Public holiday pay in Australia is governed by the National Employment Standards and applicable Modern Awards, and calculating it correctly requires understanding whether the employee works, whether they are full-time, part-time, or casual, and what penalty rates apply. Public holidays are not simply “days off with pay” — they carry specific penalty rate obligations for employees who work and specific entitlements for employees who do not.
This guide covers every scenario: what happens when an employee works on a public holiday, what happens when they do not, and how to calculate the pay in each case.
Key takeaways
- Employees who do not work on a public holiday are paid their base rate for the day (full-time and part-time) or receive no pay (casuals).
- Employees who work on a public holiday receive penalty rates as specified by their Modern Award — typically double time (200%) or time and a half (150%).
- Part-time employees receive their normal hours on a public holiday if they would normally work that day.
- Casual employees receive casual loading + penalty rates on a public holiday.
- Employers can request employees to work on a public holiday, but employees can reasonably refuse.
Public holidays in Australia
The NES provides for the following national public holidays:
- New Year’s Day (1 January)
- Australia Day (26 January, or nearest Monday)
- Good Friday
- Saturday before Easter Sunday
- Easter Sunday
- Easter Monday
- Anzac Day (25 April)
- Queen’s Birthday (or King’s Birthday, second Monday in most states)
- Christmas Day (25 December)
- Boxing Day (26 December)
States and territories may add additional public holidays (e.g., Melbourne Cup Day in Victoria, Western Australia Day).
Scenario 1: Employee does not work on a public holiday
Full-time and part-time
If a public holiday falls on a day the employee would normally work, they are paid their base rate of pay for the day, even though they do not work. This applies regardless of whether the employee is full-time or part-time.
Example: A full-time employee works Monday to Friday. Christmas Day falls on a Thursday (their normal workday). They are paid their normal daily rate for Thursday without working.
Casuals
Casual employees are not paid for public holidays they do not work. Casuals only receive pay for hours actually worked.
Scenario 2: Employee works on a public holiday
Penalty rates
When an employee works on a public holiday, they receive penalty rates as specified by their Modern Award. Common rates:
| Award | Penalty rate | Typical rate |
|---|---|---|
| Clerks—Private Sector Award 2020 | 225% | 2.25× base rate |
| Hospitality Award 2020 | 150-225% | 1.5-2.25× base rate |
| Retail Award 2020 | 225% | 2.25× base rate |
| Manufacturing Award 2020 | 200-250% | 2-2.5× base rate |
Always check your specific Modern Award — penalty rates vary significantly.
Full-time employees
A full-time employee who works on a public holiday receives:
- Their normal daily base rate (paid as usual)
- Plus penalty rate loading for the hours worked
Alternatively, the employee may be given a day off in lieu instead of the penalty rate (subject to the Award provisions).
Example: Full-time employee earns $800/week ($160/day). They work 8 hours on a public holiday at 225% penalty rate.
Normal daily pay: $160
Penalty rate (225%): $160 × 2.25 = $360
Additional penalty pay: $360 - $160 = $200
Total pay for the day: $360Part-time employees
Part-time employees who work on a public holiday receive penalty rates for the hours actually worked. If the public holiday falls on a day they would normally work, they are also paid their normal hours even if they do not work.
Example: Part-time employee works Tuesday and Thursday (6 hours each). Christmas Day falls on a Thursday. If they do not work, they are paid 6 hours at base rate. If they work, they are paid 6 hours at the applicable penalty rate.
Casual employees
Casual employees who work on a public holiday receive:
- Casual loading (typically 25%)
- Plus penalty rates as specified by the Award
The casual loading and penalty rate may be compounded or additive depending on the Award. Check the specific Award provisions.
Example: Casual employee earns $30/hour + 25% casual loading = $37.50/hour. They work 6 hours on a public holiday at 225% penalty rate.
Base rate: $30/hour
Casual loading (25%): $7.50/hour
Penalty rate (225%): $30 × 2.25 = $67.50/hour
Total hourly rate: $67.50 + $7.50 = $75/hour
Total for 6 hours: $75 × 6 = $450Scenario 3: Employee called in on short notice
Some Awards provide additional penalties for employees called in to work on a public holiday with less than a specified notice period (e.g., 4 hours). Check the applicable Award for “call-back” provisions.
Reasonable refusal
Under the NES, an employee can refuse to work on a public holiday if the refusal is reasonable. Factors include:
- The employee’s personal circumstances (family obligations, religious observance)
- The nature of the employer’s business and operational requirements
- The employee’s role and level of responsibility
- The amount of notice given
- Whether the employee is being paid penalty rates
An employer cannot take adverse action against an employee for reasonably refusing to work on a public holiday.
Putting it into practice
Five checks to ensure your public holiday pay calculations are correct:
- Identify the applicable Modern Award and its specific public holiday penalty rates.
- Determine whether the employee is full-time, part-time, or casual.
- Check whether the public holiday falls on a day the employee would normally work.
- Calculate penalty rates for employees who work, and base pay for those who do not.
- Document any day off in lieu agreements and ensure they comply with the Award.
Leave Balance automatically applies the correct public holiday penalty rates based on your employee’s Award, contract, and working pattern — so public holiday pay is always accurate without manual calculation.
Frequently asked questions
Are all employees entitled to public holiday pay?
Full-time and part-time employees are paid their base rate for public holidays that fall on their normal working days, whether they work or not. Casual employees are only paid for hours actually worked. All employees working on a public holiday receive penalty rates.
Can an employer make me work on a public holiday?
An employer can request you to work on a public holiday, but you can reasonably refuse. The reasonableness of the request depends on your personal circumstances, the nature of the business, and the notice given. Adverse action for a reasonable refusal is prohibited.
How much is public holiday pay in Australia?
It depends on your Award. Common rates range from 150% to 250% of the base hourly rate. For example, the Retail Award provides 225% for full-time and part-time employees, while the Hospitality Award may provide 150-225% depending on the time of day.
Do part-time employees get public holidays?
Yes. If a public holiday falls on a day a part-time employee would normally work, they are paid their normal hours at the base rate (whether they work or not). If they work, they receive penalty rates for the hours worked.
Do I get a day off in lieu instead of penalty rates?
Some Awards allow employers to give a day off in lieu instead of paying penalty rates. This is not automatic — it depends on the Award provisions and must be agreed between the employer and employee. The day off must be taken within an agreed period.
This article is general information, not legal advice. Consult qualified employment counsel for jurisdiction-specific guidance.