are reasonable, taking into account factors such as health, safety, fatigue, and personal circumstances.

Employers must retain employee records—covering personal, pay, leave, superannuation, and termination details—for at least seven years under the Fair Work Act 2009. Tax and superannuation records must be kept for five years. Records may be stored electronically or on paper but must remain secure, confidential, and accessible. After the retention period, they should be safely destroyed or deleted. HR or Payroll is responsible for maintaining and disposing of records in compliance with legislation.

• There are no laws mandating hiring preferences for specific groups. However, employers may encourage applications from underrepresented or disadvantaged groups to promote diversity.
• Any restriction of recruitment to a particular group (e.g., based on gender, age, or ethnicity) is only permitted if it qualifies as a lawful special measure or positive discrimination under federal or state anti-discrimination laws.
• Employers must not discriminate in hiring based on protected attributes such as race, sex, sexual orientation, gender identity, age, disability, marital status, pregnancy, religion, political opinion, nationality, social origin, or family and carer’s responsibilities under the Fair Work Act 2009 and other anti-discrimination legislation.

The following documents and details are typically required to complete an employee’s onboarding process in Australia:

• Full legal name
• Residential and postal address
• Personal phone number and email address
• Emergency contact details

• Australian citizens: one of the following
• Australian passport, or
• Australian birth certificate, or
• Australian citizenship certificate
• Non-citizens:
• Valid passport with work visa, or
• Evidence of permanent residency (visa grant notice or ImmiCard)

• Tax File Number (TFN) declaration form (as required by the ATO)
• Superannuation fund details (fund name, member number, and USI)
  • If the employee does not nominate a fund, the employer’s default super fund applies

• Bank account details (account name, BSB, and account number)

• Driver’s licence (if required for role-related duties)
• Medicare card (for identity or health record purposes, if relevant)

A probation period is used to check if a new employee is the right fit for the job. It usually lasts 3 to 6 months, depending on what is written in the employment contract. Employees on probation still receive all basic rights such as pay, leave, and notice. Unfair dismissal rules apply after 6 months for larger employers and 12 months for small businesses. Employment can be ended during probation by giving the required notice.

• New Year's Day
• Australia Day
• Good Friday
• The day following Good Friday
• Easter Sunday
• Easter Monday
• Anzac Day
• Christmas Day
• Boxing Day

The remaining holidays differ from state to state.

• Entitlement: 4 weeks’ paid annual leave per year (5 weeks for certain shift workers).
• Accrual: Leave accrues progressively from the start of employment and during paid leave.
• Cashing Out: Permitted by written agreement if at least 4 weeks’ leave remain.
• Termination: Unused leave is paid out on termination.
• Public Holidays: Separate from annual leave; entitlements vary by state/territory.

• Entitlement: Full-time employees are entitled to 10 days of paid sick and carer’s leave per year. Part-time employees receive this entitlement on a pro-rata basis according to their ordinary hours of work.
• Accrual: Leave accrues progressively throughout the year based on hours worked and carries over from year to year if unused.
• Purpose: Leave may be taken when an employee is unwell or injured, or to care for an immediate family or household member who is sick, injured, or facing an unexpected emergency.
• Notice and Evidence: Notice required as soon as possible; medical certificate or evidence may be requested.

• Under the National Employment Standards (NES), all employees (full-time, part-time, and casual) are entitled to unpaid carer’s leave to care for or support an immediate family or household member experiencing illness, injury, or an unexpected emergency.

• Up to 2 days of unpaid carer’s leave per permissible occasion.
• May be taken as a single continuous period or separate periods (by agreement).
• Applies only when paid personal/carer’s leave is unavailable.
• No annual limit—available as needed for each qualifying event.

• Eligibility: Primary carer of a child with 12 months’ service (includes eligible casuals).
• Entitlement: Up to 12 months unpaid leave, plus an option to request an extra 12 months (max 24 months total).
• Flexible Leave: Part can be taken flexibly within 24 months (100–130 days, depending on child’s birth/adoption date).
• Notice: 10 weeks’ notice before starting leave; 4 weeks for extensions or flexible days.
• Return to Work: Guaranteed return to the same or equivalent position.
• Separate from Paid Parental Leave (government-funded via Services Australia).

• Employees are entitled to 2 days’ compassionate leave per occasion (paid for full-time/part-time; unpaid for casuals) when an immediate family or household member has a life-threatening illness or injury, dies, or in cases of stillbirth or miscarriage.
• Leave may be taken in flexible periods, and employees must notify the employer as soon as practicable. Reasonable evidence (e.g., death certificate or medical certificate) may be required.

