National Minimum Wage increased by 1.75% from 1 July 2020.
On Friday 19 June 2020 the Fair Work Commission handed down the Annual Wage Review 2019–20 decision.
Key Feature of the Decision
The National Minimum Wage has been increased by 1.75% to $753.80 per week, or $19.84 per hour. The minimum wage increase will take effect from the first full pay period on or after 1 July 2020.
Modern Award minimum rates of pay will also increase by 1.75%. Modern Award increases will have staggered operational times:
| Award Group | Operative Date |
|---|---|
| Group 1 | 1 July 2020 |
| Group 2 | 1 November 2020 |
| Group 3 | 1 February 2021 |
What this means for businesses
Businesses that pay employees in line with the National Minimum Wage need to make sure that employees are paid in accordance with the new minimum rates from the first full pay period on or after 1 July 2020.
Business that pay employees in line with Modern Awards need to make sure that employees are paid in accordance with the new minimum rates from the first full pay period on or after the operative day for the relevant Modern Award.
For enterprise agreement covered employees, business must ensure that the base rates in the enterprise agreement will not fall below the new base rates in the relevant Modern Award or the National Minimum Wage.
Modern awards in each group:
Group 1 Awards: 1 July 2020
The modern award minimum wages in the awards listed below will be increased by 1.75 per cent from the start of the first full pay period on or after 1 July 2020.
- Aboriginal Community Controlled Health Services Award 2020 MA000115
- Aged Care Award 2010 MA000018
- Ambulance and Patient Transport Industry Award 2020 MA000098
- Banking, Finance and Insurance Award 2020 MA000019
- Cemetery Industry Award 2020 MA000070
- Children’s Services Award 2010 MA000120
- Cleaning Services Award 2020 MA000022
- Corrections and Detention (Private Sector) Award 2020 MA000110
Educational Services (Schools) General Staff Award 2020 MA000076 Educational Services (Teachers) Award 2010 MA000077
- Electrical Power Industry Award 2020 MA000088
- Fire Fighting Industry Award 2020 MA000111
- Funeral Industry Award 2010 MA000105
- Gas Industry Award 2020 MA000061
- Health Professionals and Support Services Award 2020 MA000027
- Medical Practitioners Award 2020 MA000031
- Nurses Award 2010 MA000034
- Pharmacy Industry Award 2020 MA000012
- Social, Community, Home Care and Disability Services Industry Award 2010 MA000100
- State Government Agencies Award 2020 MA000121
- Water Industry Award 2020 MA000113
- Australian Federal Police Enterprise Award 2016; MA000142
- Christmas Island Administration Award 2016 MA000149
- Reserve Bank of Australia Award 2016 MA000140
- Northern Territory Public Sector Enterprise Award 2016 MA000151
- Nurses and Midwives (Victoria) State Reference Public Sector Award 2015 MA000125
- Nurses (ANMF – Victorian Local Government Award) 2015 MA000131
- Victorian Government Schools Award 2016 MA000155
- Victorian Government Schools – Early Childhood – Award 2016 MA000152
- Victorian Local Government (Early Childhood Education Employees) 2016 MA000150
- Victorian State Government Agencies Award 2015 MA000134 [2020]
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