Murray Thornhill, Director, and Gemma Wheeler Carver, Associate, in our Employment and Dispute Resolution teams remind Western Australia-based national system employers (Pty Ltd companies, many incorporated associations, and some trusts) that the final tranche of minimum wage increases occurs on 1 November 2021.
HHG Legal Group previously wrote about the 2.5% increase to the minimum wage which saw minimum weekly salary increase to $772.60 for all national system employees. Those covered by federal Awards had their wage increases staggered, with the first (for most Awards) commencing on 1 July 2021, and the second on 1 September 2021 (for the General Retail Industry Award 2020). For a limited number of Awards in highly COVID-effected industries such as aviation, airports, fitness, health and beauty, entertainment, sporting, restaurants, and tourism, the increases won't kick in until the first pay cycle on or after 1 November 2021.
These Awards:
- Air Pilots Award 2020
- Aircraft Cabin Crew Award 2020
- Airline Operations - Ground Staff Award 2020
- Airport Employees Award 2020
- Airservices Australia Enterprise Award 2016
- Alpine Resorts Award 2020
- Amusement, Events and Recreation Award 2020
- Dry Cleaning and Laundry Industry Award 2020
- Fitness Industry Award 2020
- Hair and Beauty Industry Award 2010
- Hospitality Industry (General) Award 2020
- Live Performance Award 2020
- Mannequins and Models Award 2020
- Marine Tourism and Charter Vessels Award 2020
- Nursery Award 2020
- Racing Clubs Events Award 2020
- Racing Industry Ground Maintenance Award 2020
- Registered and Licensed Clubs Award 2020
- Restaurant Industry Award 2020
- Sporting Organisations Award 2020
- Traveling Shows Award 2020
- Wine Industry Award 2020
For businesses in the State system (sole traders, partnerships, and some trusts), the Western Australian Industrial Relations Commission announced a 2.5% wage increase, which applies from the first pay cycle on or after 1 July 2021. Therefore, all employees employed in these businesses should now be receiving the increased rates under the relevant Awards.
This is a timely reminder that all employers should take the opportunity to:
- Check which Awards (if any) apply to their employees; work out into which classification each employee falls;
- Confirm that all employees' hourly rates exceed the minimum wage (including any casual loading, penalties, and overtime rates);
- Update any employment contracts or individual flexibility arrangements.
A failure to comply with the Fair Work Act 2009 (Cth) (national system employers) or the Minimum Conditions of Employment Act 1993 (WA) (State system employers), including by underpaying an employee or otherwise breaching a modern Award, can result in penalties for both an employer and directors or other officers.
This can also be a useful time to review employment contracts across your team, ensure your payroll software is suitable for your requirements, and ensure your employee records are kept updated.
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.
