SCHADS Award basics for NDIS providers.
If you employ disability support workers in Australia, the SCHADS Award almost certainly governs how you pay them. Getting it wrong — wrong rate, wrong allowance, missed penalty — is an underpayment, and the Fair Work Commission takes those seriously.
Updated for 2026–27. The Fair Work Commission's Annual Wage Review took effect 1 July 2026, increasing SCHADS minimum pay rates. Verify current rates at fairwork.gov.au before processing payroll.
The SCHADS Award sets minimum pay rates, penalty rates, and allowances for all disability support workers in Australia. NDIS providers must pay at least the award rate — including Saturday, Sunday, and public holiday penalties, broken shift allowances, and sleepover allowances — and update rates every 1 July when the Fair Work Commission's Annual Wage Review takes effect.
What is the SCHADS Award?
The Social, Community, Home Care and Disability Services Industry Award 2010 — universally called SCHADS — is the minimum employment standard for workers in:
- —Disability support (direct care, community access, SIL)
- —Home and community care
- —Social and community services
- —Crisis accommodation and refuge
It sets minimum pay rates, allowances, penalty rates, overtime, and working condition rules. You can pay above the award, but not below it. An enterprise agreement can replace it — but the agreement's conditions must collectively be better than the award's.
Not sure if SCHADS covers you?
A small number of providers are covered by a different award or an enterprise agreement. The Fair Work Commission's Award Finder tool at fairwork.gov.au can confirm which award applies to your workers. When in doubt, get advice from an employment lawyer — the cost of getting it wrong is higher than the cost of asking.
Classification levels
The award has two streams relevant to NDIS providers: Social and Community Services (SACS) and Home Care. Most disability support workers fall under SACS.
Within each stream, workers are classified at a Level (1–6 for SACS, 1–4 for Home Care), and within each Level there are pay points. The Level reflects the complexity and responsibility of the role — not just tenure. Assigning someone a lower Level than their duties warrant is an underpayment even if it's unintentional.
| Level | Typical roles at this level |
|---|---|
| Level 1 | Entry-level support workers with no specific qualifications; basic personal care under supervision |
| Level 2 | Support workers with a relevant certificate or one year's experience; working with some autonomy |
| Level 3 | Experienced workers with a Certificate III or IV; delivering complex or specialised support |
| Level 4 | Diploma-qualified or equivalent; significant autonomy, may coordinate small teams or handle complex cases |
| Level 5 | Degree-qualified or equivalent; specialist roles, program design, team leadership |
| Level 6 | Senior specialist or coordinator roles with significant responsibility; postgraduate level |
Support coordinators billed under the NDIS are generally classified in the SACS stream at Level 4 or 5 depending on their qualifications and the complexity of the coordination work they do.
Pay components that catch providers out
Penalty rates
SCHADS applies penalty rate loading on top of the base hourly rate for work at certain times:
- Monday–FriStandard rate (no loading)
- SaturdaySaturday penalty rate (check current award)
- SundaySunday penalty rate (higher than Saturday)
- Public holidaysPublic holiday rate (highest loading)
- EveningsSome shift types attract an evening loading after a certain time
Exact percentages are published in the award and updated annually. Always use the current Fair Work Commission schedule — penalty rates change with the Annual Wage Review.
Broken shifts
A broken shift is any shift where the worker has an unpaid break of more than one hour between two separate periods of work on the same day. In disability support, this happens constantly — a worker might do a morning shift, have three hours off, then return for an afternoon shift.
Under SCHADS, each break in a broken shift that exceeds one hour triggers a broken shift allowance. This is one of the most commonly miscalculated components in disability payroll — it's easy to miss when payroll is done manually or in a general-purpose system that doesn't model disability shift patterns.
Sleepover shifts
Sleepover shifts — where a worker sleeps on-site and is available to respond if needed — are treated differently from active shifts under SCHADS. There is a specific sleepover allowance for the sleeping period.
If the worker is woken up to provide active support during the sleepover, that active time must be paid at the appropriate hourly rate, not covered by the sleepover allowance. Getting this wrong is a common underpayment in SIL (Supported Independent Living) settings.
