A major shift is underway in employment law to address gender-based undervaluation, where work in female-dominated occupations has historically been undervalued and underpaid.
In April 2025, the Fair Work Commission (FWC) identified five priority modern awards to be reviewed where minimum rates of pay have been historically undervalued due to gender-based assumptions.
The purpose of this review is to see material uplifts to minimum rates, often phased over multiple years, and structural changes to classifications, which can affect how employees are levelled, paid and progressed.
For employers, the practical impact is payroll cost, budgeting, rostering, compliance risk, and potential flow-on to contractors or above-award arrangements.
Which awards and industries are in scope?
The Fair Work Commission commenced the review focusing on these five priority awards:
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Aboriginal and Torres Strait Islander Health Workers and Practitioners and Aboriginal Community Controlled Health Services Award 2020
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Children’s Services Award 2010
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Health Professionals and Support Services Award 2020
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Pharmacy Industry Award 2020
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Social, Community, Home Care and Disability Services Industry Award 2010 (SCHADS)
The Fair Work Ombudsman also summarised that changes have been announced for three of these awards, with the remaining two still being finalised.
What has changed already (and when)?
Aboriginal and Torres Strait Islander Health Award: staged changes from 1 January 2026
Classification structures and pay rates are changing for certain roles (including dental classifications), with classification structure changes from 1 January 2026 and pay increases staged from 1 January 2026, 2027 and (for some) 2028.
Children’s Services Award: changes start 1 March 2026
The Children’s Services Award is moving to a new classification structure and new minimum pay rates, with changes taking effect from 1 March 2026 (and additional pay changes staged in later years).
What to watch: re-mapping current employees into the new structure (classification translation), and payroll updates for both base rates and allowances.
Pharmacy Award: a defined 14.1% uplift (staged)
Minimum wages for pharmacists (including interns) under the Pharmacy Award are increasing by 14.1%, applied in three stages on 30 June 2025, 30 June 2026, and 30 June 2027 (with the first stage already in effect).
What’s still to come
Health Professionals and Support Services Award
The FWC indicates it has finalised aspects of this award for dental assistants and pathology collectors, while other parts (health professionals) remain subject to further steps.
SCHADS Award
The FWC’s provisional view is that SCHADS should be varied to replace the existing classification and wage structures with one new classification structure.
The FWC has expressed provisional views and the SCHADS matter is not yet finalised, with further submissions continuing into February 2026.
What should employers do now?
Even if you do not operate in the care economy, these decisions are an important signal that the FWC is actively using work value tools to address gender pay inequity, and award structures can shift materially.
Here are some practical steps on how to get ahead:
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Start by confirming your award coverage for your workforce and any mixed award workplaces.
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Audit classifications by checking current levels against actual duties, qualifications, supervision and responsibilities.
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Model cost impact, including staged increases and likely allowance flow-ons (and consider knock-on effects for employees currently paid close to the award).
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Update payroll and contracts and ensure payroll systems can implement new classifications and rates on the operative dates.
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Plan communications. Managers and payroll teams need a clear message for employees about what is changing and when.
Need help working through the impact?
If your business operates in early childhood education, pharmacy, community/disability services, or health/health support, now is the right time to get ahead of classification mapping and cost planning.