Coles Transition Payment

October 4, 2018 Coles FAQs Know Your Rights Tips

The new Coles Supermarkets Agreement was introduced on 30 April 2018 following a positive vote on 26 February 2018.

A Transition Payment will be made to eligible employees to recognise the period between the positive vote and the Agreement coming into effect.

The Transition Payment is only for eligible employees who may have received higher rates of pay under the new Coles Agreement compared to the previous Coles Agreement.

To be eligible for the Transition Payment, you must:

  • Have been employed at Coles prior to 25 February 2018
  • Be employed at Coles on 26 September 2018
  • Have a Protected Pay Rate
  • Have worked between 26 February 2018 and 29 April 2018
  • Have worked at least one shift between 28 May 2018 and 22 July 2018

How is the Transition Payment calculated?

Coles will calculate your Average Hourly Rate (AHR) under the new Coles Agreement from 28 May 2018 to 22 July 2018.

If your Average Hourly Rate (AHR) is higher than your Protected Pay Rate then Coles will pay the difference between the two rates. This will be calculated by the multiplying the difference by the number of hours you worked between 26 February and 30 April 2018.

If your Average Hourly Rate (AHR) is lower than your Protected Pay Rate, you will not receive a Transition Payment.


Your Protected Pay Rate                   $24.00

Your Average Hourly Rate                 $25.25

Difference                                           $1.25

Hours worked (26 Feb – 30 April)      270 hours

270 x $1.25 = $337.50

The Transition Payment would be $337.50.

When will the Transition Payment be paid?

The Transition Payment will be paid on 26 September 2018. You will notice the payment on your pay slip for week commencing 24 September 2018.


If you have any questions, please speak to your SDA Shop Steward or Organiser or call the SDA on 07 3833 9500 .