- Australia’s minimum wage will increase by 5.75 per cent.
- The increase will come into effect from 1 July.
- About 2.7 million workers will be affected by the Fair Work Commission’s ruling.
On Friday, Mr Harrison was among the millions of workers to get a pay increase as a result of the annual wage decision by the Fair Work Commission.
Mr Harrison said the increase won’t completely alleviate the cost of living pressures he faces, but it would provide “a bit more comfort”.
The pay increase will come into effect from 1 July. Source: AAP / Bianca De Marchi
Fair Work Commission President Adam Hatcher said the expert panel considered a range of factors, including the impact of low-paid workers.
“We acknowledge that this increase will not maintain the real value of modern award minimum wages, nor reverse the reduction real value which has occurred over recent years. However, the level of wage increase is what we consider to be justified in the current economic circumstances,” he said.
Joanna Clements is among those affected by the Fair Work Commission’s decision to raise the minimum wage. Source: SBS News
For Joanna Clements, the decision to lift the national minimum wage makes her feel like her hard work has been acknowledged.
“I’m very excited… I’ve seen a lot of very good things over the years in community services and disability over the past few years,” she told SBS News.
Ms Clements said it would mean she could put enough petrol in her car to go and visit her family in Bathurst.
Unions welcome ‘essential increase’
Monthly inflation data from the Australian Bureau of Statistics shows the increase during the pandemic. Source: SBS News
Employer groups warn of increased costs to businesses
The group’s CEO Andrew McKellar labelled the decision “disappointing”. He said it would increase costs for business owners.
“ACCI’s concern is that it will have an impact on hiring decisions in the future and it will have an impact on some small businesses.”
Pledge to address gender equality
“The scope and timing of the present review has prevented these gender equality issues being addressed to finality. However, the imperative of the amendments made by the Parliament to the Fair Work Act last year concerning general equality is that these issues must be resolved in future proceedings,” he said.
“It will get us over the first hurdle – with the massive increase in rent that people are experiencing – and hopefully set us up for an outcome next year that will take into account the significant gender pay gap, which is huge in the retail industry, where the overwhelming majority of workers are women.”