The Fair Work Ombudsman’s pay tools are updated and ready for the minimum wage increase.
Earlier this month, the Fair Work Commission announced that the national minimum wage will increase by 2.4 percent, which will mean the new national minimum wage will be $672.70 per week or $17.70 per hour. This is an increase from the current minimum wage of $656.90 per week or $17.29 per hour, which was the result of a 2.5 percent increase last year.
The Fair Work Ombudsman’s website states that the increase applies to employees who get their pay rates from the national minimum wage, a modern award or a registered agreement (in some cases). The new minimum wage will also apply to employees who aren’t covered by an award or an agreement. The new minimum wage will not affect employees who are already getting paid more than the new minimum wage.
The new minimum wage applies from the first pay period that starts on or after 1 July. The Fair Work Ombudsman have provided the following example to give businesses an idea of when it would apply:
“If your pay week is from Monday to Sunday, the new pay rates would take effect on Monday 4 July.”
The Fair Work Ombudsman have updated their downloadable Pay Guides for awards, which can be found here. They have also updated their Pay and Conditions Tool (PACT), which was launched around this time last year, with the new minimum wage, can be found here.
More information on the 2016 national minimum wage review, including instructions on how to find the latest pay rates through PACT and how to stay up-to-date can be found here.