• Employees are entitled to 10 days of paid family and domestic violence leave each year, available from their first day of work. The entitlement renews annually and applies nationwide.
• Leave can be used to address the effects of violence, such as ensuring safety, attending court, or accessing police and support services.
• It can be taken during other paid leave, counts as service and hours worked, and is paid at the employee’s full pay rate. Employers may request reasonable evidence.

• All employees (full-time, part-time, and casual) are entitled to community service leave for:
  • Jury service (including jury selection).
  • Voluntary emergency management activities (e.g., firefighting, rescue, disaster response).
  • Other activities as prescribed by law.
• Leave covers the time spent on the activity, reasonable travel time, and rest immediately after.

• Employees must notify the employer as soon as practicable and advise the expected duration. Employers may request reasonable evidence to confirm the purpose.

• Jury service: Paid for up to 10 days for non-casual employees (less any jury pay received).
• Emergency management activities: Unpaid leave.

Long Service Leave (LSL) entitlements in Australia are determined by state and territory legislation. Generally, employees become eligible after 7 to 10 years of continuous service with the same employer, with leave typically ranging from 6 to 13 weeks, depending on the jurisdiction. Pro-rata entitlements may apply after 5 to 7 years if employment ends due to illness, incapacity, domestic necessity, redundancy, or death. LSL is paid at the employee’s ordinary rate of pay and, in most cases, cannot be cashed out except where permitted by specific laws or agreements.

Under the Fair Work Act 2009 (Cth), employers must provide written notice or payment in lieu when terminating employment, except for casuals and certain excluded employees. The required notice period depends on the employee’s length of continuous service:

• 1 year or less – 1 week
• More than 1 year and up to 3 years – 2 weeks
• More than 3 years and up to 5 years – 3 weeks
• More than 5 years – 4 weeks

Employees aged 45 years or older with at least 2 years of service – add 1 extra week

Employees must receive their full pay rate during the notice period, or employers may pay in lieu of notice. No notice is required for casual, fixed-term, or seasonal employees, or in cases of serious misconduct. Notice must be given in writing, either personally, by post, or electronically with the employee’s consent.

Employees are entitled to redundancy pay when their job is no longer required, except where exclusions apply (e.g. small business employers, employees with <12 months’ service, casuals, fixed-term contracts, or serious misconduct)

• Employment in Australia is permitted only for Australian citizens or non-citizens holding a visa that allows work. Employers are required to verify a visa holder’s work rights through the Visa Entitlement Verification Online (VEVO) system. All workers, regardless of nationality or visa type, are covered by Australian workplace laws, including minimum pay, leave entitlements, and workplace protections.
• Visa conditions may specify restrictions such as the type of work, employer, occupation, or hours permitted.

• Temporary Skill Shortage (Subclass 482) – Allows an approved Australian employer to sponsor a skilled worker for a temporary period (generally two to four years) when no suitably qualified Australian worker is available.

• Employer Nomination Scheme (Subclass 186) – Enables skilled workers nominated by an Australian employer to live and work permanently in Australia.

• Skilled Independent Visa (Subclass 189) – A points-tested permanent visa for skilled workers not sponsored by an employer, state, or family member.

• Skilled Nominated Visa (Subclass 190) – A permanent visa for skilled workers nominated by a state or territory government. 

• Be approved by the Department of Home Affairs as a Standard Business Sponsor.
• Nominate an occupation that is on the skilled occupation list and meets labour-market testing requirements, where applicable.
• Ensure that employment conditions are consistent with Australian standards and visa conditions.
• Maintain accurate records verifying the visa holder’s work rights and report any significant changes to the Department of Home Affairs.

Employers in Australia can carry out background checks, but only if the person agrees and the checks are relevant to the job. All checks must follow privacy and anti-discrimination laws.

• Criminal record checks – allowed if related to the job. Required for roles that involve children, vulnerable people, or security work.
• Working with Children/Vulnerable People checks – required under state or territory rules for specific roles.
• Employment and education verification – to confirm past jobs or qualifications.
• Right to work/visa checks – needed to confirm legal work status in Australia.
• Health or medical checks – only if the person’s health directly affects their ability to do the job.
• Drug and alcohol testing – allowed when necessary for safety or operational reasons.
• Social media or online checks – should only look at information that is public and relevant to the job.
• Employers must always get consent, use the information fairly, and keep personal details confidential and secure.