Agriculture is one of Australia’s most seasonally dependent industries, and its leave provisions reflect that reality. The Pastoral Award 2020 covers farm workers, shepherds, shearers, and station hands, while the Horticulture Award 2020 covers fruit, vegetable, and nursery workers. Both awards must accommodate seasonal employment patterns, piece-rate arrangements, and a workforce that includes a significant proportion of casual and visa-holder employees.
This guide covers agriculture sector leave entitlements in 2026: the two main awards, how seasonal employment affects leave, and the compliance traps that drive underpayment claims across the sector.
Key takeaways
- The Pastoral Award 2020 and Horticulture Award 2020 are the primary agriculture awards — identify which applies to each employee.
- Full-time agricultural employees receive 4 weeks annual leave, accrual based on ordinary hours.
- 17.5% leave loading applies to annual leave under both awards, subject to a “greater of” test.
- Seasonal employees accrue leave only during periods of active employment, not during off-seasons.
- Piece-rate workers have specific provisions affecting how leave is calculated and paid.
The two main agriculture awards
Pastoral Award 2020: Covers employees engaged in pastoral work — shearing, wool handling, droving, station work, and general farm labour on pastoral properties. Does not typically cover horticultural work.
Horticulture Award 2020: Covers employees in fruit, vegetable, and nursery production, including picking, packing, pruning, and processing. Applies to both open-field and glasshouse/greenhouse operations.
Each award has its own leave provisions. The NES baseline applies to both, but the award-specific details differ.
Annual leave
Full-time employees covered by either agriculture award receive the NES minimum of 4 weeks (152 hours for a 38-hour week) of paid annual leave, accruing progressively based on ordinary hours worked.
Seasonal employment and leave accrual
Agriculture’s defining compliance challenge is seasonal employment. Leave accrues only during periods when the employee is actively engaged:
- Seasonal employees accrue leave during the harvest or shearing season, not during the off-season when they are not employed
- The total annual leave accrued reflects the actual ordinary hours worked during the active season
- Employees who work multiple seasons across different employers may have fragmented leave accruals
This means a seasonal fruit picker who works a 4-month harvest season accrues approximately one-third of a full-time employee’s annual leave. Calculating this correctly is essential.
Leave loading
Both agriculture awards provide 17.5% leave loading on annual leave, calculated on the base rate of pay. The “greater of” provision applies: the employee receives whichever is higher — the 17.5% loading or the penalty rates they would have earned if working.
For agricultural employees working weekends during peak harvest periods — when penalty rates may apply — the “greater of” test matters.
Worked example
Sofia works full-time during the grape harvest (approximately 20 weeks), earning $25.00/hour base rate, working 40 hours per week.
- Total ordinary hours worked: 20 weeks × 40 hours = 800 hours
- Annual leave accrual: 4 weeks × 38 hours = 152 hours, accrued proportionally over the 800 hours worked
- Leave loading on one week of leave: 38 hours × $25.00 × 17.5% = $166.25
- On termination at end of season: All accrued unused annual leave must be paid out
Piece-rate workers
The Horticulture Award permits piece-rate pay for certain harvesting work. Piece-rate workers’ leave entitlements are calculated differently:
- Leave accrues on the ordinary piece-rate earnings, not on an hourly rate
- When leave is taken, the payment must be equivalent to what the employee would have earned working
- The employer must keep accurate records of piece-rate earnings to calculate leave correctly
Piece-rate leave calculations are one of the most complex areas of agricultural payroll. Getting them wrong creates systemic underpayment across the entire workforce.
Personal/carer’s leave
Both agriculture awards follow the NES: full-time employees receive 10 days per year of paid personal/carer’s leave, accruing progressively and accumulating year to year. Part-time and seasonal employees receive pro-rata entitlements.
Agriculture-specific considerations:
- Seasonal employees who are not engaged during the off-season do not accrue personal leave
- Evidence requirements commonly include medical certificates
- The employer can request evidence but must not impose excessive requirements
Casual employees receive 2 days unpaid carer’s leave per occasion.
