Fair Work publishes gender undervaluation decision on pharmacist award

Industry
By
Peter Guthrey MPS
-
gender undervaluation

The Fair Work Commission’s Expert Panel for pay equity in the care and community sector has today issued its initial decision on the Gender-based undervaluation – priority awards review – making determinations on the Pharmacy Industry Award 2020, which most community pharmacists are employed under. 

What did the Expert Panel find? 

The Expert Panel found that pharmacists covered by the Pharmacy Industry Award 2020 (and several other awards) have been the subject of gender-based undervaluation.  

As a result, the Expert Panel has determined that findings constitute work value reasons, justifying variation of the modern award minimum wage rates across all categories of pharmacists.  

What is ‘gender-based undervaluation’? 

Gender-based undervaluation considers a range of factors to determine whether minimum award pay rates are undervalued because of assumptions based on gender. 

The range of factors considered extends to historical undervaluing, exercise of ‘invisible skills’, exercise of caring work and workforce qualifications, among others.  

How does the Expert Panel intend to address the undervaluation? 

For pharmacists employed by the Pharmacy Industry Award 2020, the Expert Panel has issued a determination that there will be a total increase in the minimum wage rates of 14.1% over three years. 

This increase will be implemented in three equal phases on: 

  • 30 June 2025 
  • 30 June 2026 
  • 30 June 2027.

What does this mean for the minimum hourly pay rate for pharmacists? 

From 30 July 2025, this means the minimum hourly pay rate for a pharmacist employed under the Pharmacy Industry Award 2020 will be $36.85 per hour (currently $35.20 per hour).  

The increase on 30 June 2025 represents one third of the total 14.1% increase. There will be further increases to the minimum hourly rate in June 2026 and June 2027. 

What about intern pharmacists?  

From 30 June 2025, the minimum pay rate for intern pharmacists covered by the award will also increase to: 

  • first half of training – $30.00 per hour (up from $28.66 per hour) 
  • second half of training – $31.02 per hour (up from $29.63 per hour).

Will penalty rates increase too?  

Minimum penalty rates will increase as a result of the higher minimum hourly rates.  

The Fair Work Commission has published full details of the minimum pay rate in the Determination for the Pharmacy Industry Award 2020. 

Will all pharmacists get a pay increase as a result of this decision? 

No. The award sets a minimum level of remuneration. Pharmacists whose remuneration is above the new minimum remuneration levels established by the determination will not receive a pay increase as a direct result of the determination. 

Fair Work’s Determination noted published information that 12.7% of all pharmacists have their pay set by award only. It noted that the proportion may be greater in community pharmacies, given the apparent greater prevalence of collective agreements in the hospital pharmacy sector.  

They also noted there is likely to be a further proportion of community pharmacists who are currently paid in excess of the award but by an amount less than 14.1%, meaning that some adjustment of their wages will also be required.  

Where can I find out more? 

For more information, pharmacists can read more about the: