National Minimum Wages Changes Explained

From 1 July 2023 the?national?minimum wage?increases to $882.80 per week ($23.23 an hour).?For a 38-hour per week full-time employee this is an increase of $70.20 per week or $1.85 an hour.

That is a significantly higher increase than in 2022, where the increase was $40 per week or $1.05 per hour.

Minimum wages in?modern awards?increase by 5.75% from 1 July 2023.?The increase also applies to modern enterprise award wages and State reference public sector awards.

The increase takes effect so that employees will be entitled to receive the increase from their first full pay period on or after 1 July 2023.

There are also increases for junior employees, employees on training arrangements and employees with a disability.

Employers should also be aware that the minimum superannuation guarantee contribution increases to 11% from 1 July 2023.

Recommended Actions

Some recommended actions are:

1. to check wage increases for employees to ensure that wages are still compliant after 1 July 2023;
2. to also review annualised salaries for compliance; and
3. to also check and ensure that superannuation contributions are still compliant after 1 July 2023.

More information about the increases and when they take effect is?available here.

Some?more information is available here?or you can?book online for an initial no-obligation chat?about reviewing an employment contract or contractor agreement.