This article provides full information about the revised minimum wage in Australia for the period July 2019 to June 2020.. It also helps to understand the entire concept of the Fair work Commission, Australian award rates / award wages, Casual minimum wage & casual loading.
Who determines the minimum wages in Australia
The Fair Work Commission’s (FWC) expert panel reviews the minimum wages in the national workplace relations system.
After the review, a national minimum wage order is made which is applicable from 1st July to 30th June of the next year.
The review by FWC is done on the basis of –
- Written submissions from interested individuals and organizations
- Research done by the expert panel
- Consultations before the expert panel
You can find more details about the Fair work Ombudsman of Australian Government, on this link – https://www.fairwork.gov.au/
National Minimum wage order
The national minimum wage order set the following wages –
- National minimum wage
- a casual loading.
- Special national minimum wage for the following –
- Trainees, apprentice and junior employees
- employees to whom training arrangements apply
- employees with a disability
Current National minimum wage in Australia
As per the last Annual Wage Review by “The Fair Work Commission”, the national minimum wage of Australia has been revised for the period from 1st July 2019 to 30th June 2020.
The national minimum wage for this period is $740.78 per week, or $19.49 an hour. This is before-tax amount.
The figure amounts to an increase of 3.0% or increase of $21.60 per week to the weekly rate of previous year.
Australia’s national minimum for the previous one year (i.e. for the period 1st July 2018 to 30th June 2019 ) was $18.93 per hour or $719.2 per 38 hour week.
Casual employees also get at least a 25% casual loading.
The rates of wage are fixed and applicable for all states in Australia i.e NSW ( New South Wales), Victoria, QLD (Queensland), Tasmania, Western Australia & South Australia.
Casual employees & Casual Loading
Casual employees are those employees who don’t have any guaranteed hours of work and doesn’t get paid sick or annual leave. They usually work irregular hours and can end employment without notice if the notice clause is not specifically required by award or employment contract.
Casual employees should get a higher hourly pay rate of minimum wage. This higher payment is called ‘casual loading’ and is paid because the causal employees don’t get benefits like sick and casual leaves.
For further details about Minimum Wages, you can refer to this link of Australian Government Fair Work Ombudsman – Minimum Wages – Fair Work Ombudsman – Australian Government
History of Minimum Wage in Australia
Following is the history of Australia Minimum wage for last 10 years –
- The Minimum Wage rate for July 2018 to June 2019 was $18.93 per hour or $719.20 per week
- The Minimum Wage rate for July 2017 to June 2018 was $18.29 per hour or $694.90 per week
- The Minimum Wage rate for July 2016 to June 2017 was $17.70 per hour or $672.70 per week
- The Minimum Wage rate for July 2015 to June 2016 was $17.29 per hour or $656.90 per week
- The Minimum Wage rate for July 2014 to June 2015 was $16.87 per hour or $640.90 per week.
- The Minimum Wage rate for July 2013 to June 2014 was $16.37 per hour or $622.20 per week.
- The Minimum Wage rate for July 2012 to June 2013 was $15.96 per hour or $606.40 per week.
- The Minimum Wage rate for July 2011 to June 2012 was $15.51 per hour or $589.30 per week.
- The Minimum Wage rate for July 2010 to June 2011 was $15.00 per hour or $569.90 per week.
- The Minimum Wage rate for July 2009 to June 2010 was $14.31 per hour or $543.78 per week.
Minimum wage – Australia vs. other countries
If we compare Australia minimum wages with the minimum wages in other countries, it becomes evident that the rates are quite good in Australia. The rates in countries like UK, New Zealand, France, Canada, US & Germany is slightly lower than that of Australia. While the rates in many countries like Mexico, China, Brazil, India etc. are comparatively very low.
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