Home - Time to recheck your employees’ wage rates

UpdatesDec 14, 2021

Time to recheck your employees’ wage rates

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:

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

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