Many modern awards have implemented minimum wage rate increases of 2.5% beginning from the first pay period following 1 November 2021. The modern awards that are subject to this wage rate increase are those relating to the industries that have been most adversely affected by the COVID-19 pandemic.

Which modern awards are affected?

The following modern awards are subject to the wage rate increase:

• Airline Ground Staff Award 2020;
• Airport Employees Award 2020;
• Alpine Resorts Award 2020;
• Amusement, Events and Recreation Award 2020;
• Aircraft Cabin Crew Award 2020;
• Dry Cleaning and Laundry Industry Award 2020;
• Fitness Industry Award 2020;
• Hair and Beauty Industry Award 2010;
• Hospitality Industry (General) Award 2020;
• Live Performance Award 2020;
• Marine Tourism and Charter Vessels Award 2020;
• Mannequins and Models Award 2020;
• Nursery Award 2020;
• Air Pilots Award 2020;
• Racing Clubs Events Award 2020;
• Racing Industry Ground Maintenance Award 2020;
• Registered and Licensed Clubs Award 2020;
• Restaurant Industry Award 2020;
• Sporting Organisations Award 2020;
• Traveling Shows Award 2020; and
• Wine Industry Award 2020.

What this means for you

Irrespective of what industrial instrument your business uses to outline your employees’ terms and conditions of employment, you must pay each of your employees the relevant minimum wage or higher. As such, if you have a business in any of the industries covered by the affected modern awards, you must check that each employee is paid no less than the minimum wage for their classification under the relevant award.

If your business pays above the relevant minimum wage rate in the award, you do not have to pass the increase on, but you do need to check in overall terms that employees won’t receive less than what is stipulated in the relevant modern award.

By Kelly Godfrey