Compassionate leave and family leave
All agricultural employees, including casuals, receive 2 days compassionate leave per occasion and 10 days paid family and domestic violence leave per year.
Long service leave
Long service leave is state-based:
| State | Qualification | Entitlement |
|---|---|---|
| Victoria | 7 years | 8.67 weeks; 4.33 weeks per subsequent 5 years |
| NSW | 10 years | 2 months; 1 month per subsequent 5 years |
| Queensland | 10 years | 8.67 weeks; 4.33 weeks per subsequent 5 years |
| South Australia | 10 years | 13 weeks |
Agricultural workers who move between states for different seasonal work may accumulate long service leave in multiple jurisdictions.
Common compliance traps in agriculture
1. Incorrect seasonal accrual
Calculating leave accrual for seasonal employees at the same rate as year-round employees over-accrues leave. The accrual must reflect actual hours worked during the active season.
2. Piece-rate leave calculation errors
Piece-rate workers’ leave must be paid at an equivalent to their working earnings. Failing to maintain accurate piece-rate records makes correct leave calculation impossible.
3. Visa-holder employment confusion
Many agricultural workers are on temporary visas with specific work conditions. Leave entitlements under Australian law apply regardless of visa status — the NES covers all employees.
4. Ignoring the “greater of” test
Agricultural employees who work weekends during peak periods may have penalty rate equivalents that exceed 17.5%. Paying only the loading underpays these employees.
5. Not paying leave on termination
Seasonal employees whose employment ends at the conclusion of a season must have all accrued unused annual leave paid out. Some employers treat seasonal termination as a “break” rather than a termination, avoiding the payout obligation incorrectly.
Putting it into practice
Five checks cover most agriculture sector leave compliance:
- Identify the correct award — Pastoral or Horticulture — for every employee.
- Calculate seasonal accrual based on actual ordinary hours worked during the active season.
- Maintain accurate records for piece-rate leave calculations.
- Apply the “greater of” test for leave loading against penalty rates.
- Pay out all accrued unused annual leave on termination, including at end of seasonal employment.
Tracking leave accrual across seasonal employment patterns — where piece-rate workers, casual conversions, and multi-state long service leave create overlapping compliance obligations — is exactly the kind of complexity that generates payroll risk in agriculture. A leave management system built for Australian awards automates these calculations and flags gaps before they become underpayment claims.
Sources
- Pastoral Award 2020 — Fair Work Commission
- Horticulture Award 2020 — Fair Work Commission
- Annual leave — Fair Work Ombudsman
- Long service leave — Fair Work Ombudsman
Last updated: 26 July 2026. This article is general guidance, not legal advice. Confirm current award provisions with the Fair Work Ombudsman or an employment lawyer.
Frequently asked questions
Which agriculture award applies to my employees?
It depends on the work. The Pastoral Award covers shearing, wool handling, and station work. The Horticulture Award covers fruit, vegetable, and nursery production. Always verify the correct award based on the employee’s specific duties.
How does seasonal employment affect leave accrual?
Leave accrues only during periods of active employment. Seasonal employees accrue leave during the harvest or shearing season, not during off-seasons when they are not engaged. The total annual leave reflects actual ordinary hours worked.
Do piece-rate workers get annual leave?
Yes. Piece-rate workers under the Horticulture Award accrue leave on their ordinary piece-rate earnings. When leave is taken, payment must be equivalent to what they would have earned working. Accurate piece-rate records are essential.
Do casual agricultural employees get paid sick leave?
No. Casual employees do not receive paid personal/carer’s leave. They are entitled to 2 days unpaid carer’s leave per occasion and 2 days paid compassionate leave per occasion.
Does the NES apply to visa-holder agricultural workers?
Yes. The NES covers all employees regardless of visa status. Agricultural workers on temporary visas receive the same leave entitlements as any other employee covered by the applicable award.