Australia’s lowest-paid workers have something to cheer about.
The minimum wage workers in Australia will get a 3.75% pay rise over the next 12 months. Australia’s Fair Work Commission has announced a 3.75% increase to the National Minimum Wage and minimum award wages. Each year, the Fair Work Commission reviews both the National Minimum Wage and minimum pay rates under awards (Annual wage review)
From July 1, 2024, Australia’s National Minimum Wage will increase by 3.75% and the new National Minimum Wage will be $915.90 per week or $24.10 per hour.
The increase applies from the first full pay period starting on or after July 1, 2024. If your weekly pay period begins on Wednesday, the new rates will apply from Wednesday 3 July 2024.
The National Minimum Wage applies to employees not covered by an award or registered agreement.
The Commission has also announced that minimum award wages will increase by 3.75%. Most employees are covered by an award.
Awards are legal documents that outline minimum pay rates and conditions of employment in your industry or occupation.
The minimum wage refers to the amount of pay before tax is taken out (gross pay).
Some employees have a different minimum wage depending on their employment type, age or work capacity.
Further, there are some awards with special pay rates, or that allow employers to make other pay arrangements.
The National Minimum Wage applies to employees not covered by an award or registered agreement.
This is the minimum pay rate provided by the Fair Work Act 2009 and is reviewed each year.
As of July 1, 2023 the National Minimum Wage was $23.23 per hour or $882.80 per week. Employees covered by an award or registered agreement are entitled to the minimum pay rates, including penalty rates and allowances in their award or agreement.
These pay rates may be higher than the National Minimum Wage.
Each year, the Fair Work Commission reviews both the National Minimum Wage and minimum pay rates under awards (Annual wage review).
Most changes begin on the first full pay period on or after 1 July.
Australia’s government had planned to increase the minimum wage in line with inflation this year to help low-income families cope with living costs.
The FWC raised the minimum wage by 5.75% in July of last year in response to rising living expenses, a move that some had feared might accelerate inflation.
Nonetheless, there is no indication of a detrimental wage-price spiral, and inflation has decreased from a peak of 8.4% to a two-year low of 3.4%. By June 2024, the Reserve Bank of Australia expects inflation to gradually decline to 3.3%.
Source : https://www.financialexpress.com/business/investing-abroad-australia-minimum-wages-for-lowest-paid-workers-raised-by-3-75-3543788/
