Quick Summary
Quick Summary
- From 1 October 2026, minimum wages and classifications change for health professional employees under the Health Professionals and Support Services Award 2020
- Wage increases roll out across five phases: 1 October 2026, then yearly on 30 June from 2027 to 2030
- New classification structure based on qualifications, experience, roles, and duties replaces the current system from 1 October
- Employers must update payroll systems, employee records, and classifications before the 1 October deadline with no grace period
- The Fair Work Commission granted the increases after finding health professional work was historically undervalued due to gender-based assumptions
From 1 October 2026, minimum wages and classification structures will change for employers covered by the Health Professionals and Support Services Award 2020. The Fair Work Commission Expert Panel for pay equity in the Care and Community Sector has granted phased wage increases after finding that health professional work has been historically undervalued due to gender-based assumptions. Employers in the healthcare, allied health, and community health sectors must review payroll systems, update classifications, and ensure new rates apply from 1 October.
The changes form part of the Fair Work Commission’s gender-based undervaluation priority awards review. The Expert Panel issued decisions on 24 December 2025, 26 May 2026, and 7 September 2026. Wage increases roll out across five phases: 1 October 2026, then yearly on 30 June from 2027 to 2030. Budgeting for the cumulative effect is essential for long-term payroll planning in the health sector.
Employers who fail to update pay rates by 1 October risk underpaying staff, triggering Fair Work Ombudsman investigations, and facing back-pay claims. Modern awards compliance is a legal obligation under the Fair Work Act 2009, and the FWO actively enforces award rates in the healthcare sector.
Health Professionals and Support Services Award Pay Rates
The Health Professionals and Support Services Award 2020 (Health Services Award) covers employers in the health and medical sector, including medical practices, allied health clinics, dental surgeries, and community health services. From 1 October 2026, minimum pay rates for certain health professional employees will increase under the first phase of the Expert Panel decision.
The wage increases apply specifically to health professional employees, not all employees covered by the award. Support services employees may not be affected by this first phase, though later phases could extend to additional classifications. Employers must check the updated award, published by 1 October 2026, to confirm which classifications receive increases.
The Fair Work Ombudsman has published guidance on the changes. Employers should review this alongside the Commission’s varying determination (PR814029) to understand their specific obligations.
Health Services Award Pay Rise: What Changed and Why
The Expert Panel found that health professional work has been historically undervalued because of gender-based assumptions. The Panel granted increases to minimum rates for work value reasons, meaning the changes reflect the actual demands of the work rather than broader economic adjustments.
The five-phase implementation is: 1 October 2026 (first increase and new classification structure), then 30 June 2027, 30 June 2028, 30 June 2029, and 30 June 2030. Employers must implement each increase on the applicable date with no grace period.
📅 Deadline: 1 October 2026
Health Professionals Award wage increases and the new classification structure take effect from 1 October 2026. Employers must implement new pay rates and classifications on this date — no grace period applies.
Key Takeaways
Key Takeaways for Employers
- ✓Download the updated Health Services Award and determination PR814029 before 1 October 2026
- ✓Map each health professional employee to the new classification structure using Schedule J.4
- ✓Update payroll systems with new minimum rates — there is no grace period after 1 October
- ✓Keep pay records for seven years under Fair Work Act 2009 section 535
- ✓Inform affected employees of their new classification and pay rate in writing before the change takes effect
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Health Professionals Award Classifications: New Structure from 1 October
Alongside wage increases, the classification structure for health professional employees changes from 1 October 2026. Understanding healthcare employer obligations includes mapping every affected employee to the new structure before the deadline.
The new classifications are based on:
- Level 1 — qualifications and years of experience
- Level 2, 3, and 4 — roles and duties
Employers need to review each employee’s qualifications, experience, and role description to determine their new classification level. The Commission has published classification translation arrangements in Schedule J.4 of the determination, which explains how existing classifications translate to the new structure.
Getting the classification wrong means paying the wrong rate, creating immediate underpayment exposure. See our payroll compliance guide for the full set of employer record-keeping obligations.
Do Employers Have to Pay Award Rates?
