Award wage increases announced across the country – have you updated your employee contracts?

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In addition to national award announcements, the WA IRC awarded an increase in the state minimum wage from 1 July 2019.
Australia Employment and HR

Gemma Wheeler- Carver, Solicitor and Murray Thornhill, Director and Notary Public from the Commercial Litigation Team update employers on the latest Fair Work Commission and WA Industrial Relations Commission announcements.

The Fair Work Commission announced recently its annual wage review under the Fair Work Act 2009. It is understood that 21% of Australians will be affected by this rise:

  • the National minimum wage is set to increase to $740.80 per week or $19.49 per hour (up 3%);
  • Modern Award minimum wages will increase by 3%;
  • The National Training wage will increase by 3%; and
  • Modern Award minimum wages for those employees with a disability, and for those with training arrangements will increase by 3%.

In addition to these national award announcements, the Western Australia Industrial Relations Commission has awarded a 2.75% increase in the state minimum wage for employees who have reached 21 years of age, lifting it to $746.90 per week from 1 July 2019. Other WA award rates of pay will also increase by 2.75%, full details are available on the WAIRC website.

Employers – Who is affected, what do they need to do and when?

Employers will be required to review the employment contracts of any employees that are:

  • paid wages at the minimum wage (or within 3% of that);
  • are under a modern award; or
  • other industrial instrument such as an Enterprise Agreement.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

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