The National Minimum wage will be lifted by 3% – as announced by the Fair Work Commission last week, following its 2019 review.

This change will directly affect around 2-3 million Australians on award wages.

From the first pay period commencing on or after July 1 2019, the minimum wage is increasing

to $740.80per week, or $19.49 per hour.

What this means for you:

* Modern award rates used for internal and external on-hire staff will increase to comply with

this decision.

* Individual Flexibility Agreements will need to be re-assessed to ensure employees remain

“better off overall” when compared to the newly increased modern award rates.

* Most Allowances will be increased in line with the increase in the standard rate. Expense

related allowances are likely to increase in line with the relevant CPI index.

* The High Income Threshold will also increase from 1 July 2018. Any employers who sidestep

Award conditions by using High Income Guarantees will need to check their agreed terms to

ensure they remain compliant and above the new threshold.

More information can be obtained from your Flexi Personnel Business Manager or from

the Fair Work Commission.