From the first pay period commencing on or after (ppc) 1 July 2018, the Road Transport Award covers vehicle distribution and relocation employees. This includes employees driving a vehicle from one location to another for the purpose of delivery or relocation of the vehicle.

Transitional pay rates for vehicle relocation employees were added to the Road Transport Award. These rates applied between ppc 1 July 2018 and 30 June 2020.

The transitional pay rates were:

• From ppc 1 July 2018 to 30 June 2019 – the National Minimum Wage (NMW) plus one-third of the difference between the NMW and the applicable adult minimum hourly rate in the Award.
• From 1 July 2019 to 30 June 2020 – the NMW plus two-thirds of the difference between the NMW and the applicable adult minimum hourly rate in the Award.

From 1 July 2020, the full applicable adult minimum hourly rate in the Award applied.

Calculating the transitional rates

Adult employees

The transitional rates were calculated using the weekly NMW and the relevant minimum weekly rate that applied at the time the pay rate was calculated.

Steps to calculate weekly rates – ppc 1 July 2018 to 30 June 2019

Calculate the adult weekly rates from ppc 1 July 2018 to 30 June 2019 by following these steps:

Step 1: Find the relevant minimum weekly rate for the classification in the Award.

Step 2: Find the NMW.

Step 3: Subtract the NMW from the weekly classification rate.

Step 4: Divide the remaining amount by 3 and round to 2 decimal places.

Step 5: Add the amount from Step 4 to the NMW.

Steps to calculate weekly rates – 1 July 2019 to 30 June 2020

Calculate the adult weekly rates from 1 July 2019 to 30 June 2020 by following these steps:

Step 1: Find the relevant minimum weekly rate for the classification in the Award.

Step 2: Find the NMW.

Step 3: Subtract the NMW from the weekly classification rate.

Step 4: Divide the remaining amount by 3, multiply the result by 2 and round to 2 decimal places.

Step 5: Add the amount from Step 4 to the NMW.

Transitional hourly rates

Transitional hourly rates were calculated by dividing the weekly transitional rate by 38 and rounding to 2 decimal places.

Junior employees

The award junior percentages were applied to the adult transitional hourly rates.

Employees classified as Transport workers grades 7 and 10

The special vehicle allowances for drivers classified as Grade 7 or 10 was added to the adult minimum weekly rate before the transitional rate was calculated.

This means that the extra pay formed part of the weekly rate at Step 1 above.