Security Award — Casual Employees
Last updated: March 2026
Casual employees receive a 25% loading on top of the base hourly rate. This loading compensates for not receiving paid leave, notice of termination, and redundancy pay.
What is casual loading?
The 25% casual loading is paid instead of entitlements that permanent employees receive, including annual leave, personal/carer's leave, notice of termination, and redundancy pay. The casual loading is applied to the ordinary hourly rate before any penalty rate multipliers.
Casual conversion rights
Under the Fair Work Act, casual employees who have worked regular hours for at least 12 months may have the right to request conversion to permanent (full-time or part-time) employment. Employers must offer conversion to eligible casual employees, or provide written reasons for not doing so.
Do casual penalty rates stack?
Casual penalty rate multipliers are applied to the casual base rate (which already includes the 25% loading). For example, a casual employee earning $30.00/hr (including loading) working on a Sunday at a 2.0x multiplier would earn $60.00/hr — not $30.00 + 25% + 2.0x.
See also: Penalty rates | Full pay rate tables | Casual loading explained
Source: Fair Work Ombudsman — casual employees. Casual loading and conversion rights are set by the Fair Work Act 2009 and the applicable modern award.
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