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Minimum wages have increased!

Minimum wages have increased! (Last Updated On: June 29, 2015)

Minimum wages increase applies from the first full pay period after 1 July 2015.

  • All modern award rates will increase by 2.5 per cent (with weekly wages rounded to the nearest $0.10)
  • The national minimum wage will increase by 2.5 per cent to $17.29 per hour (and $656.90 per week for a full-time employee), an increase of $0.42 per hour
  • There will be a 2.1 per cent increase in minimum rates under the WA state system
  • High income threshold will increase to $136,700 (employees who earn below this will be entitled to protection from unfair dismissal)
  • Superannuation contributions will remain at 9.5 per cent

 

Do I need to change the rates I pay?

If you already pay above award rates, you may not be required to increase your employees’ wages, provided the rates you currently pay are above the increased minimum award rates. Please also review if there are clauses in employee contracts or an applicable enterprise agreement, stipulating a change in rates.

If you pay your staff at the current award rate, you must increase pay to the minimum rates but only from the first full pay period after 1 July 2015.

If your staff are covered by an enterprise agreement, you must still ensure that the base rates payable under that enterprise agreement are above the increased minimum award rates (as otherwise the award rates will apply). Often enterprise agreements will also stipulate a change of rates in line with any increase to minimum award rates, so it is important to check your agreement carefully.

If you require advice regarding the new rates of pay or allowances, please contact us on 1300 651 415. If you are a client and have requested a wage schedule for a certain award, these will be sent shortly.

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