Which system of employment laws applies

Two systems of employment law operate for the private sector in WA and which system covers you depends on the employer’s business structure.
Last updated:
State employment laws are changing on 31 January 2025 

See Upcoming changes to state employment laws for details on the changes. 

Two systems of employment law operate for the private sector in Western Australia:

  • the state industrial relations system; and
  • the national fair work system.

Working out which system covers an employer and its employees is the first step in understanding and complying with employment rights and obligations and this depends on the employer’s business structure.

Watch our video on which system of employment law applies

State system

Private sector businesses, not for profit organisations and household employers

The state system covers:

  • Private sector businesses and their employees that operate as:
    • Sole traders.
    • Unincorporated partnerships.
    • Unincorporated trust arrangements, where none of the trustees or other entities in the trust arrangement are Pty Ltd entities.
  • Individuals who are household employers who personally and directly employ someone to provide domestic services in a private home, and their employees.
  • Incorporated associations and other not-for-profit organisations, including some sporting clubs and school P&C's, which are not constitutional corporations (trading or financial corporations) and their employees.
    • A not-for-profit association may be a constitutional corporation (and therefore in the national system) if it has sufficiently substantial trading or financial activities, even if the purpose of the organisation is something other than trading or finance or if it receives government funding. Trading activities typically involve buying or selling and produce revenue for the organisation. Financial activities involve the borrowing of money and the provision of finance.
    • There is no definitive rule on which system covers these types of organisations and each organisation will need to seek its own legal advice to determine this question as Wageline is not able to advise on this issue.

Information for private sector state system employers and employees is available at:

Private sector state system employers and employees can call Wageline on 1300 655 266 about pay rates, leave and employment issues.

For information on child employment laws visit When children can work in Western Australia or call Wageline on 1300 655 266.

Local Government

All Western Australian local government employers and employees are covered by the state system.

Local government employers may have industrial (enterprise) agreements that provide pay and entitlements specific to their workforce. Contact the Human Resources area of the local government for information on any relevant industrial agreement.

WA award summaries are available for the two main local government state awards, the Local Government Officers (Western Australia) Award and the Municipal Employees (Western Australia) Award. These awards or parts of them, may not apply if employees are covered by an industrial agreement.

Long service leave entitlements for most local government employees come from the Local Government (Long Service Leave) Regulations 2024.

Employees should contact the human resources area of your local government, or your union representative for specific queries regarding the Local Government (Long Service Leave) Regulations or other long service leave entitlements provided by an industrial agreement. 

State public sector / Western Australian Government employees

Most state public sector agencies and public sector employees are in the state system.

  • Public sector employees with queries about pay rates, working hours, leave and other employment issues should contact the human resources area of their employing agency. If after approaching human resources you are not satisfied, you may wish to contact a grievance officer or follow your agency’s dispute resolution procedure.
  • Coverage of the Long Service Leave Act includes information for state public sector employees.

National system

The national system covers WA private sector businesses and organisations that are constitutional corporations, as well as some state-owned corporations.

Private sector businesses and not for profit organisations

The national system covers:

  • Pty Ltd businesses that are trading or financial corporations.
  • Incorporated partnerships, where one or more of the partners in the business is a Pty Ltd entity.
  • Incorporated trust arrangements, where one or more or the trustees or other entities in the trust arrangement is a Pty Ltd entity.
  • Incorporated associations and other not-for-profit organisations, including some sporting clubs and school P&C's which are constitutional corporations (trading or financial corporations) and their employees.
    • A not-for-profit association may be a constitutional corporation if it has sufficiently substantial trading or financial activities, even if the purpose of the organisation is something other than trading or finance or if it receives government funding. Trading activities typically involve buying or selling, and produce revenue for the organisation. Financial activities involve the borrowing of money and the provision of finance.
    • There is no definitive rule on which system covers these types of organisations and each organisation will need to seek its own legal advice to determine this question, as Wageline is not able to advise on this issue.
  • Foreign corporations that are incorporated overseas are automatically constitutional corporations in Australia.

The Fair Work Ombudsman provides information to national system employers and employees on employment conditions (except long service leave and children in employment). Visit www.fairwork.gov.au or call the Fair Work Ombudsman on 13 13 94.

Wageline provides information on long service leave and when children can work to national system employers and employees.

Federal public sector / Australian Government employees

All federal public sector agencies and Australian Government employees are in the national system. Contact the human resources area of your employing agency or the Fair Work Ombudsman for employment information.

Checking system coverage

  • Employers - To check whether a business is in the state or national system, private sector employers can:
    • contact their business advisor; or
    • call Wageline on 1300 655 266.
  • Employees - To check whether a business is in the state or national system, private sector employees can:
    • ask their employer or a manager;
    • check the employer's business entity name on a payslip or annual payment summary (group certificate), or in a contract or letter of appointment. The business entity name may be different from the trading name - e.g. you may work at the Perth Café (the trading name) but Café Pty Ltd is the legal name of the employer;
    • look up the business on the Australian Government’s ABN lookup website – www.abr.business.gov.au. A free search of the trading name on this website will often provide the entity name. If the business entity name is a trust, you will need to contact Wageline to undertake a more detailed search; or
    • call Wageline on 1300 655 266.

Please read Wageline's disclaimer about system coverage.

Some state employment laws apply to national system employers and employees, and some national system provisions apply to the state system. Visit About the WA state system for details. 

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