The Road Transport and Logistics Award 2020 covers a workforce that is uniquely mobile: truck drivers, warehouse operators, freight handlers, and logistics staff whose work patterns rarely fit standard office-based leave models. Between long-distance drivers who spend days on the road, weekend and public holiday penalty rates, and the interaction between multiple transport awards, leave compliance in the logistics sector demands specific attention.
This guide covers the Transport Award’s leave entitlements in 2026: annual leave, leave loading, personal/carer’s leave, and the compliance traps that drive underpayment claims in road transport and logistics.
Key takeaways
- Full-time transport employees receive 4 weeks annual leave, with 5 weeks for qualifying shiftworkers.
- The Transport Award provides 17.5% leave loading on annual leave, subject to a “greater of” test against penalty rates.
- Full-time employees accrue 10 days personal/carer’s leave per year, consistent with the NES.
- Long-distance drivers have specific leave provisions related to their extended work patterns.
- Multiple transport awards may apply depending on the specific role — always verify the correct award.
Annual leave under the Transport Award
Full-time employees covered by the Road Transport and Logistics 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. Overtime, trip allowances, and loading payments do not count toward accrual.
The Transport Award provides an additional week for qualifying shiftworkers: 5 weeks (190 hours). The shiftworker definition covers employees who work rotating shifts across all days including weekends and public holidays — relevant for logistics operations that run seven days.
Leave loading
The Transport Award provides 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 during that period.
For transport employees who regularly work weekends and public holidays — particularly warehouse operators and freight handlers on rotating rosters — the penalty rate equivalent frequently exceeds 17.5%.
Worked example
Tom is a warehouse operator working full-time, earning $26.00/hour base rate, regularly working Saturdays at 150%.
- One week of annual leave base pay: 38 hours × $26.00 = $988.00
- Leave loading at 17.5%: $988.00 × 17.5% = $172.90
- Penalty rate equivalent (one Saturday shift): 7.6 hours × $26.00 × 150% = $296.40 — the difference on that shift alone exceeds $172.90
- Tom receives: the penalty rate equivalent
Long-distance driver provisions
Long-distance transport drivers have specific leave considerations due to their extended work patterns:
- Leave accrual is based on ordinary hours, which for long-distance drivers may include travel time, loading, and unloading
- The “greater of” test for leave loading must account for the specific penalty structure that applies to long-distance work
- Trip allowances and per diem payments are generally excluded from ordinary earnings for leave accrual purposes
Long-distance drivers who are on the road for extended periods may have limited opportunity to take leave in the usual weekly pattern. The award permits leave to be taken in different arrangements by agreement between the employer and employee.
Personal/carer’s leave
The Transport Award follows 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 employees receive pro-rata entitlements.
Transport-specific considerations:
- Drivers who are away on long trips may need to provide evidence remotely
- Medical certificates and statutory declarations are the standard evidence requirements
- 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 transport employees, including casuals, receive 2 days compassionate leave per occasion and 10 days paid family and domestic violence leave per year.
Multiple transport awards
The road transport and logistics sector is covered by multiple awards depending on the specific role:
- Road Transport and Logistics Award 2020: General transport and logistics workers
- Passenger Vehicle Transportation Award 2020: Bus and coach drivers
- Ports, Harbours and Enclosed Waters Award 2020: Maritime workers
- Airline operations awards: Aviation ground staff
Each award has its own leave provisions. Verifying the correct award for every employee is essential — applying the wrong award can result in incorrect leave entitlements.
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 |
Transport workers who operate across state borders may accumulate long service leave in multiple jurisdictions, creating additional tracking complexity.
Common compliance traps in transport
1. Including trip allowances in leave accrual
Trip allowances, per diem payments, and fuel allowances are generally excluded from ordinary earnings for leave accrual purposes. Including them inflates balances and creates downstream errors.
2. Wrong award classification
Applying the wrong transport award — for example, using the Road Transport Award for a bus driver who should be under the Passenger Vehicle Transportation Award — creates incorrect entitlement calculations.
3. Ignoring the “greater of” test
Paying only 17.5% loading without comparing to penalty rates underpays employees who work high-penalty shifts.
4. Not tracking long service leave across states
Transport workers who cross state borders accumulate long service leave in multiple jurisdictions. Failing to track this creates a significant liability on termination.
5. Long-distance driver leave accrual
Incorrectly including trip allowances in the ordinary hours calculation for long-distance drivers inflates their leave accrual and creates payment errors.
Putting it into practice
Five checks cover most Transport Award leave compliance:
- Verify the correct transport award for every employee.
- Apply the “greater of” test for leave loading against penalty rates.
- Exclude trip allowances and per diem from ordinary earnings for leave accrual.
- Track long service leave entitlements across multiple states for border-crossing workers.
- Include leave loading in termination payouts where the award requires it.
Tracking leave accrual across multiple transport awards — where penalty rates, trip allowances, and multi-state long service leave create overlapping compliance obligations — is exactly the kind of complexity that generates payroll risk. A leave management system built for Australian awards automates these calculations and flags gaps before they become underpayment claims.
Sources
- Road Transport and Logistics Award 2020 — Fair Work Commission
- Annual leave — Fair Work Ombudsman
- Casual employment — 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 transport award applies to my employees?
It depends on the role. The Road Transport and Logistics Award covers general transport and logistics workers. Bus and coach drivers are under the Passenger Vehicle Transportation Award. Always verify the correct award based on the employee’s specific role and duties.
Does the Transport Award include leave loading?
Yes. The award provides 17.5% leave loading on annual leave, calculated on the base rate. A “greater of” provision applies — the employee receives whichever is higher: the 17.5% or the penalty rates they would have earned if working.
Do trip allowances count toward leave accrual?
Generally no. Trip allowances, per diem payments, and fuel allowances are typically excluded from ordinary earnings for leave accrual purposes. Only the employee’s ordinary hourly rate counts toward accrual.
Do casual transport 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.
How does long service leave work for transport workers crossing state borders?
Long service leave is state-based. Transport workers who operate across state borders may accumulate long service leave in multiple jurisdictions, each with different qualification periods and entitlements. This must be tracked separately for each state.