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Fair Work Commission increases minimum wage

The Fair Work Commission has made its wage decision today, handing down a ‘split increase’. It was the panel’s decision that the National Minimum Wage should increase by $40 per week, or 5.2 per cent, and that award-reliant workers earning above the adjusted minimum rate receive a 4.6 per cent increase.

In effect, modern award minimum wage rates above $869.60 per week will receive a 4.6 per cent adjustment, wage rates below $869.60 per week will be adjusted by $40 per week. This increase will be proportioned for apprentices and trainees.

The effective date for the vast majority of awards will be from the first full pay period on or after 1 July 2022.

Master Electricians will be aware from previous years that in late June the Fair Work Commission will revise each award and announce new rates, including changes to allowances, etc.

The Commission has delayed the increase for small group of awards including:
  • Aircraft Cabin Crew Award 2020
  • Airline Operations – Ground Staff Award 2020
  • Air Pilots Award 2020
  • Airport Employees Award 2020
  • Airservices Australia Enterprise Award 2016
  • Alpine Resorts Award 2020
  • Hospitality Industry (General) Award 2020
  • Marine Tourism and Charter Vessels Award 2020
  • Registered and Licensed Clubs Award 2020
  • Restaurant Industry Award 2020.

These included the Awards that were found to warrant a delay to their increases to 1 October 2022.

 

New Wage Sheets

Updated wage summaries for the Electrical, Electronic and Communications Contracting Award 2020 and the Clerks – Private Sector Award 2020 are now available on the Master Electrician member’s website.

The Fair Work Commission has made its wage decision earlier this month, handing down a ‘split increase’. It was the panel’s decision that the National Minimum Wage should increase by $40.00 per week, or 5.2 per cent, and that award-reliant workers earning above the adjusted minimum rate receive a 4.6 per cent increase.

In effect, modern award minimum wage rates above $869.60 per week will receive a 4.6 per cent adjustment, wage rates below $869.60 per week will be adjusted by $40 per week. This increase will be proportioned for apprentices and trainees.

ACCESS THE NEW WAGE SUMMARIES HERE

Most allowances increase based on a proportion of the award tradesperson rate; however, some allowances are adjusted by variable CPI indices. There are a number of increases to these allowances this year.

Please note: this wage increase does not apply to Partnerships and Sole Traders in Western Australia. However, there has also been a wage increase for these businesses.

WA Sole Traders and Partnerships Wage Increase for 1 January 2021

Please note: this wage increase ONLY applies to Partnerships and Sole Traders in Western Australia.

The Western Australian Industrial Relations Commission has made a determination to increase the minimum award wage by a $40.90 to the state minimum wage to take effect from your first full pay period beginning on or after 1 July 2022.

Important: Apprentice and trainee wages will be affected by the increase.

Employers operating under state registered Enterprise Agreements will need to refer to the terms of their agreement to determine whether this wage increase will have any bearing on their rates.

Location Allowance

Location allowances for employees working in regional areas increased from 1 July 2022.

Please note that this wage increase only applies to award-level minimum wages. If you are already paying above the award, and the wage increase results in a new minimum award wage that is still below the rate you are currently paying, you are not obligated to increase your employee’s wages.

For further information, Master Electricians have unlimited access to the Employer Advice Line on 1300 889 198.

 

Additional Notes
  1. Employers operating under registered Enterprise Agreements will need to refer to the terms of their agreement to determine whether this wage increase will have any bearing on their rates.
  2. Employers who pay over and above these minimum rates will be able to absorb this increase into the rates already paid. This wage increase will affect those Members whose employees are paid on rates in accordance with the modern awards.
  3. The Modern Award summary notes will also be updated and a soft copy will be circulated to members via email. Members who have registered online will receive a hard copy in the mail.
  4. This increase does not affect Western Australian sole traders, partnerships or non-constitutional employers.

 

For further information, Master Electricians have unlimited access to the Employer Advice Line on 1300 889 198.

 

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