July 1 has come and gone - are you across the legislative changes that
could affect how you do business? Here are the changes you need to know in
National minimum wage increase
As of July 1, the National Minimum wage has increased by 3.3%. This is an
increase of $22.20 per week, and brings the minimum hourly rate to $18.29 an
hour. The minimum weekly take-home pay for full time employees will now be
$694.90 per week.
Modern award wages increase
The Award base rates have also increased by 3.3% and weekly wages for awards
are now to be rounded to the nearest 10c.
Changes to high-income threshold and maximum payout for unfair
As of July 1, the Fair Work Commission’s high-income threshold has increased
from $138,900 to $142,000. This means employees who earn more than $142,000
each year cannot make a claim against an employer for unfair dismissal. This
amount includes the employees’ wages and the agreed value of non-monetary
benefits, but does not include commissions, bonuses or overtime an employee
might have earned.
The maximum amount the Fair Work Commission can order in compensation for an
unfair dismissal case will also increase to $71,000, up from $69,540 last year.
Penalty rates changes – ONLY fast food, retail, pharmacy and
From July 1, businesses are now able to roll out the first part of changes
to Sunday penalty rates for workers in the fast food, retail, pharmacy and
These changes start with drops of 5% from the previous Sunday rates, with
further cuts to be rolled out over the next three to four years. So DON'T
implement the full penalty rate change now.
To find out how the changes will be implemented for each award
click here: How to implement Sunday Penalty Rate changes
From July 1, changes to public holiday penalty rates for the awards
specified by the Commission in its original decision will be implemented
in full. To find out how to implement public holiday rate changes click here: How to implement Public Holiday rate changes
If you have any doubts you're implementing these legislative changes
correctly in your business, we urge you to call us before the Fair Work
Ombudsman calls on you! Or stay up to date by joining our mailing list below.
REMEMBER: each non-compliance a Fair Work Inspector uncovers as a breach
of the Fair Work Act, can set you back up to $54,000 PER BREACH. And think
again if you think telling them "I didn't realise" will get you out
of a Fair Work fine.... It won't! Not knowing will be no defence.