Pharmacists on the Pharmacy Industry Award (PIA) have seen two separate minimum wage increases land within days of each other.
AP breaks down what the new minimum rates look like.
Why two separate increases?
It may seem unusual that pharmacists’ minimum award pay rates will be adjusted twice in consecutive pay cycles – being pay cycles starting 30 June 2026 and pay cycles starting from 1 July 2026.
But these two uplifts are landing on consecutive days for unrelated reasons.
As AP previously reported, the 30 June adjustment is the continuation of a pay equity correction. In 2025, the Fair Work Commission’s (FWC) Expert Panel for the Care and Community Sector determined that pharmacists had experienced a total 14.1% gender-based undervaluation, linked to the high proportion of women in the pharmacy workforce. The Expert Panel issued a determination for a phased total increase of 14.1% over 3 years, with the second instalment taking effect on 30 June 2026.
The second increase is the FWC’s 2026 Annual Wage Review outcome – a 4.75% increase, higher than the 3.5% increase proposed by employer and business groups, reflecting economic pressures over the past 12 months. This increment takes effect for pay cycles starting on or after 1 July 2026.
What are the new hourly rates?
Pay cycles starting on or after 1 July 2026 will see the combined effect of both increments applied.
Base hourly rate (Monday– Friday, 8.00 am to 7.00 pm)
| Classification | PIA rate at 01/07/2025 | PIA rate at (01/07/2026) | Increase |
|---|---|---|---|
| Pharmacist | $38.14 | $41.74 | +$3.60 |
| Experienced pharmacist | $41.78 | $45.72 | +$3.94 |
| Pharmacist in charge | $42.76 | $46.80 | +$4.04 |
| Pharmacist manager | $47.65 | $52.15 | +$4.50 |
Penalty rates for entry-level pharmacists
| Shift | PIA rate at 01/07/2025 | PIA rate at (01/07/2026) | Increase |
|---|---|---|---|
| Evening Monday–Friday (7.00pm–9.00pm) [125%] | $47.68 | $52.18 | +$4.50 |
| Saturday (8.00am–6.00pm) [125%] | $47.68 | $52.18 | +$4.50 |
| Sunday (7.00am–9.00pm) [150%] | $57.21 | $62.61 | +$5.40 |
| Public holiday (all day) [225%] | $85.82 | $93.92 | +$8.10 |
Penalty rates for pharmacist-in charge
| Shift | PIA rate (01/07/2025) | PIA rate (01/07/2026) | Increase |
|---|---|---|---|
| Evening Monday–Friday (7.00pm–9.00pm) [125%] | $53.45 | $58.50 | +$5.05 |
| Saturday (8.00am–6.00pm) [125%] | $53.45 | $58.50 | +$5.05 |
| Sunday (7.00am–9.00pm) [150%] | $64.14 | $70.20 | +$6.06 |
| Public holiday (all day) [225%] | $96.21 | $105.30 | +$9.09 |
Why was the Annual Wage Review increase this large?
In its decision, the FWC pointed to a volatile economic environment. ‘The determination of this year’s Review outcome has been particularly challenging because of the degree of complexity in the interaction of the matters we are required to take into account,’ the Commission said.
On the size of the increase itself, the Commission said it fell short of a full correction.
‘Taking into account all of these matters, we have concluded, regrettably, that it is not practicable in the current uncertain circumstances to award a real wage increase for employees reliant on modern award wage rates that would be sufficient to close the real wage gap entirely,’ the FWC said. ‘The outcome we have determined will, however, at least ensure that modern award-reliant employees generally are not worse off in real terms than they were as at 1 July 2025.’
Not all pharmacists
The wage increase is good news for many. But some pharmacists are not seeing their remuneration keep pace in real terms. This includes community pharmacists who are already paid above the award, who may not receive a pay adjustment this new financial year, and credentialed pharmacists delivering Home Medicines Reviews (HMRs) – with funding for the service not indexed since 2019.
Credentialed pharmacist and PSA National Board Director Brooke Shelly FPS, said the lack of indexation has made providing HMRs increasingly unsustainable.
‘We’re really just saying, let us do more, pay us not at 2019 rates, make sure that we can do this work and be recognised for the challenges of driving distance in the country and being able to be as productive as we possibly can,’ she said.
PSA National President Professor Mark Naunton FPS echoed Ms Shelly’s concern about the lack of a broader wage increase. ‘We continue to fight to increase remuneration for pharmacists who provide medication review services, who have had no fee increase in 7 years.’
