2017 Annual Wage Review – Decision Issued
The Minimum Wage Panel of the Fair Work Commission (FWC) recently handed down its Minimum Wage Ruling.
The FWC has awarded an increase of 3.3% to all adult full time weekly rates in the Modern Awards from the first pay period commencing (ppc) on or after 1 July 2017. Proportionate increases will flow to part time and casual workers.
The 3.3% increase results in the National Minimum Wage (NMW) increasing to $694.90 per week (or $18.29 per hour). Casual workers who remain ‘award free’ will have the casual minimum rate increased to $22.86 per hour from ppc 1 July 2017.
Here is the key action you’ll need to consider depending on your situation:
All businesses with enterprise agreements will need to ensure that the base rates of pay in their enterprise agreements are at least equal to the relevant rate in respective Awards as increased by the decision.
Individual Flexibility Agreements and Exemption Rate Salaries
All businesses with Individual Flexibility Agreements and Exemption Rate Salaries need to ensure that employees are “better off overall” when compared to the applicable Award comparison.
Over Award Paid Employees
Businesses who pay employees above the Award rate are not obliged to increase these employee rates but must ensure they are at least equal to or above the minimum applicable Award rate of pay following this increase.
Further advice and assistance
Workplace laws in Australia are some of the most complex in the world. Workforce Guardian is Australia’s leading HR and employment relations service for employers. Through their online HR system, you can access resources that can assist you in managing your employee wages and ensure you are fully compliant with workplace laws.
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