The loading figure and the conversion pathway are general information. The loading comes from your award or agreement; the pathway is in the Fair Work Act 2009 (s15A, s66AAB to s66AAD, as amended from 26 August 2024).
Casual employees are paid a loading on top of the permanent rate instead of paid annual leave, paid personal/carer's leave, notice of termination and redundancy pay. In modern awards the loading is 25% of the ordinary hourly rate; enterprise agreements and award-free contracts can set a different figure, so check yours. The Act's definition of a casual relies on the employee being entitled to a casual loading or casual rate under an award, agreement or contract (s15A(1)(b)).
Casual → permanent equivalent: casual rate ÷ (1 + loading). Permanent → casual: permanent rate × (1 + loading). A $30 casual rate at 25% is $24 permanent; that $24 then carries 4 weeks' annual leave, 10 days' personal leave and the other entitlements the loading replaced.
Since 26 August 2024, a casual who believes their job no longer fits the definition of casual employment (no firm advance commitment to continuing and indefinite work, judged on the real substance of the relationship, s15A) can give the employer a written notification asking to become permanent, once they have been employed for 6 months, or 12 months with a small business employer of fewer than 15 employees (s66AAB). The employer must consult and respond in writing within 21 days, accepting or refusing on limited grounds: the employee still meets the casual definition, fair and reasonable operational grounds, or a legally required recruitment process (s66AAC). If accepted, the change takes effect from the next full pay period (s66AAD). Nobody can be forced to convert, and an employer must not cut hours or dismiss you to avoid it (s66L). A regular pattern of work on its own does not make you permanent (s15A(2) note); it is one factor.
$30 an hour casual at the 25% award loading: $30 ÷ 1.25 = $24.00 an hour permanent equivalent. Over 20 hours a week that is $600 casual against $480 permanent, a difference of $120 a week; the permanent $480 comes with about 4.6 hours of leave accruing each week and notice and redundancy rights.
An extra percentage paid to casual employees on top of the permanent hourly rate, to make up for having no paid annual leave, paid personal/carer's leave, notice or redundancy pay. Modern awards set it at 25%. Your payslip or award will show it.
That depends on the award. Some awards apply the 25% loading to the ordinary rate and then calculate penalties on the loaded rate; others calculate penalties on the base rate and add the loading separately, or set an all-up casual penalty rate. Check the casual clause of your award on the Fair Work Ombudsman site.
Only on the grounds in s66AAC: you still meet the casual definition, there are fair and reasonable operational grounds (substantial changes to how work is organised, significant impacts on the business, or substantial changes to your terms needed to comply with an award), or a recruitment process is required by law. The response must be in writing within 21 days, after consulting you, and must give reasons. Disputes go first to the workplace, then to the Fair Work Commission.
Yes. You move to the permanent rate for your classification and start accruing paid leave and other entitlements from the conversion date. Service before conversion still counts as continuous service for things like long service leave and unfair dismissal, but not for annual leave, notice or redundancy pay.
Yes: the casual loading, super guarantee on ordinary time earnings, unpaid carer's and compassionate leave, 10 days' paid family and domestic violence leave, long service leave under state law where service is continuous, and unfair dismissal protection after the minimum period if the work was regular and systematic. Casuals also receive the Casual Employment Information Statement from the employer.
All checked 8 November 2026. Primary sources first. Not reloaded marks an official page our checker could not load on that date; the statement relies on the Act and earlier checks. Verify marks an indexed figure whose 2026-27 value we could not load.