News

Fair Work Annual Wage Review 2020-2021 Decision

On Wednesday 17 June 2020 the Fair Work Commission handed down its Annual Wage Review 2020 – 2021 decision.

From 1 July 2021, the minimum wage will increase by 2.5 percent to $772.60 per week or $20.33 per hour.

Modern award wages will also be increased by 2.5 percent, rounded to the nearest 10 cents.

Whilst for most modern awards the increase will take effect from 1 July 2021, there are a number of modern awards, where the increase will be delayed until 1 September 2021 or 1 November 2021, please see below.

Under the Fair Work Act 2009 (Cth), employers must pay their employees the minimum wage under the applicable modern award, and as such will need to pass on the pay increases in accordance with the decision.  This also includes those employees covered by Agreements where those rates fall below the new minimum wage.

If employers pay their employees above the minimum wage, they may be able to absorb some or all of the increase, but this may depend on contractual arrangements.

Please note, that employees covered by the Social, Community, Home Care and Disability Services Industry Award 2010 were subject to the Equal Remuneration Decision and the annual wage increase will need to be applied on top of these rates. 

Increase in modern award wages that will come into operation on 1 September 2020:

  • General Retail Industry Award 2020

Increase in modern award wages that will come into operation on 1 November 2020:

  • Air Pilots Award 2020;
  • Aircraft Cabin Crew Award 2020;
  • Airline Operations – Ground Staff Award 2020;
  • Airport Employees Award 2020;
  • Airservices Australia Enterprise Award 2016;
  • Alpine Resorts Award 2020;
  • Amusement, Events and Recreation 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;
  • Mannequins and Models Award 2020;
  • Marine Tourism and Charter Vessels Award 2020;
  • Nursery 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;
  • Travelling Shows Award 2020;
  • Wine Industry Award 2020.

Please contact Naomi Boyle at WPL on 9972 4950 or at nboyle@workplacelegal.com.au for assistance to ensure that you are paying your employees the minimum wage.

Back to news