The Fast Food Industry Award 2020 covers employees who prepare, sell and deliver fast food intended for take-away. This article will explain how to configure their set up to meet their employment conditions.
Paying under the Fast Food Industry Award
PaySauce allows you to configure employees to pay under conditions found in the Fast Food Industry award. Please consult the award and your employee's employment conditions to see how the following settings relate to you.
Classification Levels
PaySauce supports all the Fast Food classification levels:
Level 1
Level 2
Level 3 - in charge of one or no person
Level 3 - in charge of 2 or more people
To update an employee's classification level:
Select the employee.
Go to the Award Details tab.
Select the new level from the Classification dropdown.
Select Update.
Penalty Rates
PaySauce automatically applies the correct penalty rates based on when hours are worked.
For any penalty rates that apply based on the time, the timesheet will need to use start and finish times.
When | Full-time & Part-time | Casual |
Monday to Friday from 10pm to midnight | 110% | 135% |
Monday to Friday from midnight to 6am | 115% | 140% |
Saturday (all hours) | 125% | 150% |
Sunday (all hours) | 150% | 175% |
Public Holiday | 225% | 250% |
⚠️ Casual rates include the 25% casual loading. To trigger public holiday rates, add the Public Holiday detail to the timesheet.
Overtime
PaySauce calculates automatically based on the total hours worked in a day and in a set period.
Maximum Daily Overtime
An employee can work a maximum of 11 ordinary hours in a day. Anything over this will be classed as overtime. PaySauce will automatically handle this.
Maximum Period Overtime
Overtime also applies once an employee exceeds their ordinary hours threshold for the period. Select the appropriate threshold on the employee's settings:
38 hours per week
76 hours per fortnight
152 hours over four weeks
Overtime Rates
When | Full-time & Part-time | Casual |
Monday to Saturday — first 2 hours of overtime | 150% | 175% |
Monday to Saturday — after 2 hours of overtime | 200% | 225% |
Sunday — all overtime hours | 200% | 225% |
Public holiday — all overtime hours | 250% | 275% |
Note: Casual overtime rates are inclusive of the casual overtime - there is no additional 25% on top.
Time off in lieu (TOIL)
Rather than paying overtime, employees can accrue TOIL. Add the Accrue TOIL detail to the timesheet. PaySauce will accrue time at the applicable overtime factor rather than paying it out.
For example, an employee who works 2 overtime hours at 150% accrues 3 hours of TOIL.
Minimum Engagement
The default minimum engagement under the Fast Food Award is 3 hours. This applies to all employees unless an exception applies. If time worked in a a day is less than 3 hours, including any leave hours, then PaySauce will pay for at least three hours.
Allowances
Cold Work Allowance
Your employee may be eligible for a Cold Work Allowance for performing work inside a cold chamber or refrigerator. If your employee performs this kind of work, then you can enable them access to mark timesheets accordingly.
To do this:
Select the employee.
Go to the Award Details tab.
Tick the Cold Work Allowance box.
Select Update.
Now when you or the employee creates a timesheet, there will be two additional Timesheet Details to add:
Cold work (above zero)
Cold work (below zero)
Attaching either of these Details to a timesheet will pay the appropriate allowance.
Special Clothing Allowance
If the employee is required to launder special clothing, you must pay them an allowance for this.
Select an employee to receive this award by:
Select the employee.
Go to the Award Details tab.
Tick the Cold Work Allowance box.
Select Update.
How the employee receives this allowance is dependant on their employment type:
Full time employees receive a flat weekly allowance.
Part time & casual employees receive a daily allowance for each shift worked.
Overtime Meal Allowance
The overtime meal allowance is paid depending on several factors such as:
Working overtime for more than an hour after the employee ordinarily finished work for the day; and
The employee was not given at least 24 hours noticed of the requirement to work overtime; and
The employee cannot reasonably return home for a meal on their meal break.
Further more, they receive an additional allowance if the overtime is more than 4 hours.
To apply the overtime meal allowance, add the appropriate timesheet detail to the timesheet:
OT Meal Allowance
Additional OT Meal Allowance
Adding either one to the timesheet will pay that allowance. To pay both, add both the details to the timesheet.
Junior Pay Rates
The Fast Food Award allows reduced pay rates for employees under 21, based on age.
Age | Rate |
Under 16 | 40% of adult rate |
16 | 50% |
17 | 60% |
18 | 70% |
19 | 80% |
20 | 90% |
21 and over | 100% |
Note: PaySauce calculates junior rates automatically. Enter the employee's date of birth and set their classification level correctly and PaySauce handles the rest.
Common Questions
Are my employees covered by Fast Food Award, and what classification would they fall under?
Are my employees covered by Fast Food Award, and what classification would they fall under?
To determine if your employees are covered by the award or to find out what classification they fall under, you will have to review the award and
My employees enter hours as a quantity instead of a start finish. How do they receive late night penalty rates?
My employees enter hours as a quantity instead of a start finish. How do they receive late night penalty rates?
Without know exactly when an employee starts or finish, PaySauce is unable to calculate penalty rates
How do I know which overtime threshold to use?
How do I know which overtime threshold to use?
This depends on your employment agreements. The Fast Food Award allows overtime to be calculated over a week (38 hours), fortnight (76 hours), or four-week period (152 hours). Check your employment contracts or the award to confirm which applies to each employee.