Australiaโs Minimum Wage Increase
As a result of the Fair Work Commissionโs annual wage review, there have been some changes to the national minimum wage and to modern award minimum wages.
On Wednesday 15 June 2022, the Commission announced a 5.2 per cent increase to the National Minimum Wage which amounts to $812.60 per week or $21.38 per hour. The Panel observed that this level of increase will protect the real value of the wages of the lowest-paid workers.
The Panel decided to increase modern award minimum wages by 4.6 per cent subject to a minimum increase for adult award classifications. In effect, modern award minimum wage rates above $869.60 per week will receive a 4.6 per cent adjustment on their current rate; wage rates below $869.60 per week will be adjusted by a maximum of $40 per week.
Award Change Dates
The above changesโ operative date is 1 July 2022 for all modern awards, except for the following, which have an operative date of 1 October 2022 due to exceptional circumstances.
- Aircraft Cabin Crew Award 2020
- Airline Operations โ Ground Staff Award 2020
- Air Pilots Award 2020
- Airport Employees Award 2020
- Airservices Australia Enterprise Award 2016
- Alpine Resorts Award 2020
- Hospitality Industry (General) Award 2020
- Marine Tourism and Charter Vessels Award 2020
- Registered and Licensed Clubs Award 2020
- Restaurant Industry Award 2020
Superannuation Changes
In addition to an increase in minimum wages, there are changes to Superannuation taking effect from 1 July 2022.
These include:
- Removal of the $450 super guarantee threshold
- Increase in the super guarantee rate from 10% to 10.5%
For more information, please follow the below links.
Annual Wage Review: Annual Wage Review 2021-22 decision [2022] FWCFB 3500
Super Guarantee Threshold: Removing the $450 per month threshold for super guarantee eligibility | Australian Taxation Office (ato.gov.au)
Super Guarantee: Get ready for super changes from 1 July | Australian Taxation Office (ato.gov.au)
If you have any questions about these changes, please contact us at Key Business Advisors on 1300 4 ADVICE or email info@keyba.com.au
