Standard work time

Standard work time in Australia is set at 38 hours per week for full-time employees, unless an applicable award or enterprise agreement specifies different hours. This baseline is established under the Fair Work Act 2009 and represents the maximum ordinary hours of work that employers may require full-time staff to perform without triggering additional penalty rates or overtime compensation.

The 38-hour week applies across most industries and is enforced by the Fair Work Ombudsman, the statutory authority responsible for administering workplace entitlements. The rule ensures consistency in employment conditions while allowing flexibility through industry-specific awards and negotiated enterprise agreements, which may set lower or higher ordinary hours depending on the nature of work and sector requirements.

A significant statutory change took effect on 26 August 2024, when the Fair Work Commission's powers expanded to cover gig workers, contractors, and casual employees. This amendment broadens the scope of workplace protections and dispute resolution mechanisms beyond traditional full-time and part-time employment arrangements, reflecting evolving labour market conditions in Australia.

Employers and payroll teams must ensure that full-time employee rosters comply with the 38-hour standard unless a relevant award or enterprise agreement explicitly provides otherwise. Hours worked beyond this threshold typically attract penalty rates or overtime payments. Organisations should review their current agreements and award classifications to confirm applicable ordinary hours, particularly given the expanded Fair Work Commission jurisdiction over non-traditional employment arrangements. Accurate time recording and compliance with award-specific provisions remain essential to avoid underpayment claims and regulatory penalties.