Minimum wage increase starts today

The Fair Work Ombudsman is reminding employers that the national minimum wage has increased today to $20.33 per hour (up from $19.84) or $772.60 per week (up from $753.80).

On 16 June 2021, the Fair Work Commission announced a 2.5 per cent increase to the national minimum wage, following its Annual Wage Review. This increase applies from the first full pay period starting on or after today.

Employees covered by awards will also have base rates increased by 2.5 per cent, however, these increases to award wages begin on different dates for different groups of awards.

Casual employees that the national minimum wage applies to must receive a minimum $25.41 per hour including their 25 per cent casual loading.

Most award wages will increase from 1 July 2021, with the following exceptions:

• wages in the Retail Award will increase from 1 September 2021;
• wages in 21 other awards where the Fair Work Commission deemed there were exceptional circumstances will increase from 1 November 2021. A list of these awards can be found at Annual Wage Review 2021.

Employees covered by awards will have their base rate increase from the first full pay period starting on or after the relevant date.

Fair Work Ombudsman Sandra Parker said workplaces are expected to ensure all their employees are paid at least the relevant minimum wage, in line with the Fair Work Commission’s decision.

“The Fair Work Ombudsman has free online tools available to help employers comply with their workplace obligations, which have been updated to reflect the new pay rates.”

“We urge all businesses to use our Pay and Conditions Tool to check the lawful minimum rates they need to pay their staff, or to contact us directly for free assistance,” Ms Parker said.

“We encourage workers to use the Pay and Conditions Tool to check their rates of pay. If workers are unsure which award applies to them, they can use our Find my award tool.”

“If employers and employees have any queries or concerns about pay rates, they can contact the Fair Work Ombdusman for free advice and assistance,” Ms Parker said.

The Fair Work Ombudsman enforces compliance with the Fair Work Act 2009, related legislation, awards and registered agreements and helps employers and employees by providing advice and education on pay rates and workplace conditions.

The Fair Work Commission is the independent national workplace relations tribunal. It is responsible for maintaining a safety net of minimum wages and employment conditions, as well as a range of other workplace functions and regulation.

Fair Work Ombudsman - 1st July 2021