The Fair Work Commission has made changes to clarify when employees are entitled to be paid for excess travel time under the Real Estate Award.
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What’s changed
The Fair Work Commission (the Commission) has made changes to the Real Estate Award to clarify when employees are entitled to be paid for excess travel time. Excess travel time is extra time spent travelling from the employee’s home to the other location compared to their employer’s business premises.
The rules mean:
- employees are paid for time spent travelling that is in excess of the time they normally spend travelling to their employer’s usual place of business
- this additional time is treated as time worked and the employee is paid ordinary rates or overtime rates where applicable
- employees who are required to use their own vehicle are also paid the applicable motor vehicle allowance.
These changes take effect from 1 March 2024.
We’ve updated our Pay and Conditions Tool to include the excess travel time allowance.
Example: Employee leaves their home to attend an inspection at a client’s home
Alex is a real estate agent who holds home inspections every Saturday. They have an inspection on the other side of town and spend 40 minutes travelling to the client’s home.
Alex’s commute to the real estate agency’s office typically takes 15 minutes. Alex is entitled to be paid for the excess travel time to the client’s house. This is paid for any travel time that’s in addition to the time it would usually take them to commute to the office.
The trip to the client’s home takes 40 minutes and Alex’s usual trip to the office takes 15 minutes, so Alex is entitled to be paid for the additional 25 minutes of travel time.
If Alex is required to use their own vehicle, they also receive the applicable motor vehicle allowance.
Award resources
Access the below resources for more information:
To learn more about these award changes, access the Commission’s decision.
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Related information
- Commission’s decision
- Commission’s final determination