Yes. Under the Fair Work Act 2009, employers covered by a modern award must pay at least the minimum rates set by that award. Paying below award rates breaches the National Employment Standards and the award itself, regardless of whether an employee agrees to a lower rate.
The FWO actively enforces award compliance, particularly in healthcare and community services. Recent enforcement actions in aged care and disability services have resulted in substantial back-pay orders and penalties.
For healthcare employers: identify which award applies to each employee, check minimum rates for each classification, pay at least the award minimum, and update rates whenever the award changes — including from 1 October 2026. There is no grace period.
How to Prepare Your Payroll for 1 October 2026
Employers covered by the Health Professionals Award should take these steps before 1 October:
- Identify affected employees — Review your workforce for employees classified as health professionals under the award.
- Obtain the updated award — Download the updated award and determination PR814029 from the Fair Work Commission or FWO website.
- Review classification translations — Use Schedule J.4 to map each employee from their current classification to the new structure.
- Calculate new pay rates — Apply new minimum rates for each classification level. Ensure over-award payments are still correctly calculated.
- Update payroll systems — Enter new rates and classifications in your payroll software. Test a pay run before 1 October.
- Communicate with employees — Inform affected employees of their new classification and pay rate to prevent disputes.
- Update employment records — Record the new classification, pay rate, and date of change. Employers must keep pay records for seven years under Fair Work Act section 535.
Compliance Risks for Healthcare Employers
Failing to implement the new rates from 1 October 2026 creates several risks:
Underpayment claims: Employees can file claims with the FWO or pursue civil penalties in the Federal Court. The FWO can issue compliance notices requiring back-payment plus interest.
Record-keeping penalties: Under Fair Work Act section 535, employers must keep accurate pay records for seven years. Failing to update records creates an immediate compliance gap.
General protections exposure: If an employer reduces hours or changes conditions in response to the wage increase, employees may file general protections claims for adverse action.
Reputational risk: The FWO publicly names employers who underpay staff. Healthcare employers face heightened scrutiny in the current enforcement environment.
For free employment documents including payroll templates and compliance checklists, visit our document library. You can also learn about membership plans for direct employment lawyer advice on navigating award changes specific to your healthcare business.
Frequently Asked Questions
From 1 October 2026, new minimum wage rates apply to health professional employees under the Health Professionals and Support Services Award 2020. The updated award, published by 1 October 2026, sets out the specific rates for each classification level. Check the updated award on the Fair Work Commission or Fair Work Ombudsman website for exact rates.
Yes. Under the Fair Work Act 2009, employers covered by a modern award must pay at least the minimum rates specified in that award, regardless of any agreement with the employee. Paying below award rates is a breach of workplace laws and can result in FWO enforcement action, back-pay orders, and civil penalties.
The wage increase takes effect from 1 October 2026 as the first of five phases. Subsequent increases apply on 30 June each year from 2027 to 2030. The Fair Work Commission granted the rises after finding health professional work was historically undervalued due to gender-based assumptions.
From 1 October 2026, Level 1 classifications are based on qualifications and years of experience, while Levels 2, 3, and 4 are based on roles and duties. Employers must use Schedule J.4 of determination PR814029 to map each employee from their current classification to the new one.
The award covers employers and employees in the health and medical sector, including medical practices, allied health clinics, dental surgeries, pathology services, and community health services. The 1 October 2026 wage increases apply specifically to health professional employees, not necessarily all employees under the award.
Employers risk underpaying staff, triggering Fair Work Ombudsman investigations, back-pay claims with interest, compliance notices, and civil penalties. Underpayments accumulate from 1 October, so delaying implementation increases financial exposure. The FWO actively enforces award compliance in the healthcare sector.
No. The Fair Work Act 2009 sets minimum entitlements that cannot be reduced by agreement. Only a valid individual flexibility arrangement or enterprise agreement that leaves the employee better off overall can modify terms. Any agreement to pay below award rates is unenforceable and does not protect the employer.
Obtain determination PR814029, review Schedule J.4 classification translations, map each health professional employee to the new classification, calculate new pay rates, update payroll systems, communicate changes to employees, and update employment records from 1 October 2026. Test a pay run before the deadline.
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