1 July Checklist for Automotive Businesses

The start of a new financial year always brings a few changes for business owners. This year, 1 July 2026 is a particularly important date for automotive businesses.

From wage increases and superannuation changes to SMS registration requirements and Transport for NSW updates, there are several things businesses should check now to avoid issues later.

Here is a simple breakdown of what you need to know.

1. Minimum wage rates are changing

The minimum wage increase is set to apply from the first full pay period on or after 1 July 2026.

This can impact all employees, including some employees who are currently paid above award rates.

Businesses need to be across these changes and ensure they are paying the correct rates. They should also check that employment contracts and payroll systems properly account for award payments, allowances, overtime and penalties where applicable.

It is important to remember that, in most circumstances, underpayment is assessed by pay period, not by the yearly amount. Even if you think you are covered, checking now may help prevent issues later.

For more information about the updated Wage Guide, please contact our Employment Relations Team at [email protected].

Read the full wage update here: https://www.mtansw.com.au/resources1/hr-ir-news/national-annual-wage-update-2026.aspx

2. Payday Super is coming

Business owners will no doubt be aware of the changes to Payday Super, which will take effect from 1 July 2026.

Unlike the wage increase, there is no grace period. Businesses need to start applying this from the commencement date.

Recent cases involving major employers have highlighted a renewed focus by regulators and the courts on accurate and on-time payments.

Businesses that fail to meet their obligations may face claims from the ATO, as well as potential employee underpayment claims. For this reason, businesses should prioritise preparing for Payday Super sooner rather than later.

For more information, please visit: https://www.mtansw.com.au/news-media/news-articles/payday-super--what-automotive-businesses-need-to-know-.aspx

3. SMS registration requirements for businesses

From 1 July 2026, businesses may need to register their ABN and an authorised party with the ACMA or their telecommunications provider. Businesses that do not register may risk their SMS messages being labelled as unregistered or unauthorised.

These changes are being introduced across many telecommunications providers to help combat the rise of scam calls and scam messages.

If your business sends text messages to customers, such as service reminders, booking confirmations, follow-ups or marketing messages, you should contact your telecommunications provider to check whether you are covered by the changes and what steps you need to take.

For more information, please visit: https://www.mtansw.com.au/news-media/news-articles/1-july-2026-telecommunication-changes--business-need-to-reg.aspx

4. AIS brake test device updates

From 1 July 2026, all Authorised Inspection Scheme stations will only be permitted to carry out brake meter tests using a device they are appropriately authorised to access and use.

Fines and penalties may apply to AIS stations that do not comply with these changes.

This is in addition to a range of changes to user requirements for online AIS providers and users, including Dealer Online and VSCCS.

For more information, please see: https://e.engage.transport.nsw.gov.au/pub/pubType/EO/pubID/zzzz699cd65b079b2349/?aid=1d95e8b02ac45bb0&#1d95e8b02ac45bb0

5. Vehicle standards updates for modified vehicles and repairs

From 1 July 2026, updates to vehicle inspection guidelines and standards will begin applying to modified vehicles and pre-ADR vehicles.

VSCCS certifiers will need to be up to date on the new vehicle standards required for modification works. This includes, but is not limited to, retrofit work, VSI 6 work and requirements when declaring modifications.

For more information, please see: https://e.engage.transport.nsw.gov.au/link/id/zzzz6a0fe800b85c5287Pzzzz67a42715bfd2d821/page.html

What should automotive businesses do now?

Before 1 July, take some time to check the following:

• Are your wage rates ready to be updated?
• Are your employee classifications correct?
• Is your payroll system prepared for the new rates?
• Is your business ready for Payday Super?
• Are employee super fund details correct?
• Do you send SMS messages to customers?
• Has your business checked whether it needs to register for SMS requirements?
• If you are an inspection station, have you checked the latest Transport for NSW requirements?

A small amount of preparation now can help avoid payroll issues, customer communication problems and compliance headaches later.

Need support?

MTA NSW members do not need to work through these changes alone.

For wage, payroll, employment or compliance-related questions, members can contact the Employment Relations Team at [email protected] or call 02 9016 9000 for support.