The Fair Work Commission (FWC) yesterday handed down its decision under the Annual Wage Review 2020-2021, increasing the federal minimum wage from $753.80 to $772.60 a week.
The minimum hourly rate will increase from $19.84 to $20.33.
This is an increase of 2.5% to the current minimum wage. The 2019-20 decision increased minimum wages by 1.75% – the lowest increase in 12 years.
Given the current exceptional circumstances, there will be staggered operative dates for the increases.
The increases applying to Aviation and Tourism Awards and certain Retail Trades awards will take effect on 1 November 2021. The General Retail Industry Award rise will have an operative date of 1 September 2021. All other modern awards will have an operative date of 1 July 2021 for the increases.
President Justice Iain Ross said the decision would directly affect 2.2 million Australian workers and would indirectly affect many more.
The rise will flow through to workers paid under awards, many under individual contracts and some covered by enterprise agreements where wage increases track against the minimum.
The FWC decision and associated information can by accessed here.
