Increase of Minimum Wage from 1 July 2019

Did you know?

On 30 May 2019, the Fair Work Commission (FWC) has declared a 3.0% increase to minimum wage effective from the first full pay period on or after 1 July 2019.

New National Minimum Wage

The enactment of the 3.0% percent rise on the minimum wage rate will apply to both earners of minimum wages and modern award minimum wages. As such, the current minimum wage will increase from:

  • $719.20 to $740.80 per week (increase of $21.60) or;
  • $18.93 to $19.49 per hour (increase of $56 cents)
  • For employees covered by an award, award rates will increase by 3.0%
  • Casual loadings in the modern awards and for award/agreement free employees will remain at 25%.

However, the employees who already get paid more than the new minimum wage will not be affected by the new rule, but it is advised that the employers ensure the rates will remain to be beneficial once the increase applies.

Employers should also review or conduct an audit on their annualised salary arrangements to ensure that the annual salary compensates the award entitlements. This also includes casual loadings, penalties, allowances, overtimes, etc.

For more information, the FWC’s full declaration with regards to this new ruling can be accessed here.