Some of the lowest-earning Australians will receive a wage increase from 1 July, after the FairWork Commission announced an increase to minimum and award wages.
On Friday 2 June, the Commission announced that award rates of pay will be increased by 5.75 per cent and the National Minimum Wage will be increased by 5.75 per cent from 1 July.
In the summary of the decision, the Fairwork Commission said there are currently 121 modern awards throughout various industries and occupations.
“Approximately 20.5 per cent of employees are paid in accordance with minimum wage rates in modern awards,” the Commission said.
“There are some additional categories of employees who are also affected by the Review in a less direct way by Review outcomes being ‘flowed on’ by various means.”
The new minimum wage will be $23.23 an hour or $882.80 for a 38-hour work week.
The Commission said it “acknowledges that the increase will not maintain the real value of modern award minimum wages nor reverse the reduction in real value which occurred over recent years.”
“However, the level of wage increase we have determined is, we consider, the most that can reasonably be justified in the current economic circumstances,” it said.
“In the medium to long term, it is desirable that modern award minimum wages maintain their real value and increase in line with the trend rate of national productivity growth.”
