The Fair Work Commission handed down its annual minimum wage review on 16th June 2021. They ordered an increase of 2.5% on the minimum wage, increasing it to $20.33 per hour or $772.60 per week.
While the increase will apply to most awards from 1st July 2021, some of the industries hardest hit by the pandemic will have the increase delayed.
The award that Increases from 1st September 2021
- General Retail Industry Award
Awards that Increase from 1st November 2021
- Pilots Award
- Cabin Crew Award
- Airline Ground Staff Award
- Airport Award
- Alpine Resorts Award
- Amusement Award
- Dry Cleaning and Laundry Award
- Fitness Award
- Hair and Beauty Award
- Hospitality Award
- Live Performance Award
- Models Award
- Marine Tourism and Charter Vessels Award
- Nursery Award
- Racing Clubs Events Award
- Racing Ground Maintenance Award
- Registered Clubs Award
- Restaurant Award
- Sporting Organisations Award
- Travelling Shows Award
- Wine Award
Who does the increase apply to?
The increase applies to all employees who are paid minimum award wages or the national minimum wage.
This decision does not impact employees paid over minimum award rates.
What do employers need to do now?
All employers should check the awards that their employees are paid under to determine when the increase will apply. We recommend all employers subscribe at Fair Work Australia to be notified when the award rates have been updated and the new rates that apply to your employees.
If your employees are paid under an enterprise agreement that refers to the Annual Wage Review, you need to review their wages to ensure they remain compliant with the agreement.
We also recommend talking with your accountant/bookkeeper/payroll team member to ensure that the new rates are applied from the first full pay period that starts on or after 1st July 2021 (or the later date if applicable).
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HR Author and Lecturer with over 25 years’ experience in human resources and workplace relations in Australia. Lead Author of Instant HR Policies & Procedures, NDIS Direct Employment HR Manual, and Employee Performance Reviews: Tips, Templates and Tactics.