Electrical, Electronic and Communications Contracting Award 2020 - A Simple Guide for Your Business

Who Does This Award Cover?

The Electrical, Electronic and Communications Contracting Award has a broad scope, covering employers and employees involved in "electrical services." To simplify coverage, the Award divides work into five "Skill Streams":

Electrical: Standard electrical work, including mechanics, fitters, and tradespeople.

Electronics and Communications: Covering computers, telecommunications, fire/security alarms, and radio/TV equipment.

Instrumentation: Focused on instrument trades and complex control systems.

Refrigeration and Air-conditioning: Installation and maintenance of plant and systems.

Lines and Cable Work: Work related to power distribution and electrical systems.

Common roles include qualified electricians, alarm/security technicians, telecommunications workers, and trades assistants.

Employment Basics: Hours and Engagement

Full-time Employees: Engaged for an average of 38 ordinary hours per week.

Part-time Employees: Engaged for a constant number of hours (fewer than 38 per week) with pro-rata entitlements.

Casual Employees: Engaged by the hour with a 25% casual loading. This loading is paid in lieu of leave and notice of termination.

Calculating Casual Pay: Crucially, for casuals, the 25% loading is added to the base rate before any penalties are applied. For example, if a casual works a Saturday, their rate is 187.5% (which is 150% of the loaded rate).

Minimum Engagement: Casuals must be paid for at least 2 consecutive hours of work every time they are called in.

The Right to Disconnect: Under new regulations (Clause 13A), employees have a legal right to refuse to monitor or respond to contact outside of working hours unless that refusal is unreasonable. For small business employers (fewer than 15 employees), this rule takes effect on 26 August 2025.

Rest and Meals

Award specifies:

Paid Rest Break: One 10-minute paid rest break each day, counted as time worked.

Unpaid Meal Break (Day Workers): An unpaid break of at least 30 minutes must be provided after no more than 6 hours of work.

Paid "Crib Time" (Shiftworkers & Overtime): Unlike day workers, shiftworkers receive a 20-minute paid meal break (called crib time) that counts as time worked. Crib time also applies after every 4 hours of overtime if the work is to continue.

A Simple Look at Shiftwork

Shifts are defined by their finishing times:

Afternoon Shift: Finishes after 6:00 pm and at or before midnight.

Night Shift: Finishes after midnight and at or before 8:00 am.

Standard afternoon or night shifts attract a 115% rate. However, an employee on a "permanent night shift" (working night shifts for more than four consecutive weeks) must be paid 130% of their ordinary hourly rate.

Minimum Pay, Penalties, and Allowances

Pay is structured by Grades 1 through 10, determined by the employee's qualifications and the work they are required to perform.

All-Purpose Allowances

This is the most common area for payroll errors. Certain extra payments such as the Electrician’s License Allowance, Tool Allowance, and Industry Allowance, are "all-purpose." This means they must be added to the base rate before you calculate overtime, penalty rates, and leave loading.

Failing to include these in overtime calculations is a major compliance risk.

Penalty Rates (Full-time & Part-time)

Working outside standard hours attracts the following rates:

Saturdays: 150% for the first 2 hours, and 200% thereafter.

Sundays: 200% for all hours.

Public Holidays: 250% for all hours worked.

Why Classification Matters

Classification must be based on the employee's actual qualifications and the specific duties you require them to perform.

Benchmark Example: An Electrical Worker Grade 5 is the standard classification for a trade-qualified electrician (e.g., someone who holds a trade certificate or AQF Certificate Level 3 in Electrotechnology).

"Under-classifying" (for example, paying a qualified electrician as a Grade 2 assistant) is a breach of the Award and can lead to significant back-pay liabilities.

Common Mistakes Employers Make

The "Paperwork" Fail: You are legally required to provide employees with access to the Award and the National Employment Standards (NES), either on a physical notice board or a digital platform.

The "RDO" Surprise: If you operate a Rostered Day Off system, you must give at least 4 weeks' notice of the scheduled day off.

Working Through Meals: If you require an employee to work through their normal meal break, you must pay them 150% of their ordinary rate. This penalty continues until a meal break is actually allowed.

Practical Tips for Compliance

Define the "Depot": You must notify employees in writing of their assigned "workshop" or "depot" upon starting. This is the baseline for travel claims. Note that you can only change this location for genuine operational reasons by providing 14 days' notice.

Individual Flexibility Agreements (IFAs): If you wish to vary Award terms (like the spread of hours), you must provide the employee with a written proposal. The agreement must leave the employee "better off overall."

Record Keeping: Maintain meticulous records of all hours worked and all-purpose allowances paid. This is your primary defense in a payroll audit.

Early Dispute Resolution: If a dispute arises, follow the Award's process: discuss it first with the supervisor, then senior management, before considering the Fair Work Commission.

While this Award appears complex, most compliance issues can be avoided by focusing on three things: correct classification of employees, clear communication regarding rosters, and the proper inclusion of all-purpose allowances in your payroll calculations.

A compliant workplace is a productive one. By meeting these minimum standards, you protect your business and demonstrate value to your skilled workforce.

If this raised questions for your business, FiveSeven can help review your approach and identify any gaps before they become issues.

The information above forms part of our Understanding Your Award series and provides a high-level overview only. Further obligations may apply depending on your business and workforce. This Information is current at the time of publication April 2026. Workplace laws and awards may change.