The Fair Work Commission has today announced a minimum wage increase of 1.75%, with such a change coming into effect on one of three dates depending on which modern award covers the business.
For industries the Fair Work Commission considers to be less affected by the COVID-19 pandemic, the increase will be implemented on the first full pay period after 1 July 2020. For other industries the increase will be implemented on either the 1 November 2020 or the 1 February 2021, depending on the degree of impact the Fair Work Commission considers COVID-19 has had on the industry.
We set out below the relevant date of the increase for the various different awards below.
For employers not covered by any modern award, the ‘National Minimum Wage’ will rise from $740.80 per week or $19.49 per hour up to $753.80 per week or $19.84 per hour from 1 July 2020. This means $13.00 more per week or 35 cents per hour to the hourly rate.
What you need to do next
Employers should review their current rates of pay and work out whether they will be impacted by the changes. If they pay at, or close to, the current minimum wage, then there may well be a need to increase rates of pay.
Employers should remember that the Fair Work Act states that the base rate of pay paid to employees covered by an enterprise agreement cannot be less than the base rate of pay in the corresponding modern award, so there may well be a need to increase the wages of employees covered by an enterprise agreement too.
If you require any assistance with these calculations – or in determining which modern award(s) apply to your business – please contact Employment Innovations.
What date will the minimum wage change in my award?
Group 1 Awards: 1 July 2020
The modern award minimum wages in the awards listed below will be increased by 1.75% from the start of the first full pay period on or after 1 July 2020.
| Aboriginal Community Controlled Health Services Award 2020 MA000115 | Aged Care Award 2010 MA000018 |
| Ambulance and Patient Transport Industry Award 2020 MA000098 | Banking, Finance and Insurance Award 2020 MA000019 |
| Cemetery Industry Award 2020 MA000070 | Children’s Services Award 2010 MA000120 |
| Cleaning Services Award 2020 MA000022 | Corrections and Detention (Private Sector) Award 2020 MA000110 |
| Educational Services (Schools) General Staff Award 2020 MA000076 | Educational Services (Teachers) Award 2010 MA000077 |
| Electrical Power Industry Award 2020 MA000088 | Fire Fighting Industry Award 2020 MA000111 |
| Funeral Industry Award 2010 MA000105 | Gas Industry Award 2020 MA000061 |
| Health Professionals and Support Services Award 2020 MA000027 | Medical Practitioners Award 2020 MA000031 |
| Nurses Award 2010 MA000034 | Pharmacy Industry Award 2020 MA000012 |
| Social, Community, Home Care and Disability Services Industry Award 2010 MA000100 | State Government Agencies Award 2020 MA000121 |
| Water Industry Award 2020 MA000113 |
Group 2 Awards: 1 November 2020
The modern award minimum wages in the awards listed below will be increased by 1.75% from the start of the first full pay period on or after 1 November 2020.
| Aluminium Industry Award 2020 MA000060 | Animal Care and Veterinary Services Award 2020 MA000118 |
| Aquaculture Industry Award 2020 MA000114 | Architects Award 2020 MA000079 |
| Asphalt Industry Award 2020 MA000054 | Australian Government Industry Award 2016 MA000153 |
| Black Coal Mining Industry Award 2010 MA000001 | Book Industry Award 2020 MA000078 |
| Broadcasting, Recorded Entertainment and Cinemas Award 2010 MA000091 | Building and Construction General On-site Award 2010 MA000020 |
| Business Equipment Award 2010 MA000021 | Car Parking Award 2020 MA000095 |
| Cement, Lime and Quarrying Award 2020 MA000055 | Clerks—Private Sector Award 2010 MA000002 |
| Coal Export Terminals Award 2020 MA000045 | Concrete Products Award 2020 MA000056 |
| Contract Call Centres Award 2020 MA000023 | Cotton Ginning Award 2020 MA000024 |
| Dredging Industry Award 2020 MA000085 | Educational Services (Post-Secondary Education) Award 2020 MA000075 |
| Electrical, Electronic and Communications Contracting Award 2010 MA000025 | Food, Beverage and Tobacco Manufacturing Award 2010 MA000073 |
