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ARTICLE · 28 JUNE 2014

Award wage increase - what should employers do?

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Employers must comply with award increases at the beginning of each tax year and implement them into payment procedures.

AustraliaEmployment and HR
Swaab Author
Swaab Author
Ellen Davis
Ellen Davis
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IN BRIEF

With the new tax year upon us, for many businesses, workers compensation policy periods turn-over and budgets are being finalised. Amongst all this activity, the increase in award wages and the national minimum wage, can be missed, which can cause headaches for many businesses. This article highlights what businesses need to know.

Last week the Fair Work Commission handed down its determination in regard to its annual national minimum wage review. The Commission awarded all national system employees (excluding state government employees) a 3% increase on top of the minimum wage, effective from the first pay period commencing 1 July 2014.

Currently the minimum wage for a full time employee aged 21 and over stands at $622.20 per week or $16.37 per hour. With the increase, the national minimum wage for a full time employee aged 21 and over will increase to $640.90 per week or $16.87 per hour.

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