The national minimum wage has increased to $21.38 per hour (up from $20.33) or $812.60 per week (up $40 from $772.60) based on a 38-hour week for a full-time employee. This increase applies from an employee’s first full pay period starting on or after 1 July 2022.
On 15 June 2022, the Fair Work Commission announced a $40 per week (which amounts to 5.2 per cent) increase to the national minimum wage following its Annual Wage Review.
Casual employees entitled to the national minimum wage must receive a minimum $26.73 per hour, which includes their 25 per cent casual loading.
Employees covered by awards will have their minimum wage rates increased by 4.6 per cent, which is subject to a minimum increase for adult award classifications of $40 per week based on a 38-hour week for a full-time employee. This means award minimum wage rates above $869.60 per week will receive a 4.6 per cent increase, and wage rates below $869.60 per week increase by $40 per week.
Other award wages, including junior, apprentice and supported wages that are based on adult minimum wages, will get a proportionate increase.
The increases to award wages will happen in two stages, with most award wages increasing from 1 July 2022. For 10 awards in the aviation, hospitality and tourism industries, the increase will start from 1 October 2022.
Employees covered by awards will have their minimum wage rates increase from the first full pay period starting on or after the relevant date.
Fair Work Ombudsman Sandra Parker said workplaces must ensure all their employees are paid at least the relevant minimum wage, in accordance with the Fair Work Commission’s decision.