| Gardening and Landscaping Services Award 2020 MA000101 | Higher Education Industry-Academic Staff-Award 2020 MA000006 |
| Higher Education Industry-General Staff-Award 2020 MA000007 | Horticulture Award 2010 MA000028 |
| Hydrocarbons Field Geologists Award 2020 MA000064 | Hydrocarbons Industry (Upstream) Award 2020 MA000062 |
| Joinery and Building Trades Award 2010 MA000029 | Journalists Published Media Award 2010 MA000067 |
| Labour Market Assistance Industry Award 2020 MA000099 | Legal Services Award 2020 MA000116 |
| Local Government Industry Award 2020 MA000112 | Manufacturing and Associated Industries and Occupations Award 2020 MA000010 |
| Marine Towage Award 2020 MA000050 | Maritime Offshore Oil and Gas Award 2020 MA000086 |
| Market and Social Research Award 2020 MA000030 | Meat Industry Award 2020 MA000059 |
| Mining Industry Award 2020 MA000011 | Miscellaneous Award 2020 MA000104 |
| Mobile Crane Hiring Award 2010 MA000032 | Oil Refining and Manufacturing Award 2020 MA000072 |
| Passenger Vehicle Transportation Award 2020 MA000063 | Pastoral Award 2010 MA000035 |
| Pest Control Industry Award 2020 MA000097 | Pharmaceutical Industry Award 2010 MA000069 |
| Plumbing and Fire Sprinklers Award 2010 MA000036 | Port Authorities Award 2020 MA000051 |
| Ports, Harbours and Enclosed Water Vessels Award 2020 MA000052 | Poultry Processing Award 2020 MA000074 |
| Premixed Concrete Award 2020 MA000057 | Professional Diving Industry (Industrial) Award 2020 MA000108 |
| Professional Employees Award 2020 MA000065 | Rail Industry Award 2020 MA000015 |
| Real Estate Industry Award 2020 MA000106 | Road Transport (Long Distance Operations) Award 2020 MA000039 |
| Road Transport and Distribution Award 2020 MA000038 | Salt Industry Award 2010 MA000107 |
| Seafood Processing Award 2020 MA000068 | Seagoing Industry Award 2010 MA000122 |
| Security Services Award 2020 MA000016 | Silviculture Award 2020 MA000040 |
| Stevedoring Industry Award 2020 MA000053 | Storage Services and Wholesale Award 2020 MA000084 |
| Sugar Industry Award 2020 MA000087 | Supported Employment Services Award 2020 MA000103 |
| Surveying Award 2020 MA000066 | Telecommunications Services Award 2010 MA000041 |
| Textile, Clothing, Footwear and Associated Industries Award 2010 MA000017 | Timber Industry Award 2010 MA000071 |
| Transport (Cash in Transit) Award 2020 MA000042 | Waste Management Award 2020 MA000043 |
| Wool Storage, Sampling and Testing Award 2010 MA000044 |
Group 3 Awards: 1 February 2021
The modern award minimum wages in the awards listed below will be increased by 1.75% from the start of the first full pay period on or after 1 February 2021.
| Air Pilots Award 2020 MA000046 | Aircraft Cabin Crew Award 2020 MA000047 |
| Airline Operations-Ground Staff Award 2020 MA000048 | Airport Employees Award 2020 MA000049 |
| Alpine Resorts Award 2020 MA000092 | Amusement, Events and Recreation Award 2020 MA000080 |
| Commercial Sales Award 2020 MA000083 | Dry Cleaning and Laundry Industry Award 2020 MA000096 |
| Fast Food Industry Award 2010 MA000003 | Fitness Industry Award 2010 MA000094 |
| General Retail Industry Award 2010 MA000004 | Hair and Beauty Industry Award 2010 MA000005 |
| Horse and Greyhound Training Award 2020 MA000008 | Hospitality Industry (General) Award 2020 MA000009 |
| Live Performance Award 2010 MA000081 | Mannequins and Models Award 2020 MA000117 |
| Marine Tourism and Charter Vessels Award 2020 MA000093 | Nursery Award 2020 MA000033 |
| Professional Diving Industry (Recreational) Award 2020 MA000109 | Racing Clubs Events Award 2010 MA000013 |
| Racing Industry Ground Maintenance Award 2020 MA000014 | Registered and Licensed Clubs Award 2010 MA000058 |
| Restaurant Industry Award 2020 MA000119 | Sporting Organisations Award 2020 MA000082 |
| Travelling Shows Award 2020 MA000102 | Vehicle Repair, Services and Retail Award 2020 MA000089 |
| Wine Industry Award 2010 MA000090 |
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Disclaimer
The information provided in these blog articles is general in nature and is not intended to substitute for professional advice. If you are unsure about how this information applies to your specific situation we recommend you contact Employment Innovations for advice.