2021 Annual Wage Review Increase
How much is the increase?
Yesterday the Fair Work Commission announced a 2.5% increase to the national minimum wage and award minimum wages bringing the national minimum wage to $20.33 per hour, or $772.60 a week for full-time workers.
How is the rate determined?
Fair Work Commission president Justice Iain Ross said this year's economic circumstances were very different to those at the time of last year's 1.75% minimum wage increase, announced at the height of the pandemic.
In determining the decision, the panel reviewed submissions from a number of stakeholders including, the Australian government, State governments, unions and employers.
"There was a broad consensus in the submissions before us that the current performance of the economy has exceeded expectations and that the economic recovery is well underway," he said, explaining the decision.
The decision also took into account the 0.5% increase in the superannuation guarantee.
When does it come into effect?
As with last year's award wage increase, the commission has delayed operative date for the increase in some industries.
The following Awards in the aviation, tourism, fitness and certain retail sectors increases will take effect on November 1, 2021:
Air Pilots Award 2020
Aircraft Cabin Crew Award 2020
Airline Operations – Ground Staff Award 2020
Airport Employees Award 2020
Airservices Australia Enterprise Award 2016
Alpine Resorts Award 2020
Amusement, Events and Recreation Award 2020
Dry Cleaning and Laundry Industry Award 2020
Fitness Industry Award 2020
Hair and Beauty Industry Award 2010
Hospitality Industry (General) Award 2020
Live Performance Award 2020
Mannequins and Models Award 2020
Marine Tourism and Charter Vessels Award 2020
Nursery Award 2020
Racing Clubs Events Award 2020
Racing Industry Ground Maintenance Award 2020
Registered and Licensed Clubs Award 2020
Restaurant Industry Award 2020
Sporting Organisations Award 2020
Travelling Shows Award 2020
Wine Industry Award 2020.
Increases to the General Retail Industry Award 2020 will take effect on September 1, 2021.
For all other Awards the increase will take effect from July 1, 2021.
Want to see the detail?
You can view the full decision or the summary on the Fair Work Commission website.
Annual Wage Review 2020–21 [2021] FWCFB 3501 (16 June 2021) - Summary
Annual Wage Review 2020–21 [2021] FWCFB 3500 (16 June 2021) - Decision
What do you need to do?
If you employee staff under a modern Award you will need to apply the increase in the pay period following July 1, September 1 or November 1, 2021.
If you employee staff under common law agreements or annualised wage agreements, you need to review your wages and ensure they still meet the minimum rates.