Overtime
Full-time workers who exceed their ordinary hours trigger overtime rates. Casual workers are treated differently — they're paid a casual loading but overtime rules apply differently. Part-time workers have agreed minimum hours; any extra hours above agreed hours may attract overtime. The specifics depend on the employment type and what the contract says versus what the award requires.
Allowances
SCHADS includes a range of allowances on top of base pay. Common ones for disability providers:
- —Broken shift allowance — per break in a broken shift over one hour
- —Sleepover allowance — for the sleeping period in sleepover shifts
- —Clothing allowance — if the employer requires a uniform and doesn't supply it
- —Travel allowances — for workers travelling between clients in certain circumstances
- —First aid allowance — for workers required to hold and use a first aid certificate
What changes on 1 July every year
The Fair Work Commission hands down its Annual Wage Review decision each June, and the new minimum rates take effect on 1 July. For NDIS providers, this creates two parallel obligations:
Update your payroll rates
Every worker covered by SCHADS must be paid at least the new minimum rate from 1 July. Paying the old rate from 2 July onward is an underpayment. Update your NDIS payroll software on or before the date.
Check the NDIS price guide
The NDIA also updates the NDIS Support Catalogue and price limits on 1 July, partly to reflect the increased labour costs from the SCHADS wage increase. Check the new support item prices, especially for the labour-intensive items (personal care, community access), and update your service agreements and claims accordingly.
Review your roster and pricing model
If you price shifts based on NDIS price limits and pay workers at SCHADS minimum, a wage increase that the NDIA hasn't fully reflected in the price update can compress your margin. It's worth modelling the impact before July to avoid surprises.
For NDIS providers using practice management software
Rostrel automatically records the day type and start time for every shift, then applies the correct SCHADS penalty rate loading — standard, Saturday, Sunday, public holiday, or evening — without any manual input from you. Broken shift allowances are calculated automatically when a worker's shift has a gap of more than one hour, and sleepover periods are tracked separately from active hours so the right allowance is applied. When you process payroll, Rostrel exports shift lines to Xero with all SCHADS components already split out, so your pay run reflects the award accurately on the first pass.
Frequently asked questions
Can I pay above the SCHADS Award?
Yes — the award sets the minimum. You can pay any rate above it, and many providers pay above the minimum to attract and retain workers. The requirement is simply that you never pay below the award rate.
What happens if I underpay a SCHADS worker?
The worker can make a claim to the Fair Work Commission, and the Commission can order back-payment of the difference plus interest. Serious or repeated underpayment can result in penalties. The Fair Work Ombudsman actively investigates complaints in the care sector.
Are casual workers covered by SCHADS?
Yes. Casual workers are covered by SCHADS and paid a casual loading on top of the minimum rate in place of entitlements like annual leave and sick leave. Penalty rates and allowances still apply.
Where do I find the current SCHADS pay rates?
The Fair Work Commission publishes the current SCHADS Award document at fairwork.gov.au. The "Pay" tab on the award page shows the current minimum rates by classification level. These are updated each July 1.
Does SCHADS cover support coordinators?
Generally yes — support coordinators employed by NDIS providers are covered by the Social and Community Services stream of SCHADS. They are typically classified at Level 4 or Level 5 depending on qualifications and the complexity of their role.
What are the current SCHADS pay rates for 2026–27?
From the first full pay period on or after 1 July 2026, minimum pay rates under the SCHADS Award (MA000100) increased by 4.75%, following the Fair Work Commission's Annual Wage Review 2026. A worker's exact rate depends on their classification level and pay point, with a 25% loading for casuals, plus any penalties, overtime and allowances on top. Because the figures change every 1 July, always work from the current Fair Work SCHADS pay guide rather than a saved copy.
Payroll that knows SCHADS
Rostrel exports shift data directly to Xero with penalty rates, broken shift allowances, and sleepover components already applied — so your payroll run reflects what the award requires, not what a spreadsheet guessed.
Book a 20-minute demo