Annual Wage Review Decision 2017

8th June 2017

The Fair Work Commission has decided to increase the National Minimum Wage and all modern award wages by 3.3 percent operative from 1 July 2017.

In a statement delivered on 6 June President Ian Ross, said “… it is appropriate to increase the NMW and the factors identified in our decision have led us to award an increase of 3.3 per cent. The national minimum wage will be $694.90 per week, or $18.29 per hour. The hourly rate has been calculated by dividing the weekly rate by 38, on the basis of the 38-hour week for a full-time employee. This constitutes an increase of $22.20 per week to the weekly rate or 59 cents per hour to the hourly rate.”

Justifying the decision to increase wages beyond the cost of living, President Justice Ross referred to the prevailing economic circumstances provided an opportunity to improve the relative living standards of the low paid and to enable them to better meet their needs. In particular he pointed to recent real value increases in the NMW of 4.3 per cent over the past five years accounted for less than half the rate of growith of labour productivity.

You can read the full statement here. For advice on the increases to modern award applicable to your business please contact me on 03 9097 1771 or advice@maguire.com.au