If you own or manage a pharmacy in Australia — whether it’s an independent dispensary, a compounding pharmacy, or part of a group — there’s a Fair Work Commission decision you need to know about. Changes are coming to junior wages under the Pharmacy Award, and the businesses that prepare now will be far better positioned than those who find out in November 2026.
These changes apply to the PHARMACY AWARD, RETAIL AWARD and FAST FOOD AWARD
The Fair Work Commission has said that the changes could start from 1 December 2026 – so watch this space.
Here’s a clear, no-fuss breakdown of what’s changing, what’s at stake, and how to protect your business.
The Change in Plain Terms
Currently, pharmacy employees under the age of 21 covered by the Pharmacy Award are paid a percentage of the adult pay rate for their classification. This age-based pay scaling has been standard practice for years.
Under the new rules, employees aged 18, 19, and 20 will be entitled to the full adult pay rate once they have been employed by your pharmacy for more than 6 months.
What’s not changing:
- Employees in that age bracket who are still within their first 6 months of employment remain on their existing junior rate.
- Employees under the age of 18 are unaffected.
The Fair Work Commission has signalled these changes will be phased in following further hearings, with 1 December 2026 indicated as a potential start date.
Why Pharmacy Businesses Face a Specific Risk Here
Pharmacies operate in a highly regulated environment. You’re already navigating PBS compliance, dispensary standards, and a complex mix of award-covered staff — dispensary assistants, pharmacy assistants at various certificate levels, and retail staff. Layering a wage change into that environment without the right systems and records in place creates real exposure.
Here’s where things can quietly go wrong:
You may have more affected employees than you realise. A dispensary assistant who started at 18 and has been with you for 12 months is now 19 and past the six-month threshold. Under the new rules, they’ll be entitled to the adult rate from the date the changes take effect. If your payroll system isn’t set up to catch this automatically, you could be underpaying without knowing it.
The timing is particularly challenging. December is one of the busiest months of the year for pharmacy. New scripts, cold and flu season, holiday staffing — the last thing you need is a payroll adjustment falling through the cracks during your highest-volume trading period.
Underpayment liability compounds quickly. If a change isn’t applied at the right time and an employee lodges a claim — or a Fair Work audit picks it up — back-payments, penalties and reputational damage can follow. Pharmacies are trusted institutions in their communities. Payroll compliance is part of upholding that trust.
What to Do Between Now and December 2026
The good news is you have time. Here’s how to use it well.
Audit your current junior staff. Identify every employee aged 18 to 20, note their date of birth and employment start date, and flag when they will cross the six-month threshold. Keep this list updated as new team members are onboarded.
Review your award classifications. Make sure each employee is correctly classified under the Pharmacy Award. Misclassification compounds any wage rate error, so getting the base right matters before the rate change applies.
Update your payroll system ahead of the change. Whether you’re on Xero, MYOB, or another platform, your payroll setup needs to reflect the new adult rates for affected employees from the date the changes apply. Don’t leave this to a manual adjustment on the day.
Bring your bookkeeper into the conversation now. A good bookkeeper isn’t just processing your payroll, they’re watching for changes like this one and making sure your systems are configured to handle them cleanly. If that’s not happening in your business today, it’s worth addressing.
Clarity, Compliance and Confidence in Your Numbers
At Numbers Australia, we work with pharmacies and health businesses that need more than just a bookkeeping service. They need a team that understands their industry, stays across compliance requirements, and gives them clear, real-time visibility of their financial position.
Our registered BAS Agents and bookkeeping specialists provide payroll, BAS, and financial management with a structured approach. Our Repair, Stabilise, Optimise™ framework is designed to bring your financials under control so that when changes like this arise, your business is already in a strong position to respond.
Whether you need to review your current payroll setup, tidy up your records ahead of the award changes, or take your bookkeeping to the next level, we’re here to help.
📞 Call us on 1300 043 327 or get in touch via our CONTACT page to talk through what your pharmacy needs ahead of December 2026.
This article is based on information published by the Fair Work Ombudsman and Fair Work Commission in April 2026. Changes are subject to further hearings and confirmation of implementation dates. Please seek professional advice tailored to your business circumstances.
