On 7 July, The Australian Fair Pay Commission made its fourth
and final minimum wage determination. The next minimum wage
determination will be made by the Minimum Wage Panel of Fair Work
The Australian Fair Pay Commission has decided not to increase
federal minimum wage levels, maintaining them at the current level
of $543.78 per week. The rates of pay within Australian Pay and
Classification Scales will not be changed.
In making it's decision, the Commission took into account
factors such as the outlook for the economy and labour market,
competitiveness of employment across the economy and the capacity
for the unemployed and low paid to obtain and remain in employment.
In doing so, the Commission highlighted the need to be cautious in
what it described as "challenging times for the Australian
labour market" and stated that "it considers its decision
will both protect jobs in the short term and better support a
speedy recovery in employment in the medium term". It also
expressed the view that whilst it had to have regard to providing a
safety net for the low paid, low-paid households had recently
benefited from changes to the tax/transfer system as well as the
government's economic stimulus packages.
Although the Australian Fair Pay Commission did not increase
minimum wage levels, employers should continue to monitor the
progress of award modernisation by the Australian Industrial
Relations Commission, as pay rates will be contained in modern
awards, which are scheduled to commence from 1 January 2010 ( click here to read our award modernisation
update). Employers are also reminded that under the Fair Work
Act, employers, including those who are parties to
pre-Fair Work Act workplace agreements, will be required
to ensure they are paying the base rates of pay contained in those
If you have any questions about the Australian Fair Pay
Commission's decision, and its impact to your business, please
contact one of the gadens lawyers' workplace relations
Long experience representing many of Australia's leading employers has taught us that in employment litigation the identity of an employee's representative is a major factor in how employee litigation runs.
Australian employees receive certain entitlements (such as annual leave and superannuation) where contractors do not.
Some comments from our readers… “The articles are extremely timely and highly applicable” “I often find critical information not available elsewhere” “As in-house counsel, Mondaq’s service is of great value”
Register for Access and our Free Biweekly Alert for
This service is completely free. Access 250,000 archived articles from 100+ countries and get a personalised email twice a week covering developments (and yes, our lawyers like to think you’ve read our Disclaimer).