July 1, 2021

Fair Work minimum pay rate increase from 1 July 2021

Fair Work minimum pay rate increase from 1 July 2021

1 July 2021

Pay rates have gone up as of 1 July 2021 across Australia.

The national minimum wage has increased to $20.33 per hour (up from $19.84) or $772.60 per week (up from $753.80).

On 16 June 2021, the Fair Work Commission announced a 2.5 per cent increase to the national minimum wage, following its Annual Wage Review. This increase applies from the first full pay period starting on or after today.

Employees covered by awards will also have base rates increased by 2.5 per cent, however, these increases to award wages begin on different dates for different groups of awards.

Casual employees that the national minimum wage applies to must receive a minimum $25.41 per hour including their 25 per cent casual loading.

Most award wages will increase from 1 July 2021, with the following exceptions for industries that have been hit hard by COVID:

  • wages in the Retail Award will increase from 1 September 2021;
  • wages in 21 other awards where the Fair Work Commission deemed there were exceptional circumstances will increase from 1 November 2021. A list of these awards can be found at Annual Wage Review 2021.

Employees covered by awards will have their base rate increase from the first full pay period starting on or after the relevant date.

Feeling stuck ? 

Be sure to refer to the Fair Work Ombudsman's free online tools available to help employers comply with their workplace obligations, they also reflect the new pay rates.

And feel free to reach out if you have any questions about this change, we're glad to help!

About the author 

Vivian Michael

As founder and lawyer at Michael Law Group, Vivian advises Australia's top entrepreneurs on business and employment matters. Clients benefit from Vivian's commercially focussed and pragmatic legal advice, business experience, and commitment to deliver the best quality business legal services to her clients.

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