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Country hiring guide

Hiring in Australia ๐Ÿ‡ฆ๐Ÿ‡บ

Australia offers a skilled, English-speaking workforce under a structured award system and a rising compulsory pension. All-in employer cost runs around 1.18x the gross salary. Here is what to know before your first Australian hire.

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Capital cityCanberra
CurrencyAustralian dollar (AUD)
LanguagesEnglish
Population~26 million
Payroll frequencyFortnightly or monthly
VAT standard rate10% GST
Employer burden*~18-20% of gross
TGTC flat EOR fee$499/mo ยท Tier B
Overview

Employing in Australia

Employment sits under the Fair Work Act, the National Employment Standards (NES), and, for many roles, an industry 'modern award' that sets minimum pay and conditions. Written contracts are standard, and superannuation contributions are compulsory.

Minimum wage

  • AUD 24.95/hour, AUD 948/week (Jul 2025)
  • Casual loading 25%: min AUD 31.19/hour
  • 38-hour full-time week basis

Payroll cycle & extra pay

  • Weekly, fortnightly or monthly
  • Payday super mandatory from 1 Jul 2026
  • Leave loading 17.5% on annual leave

Public holidays

  • ~11-13 days, varies by state*
  • ~7 national plus state-based days

Onboarding & probation

  • Minimum employment period 6 months
  • 12 months for small business (<15 staff)
Employer costs

What you pay on top of salary

Employer costs sit around 18%, driven mainly by compulsory superannuation, plus state payroll tax for larger employers and workers' compensation.

Employer contribution*Rate
Superannuation guarantee12% (from 1 Jul 2025)
State payroll tax~4.75-6.85%*
Workers' compensation~1-3%*
Annual-leave loading17.5% on leave

Thresholds

Superannuation is paid on ordinary time earnings. State payroll tax only applies above a wage threshold, so smaller payrolls may not owe it.

Employee-side taxes

Employees pay income tax (PAYG withholding) on a progressive scale plus the Medicare levy. Withholding is the employer's responsibility, which under EOR means ours.

Types of leave

Statutory leave in Australia

Annual leave

  • 4 weeks paid; 5 for some shift workers

Maternity & parental leave

  • 12 months unpaid; request for 12 more
  • Government Paid Parental Leave is separate

Sick leave

  • 10 days paid personal/carer's leave a year

Other leave

  • Long service leave ~8.67 weeks at 10 years*
Employment termination

Ending employment in Australia

Notice

  • NES scale 1-4 weeks by tenure
  • Extra week if over 45 and 2+ years

Severance

  • Redundancy 4-16 weeks by tenure

Probation

  • 6 months (12 for small business)

Contractor risk

  • Sham-contracting penalties are steep
  • ATO and Fair Work actively enforce

*All figures are estimates from public sources (2025-26), pending ops verification - same basis as the EOR cost calculator. Not tax or legal advice.

Employ in Australia without registering an entity

Compliant Australian employment contract, payroll, superannuation, and benefits, handled. One invoice, flat $499 per month.

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