The Fair Work Commissionโs Expert Panel has finalised its Annual Wage Review for 2013/14, and today delivered its decision to increase the national minimum wage and all minimum wages in modern awards by 3 percent. The increase takes effect from the first full pay period after 1 July 2014, and wages are to be rounded to the nearest 10 cents.
The Panel found that the broader economic outlook remains sound, with employment growth expected to be stronger and inflation contained. It was noted that the real value of minimum wages would decline if an adjustment below the rate of inflation (2.9 percent) was awarded, but the Panel also took into account the impending benefits to employees from the Superannuation Guarantee rate increase which is to apply from 1 July 2014 (when minimum superannuation contributions are to rise from 9.25 percent to 9.5 percent) when settling on the 3 percent rise.
Whether your staff are covered by an enterprise agreement, modern award or the national minimum wage, if you need assistance with ensuring your business is paying the correct rates when the July increase comes into effect, contact our legalย team to make use of EIโs wage rate update service.