The Fair Work Commission has announced a 3.5% increase to minimum wages.
Fair Work Commission points to ‘healthy national economy and labour market’ in making decision to raise minimum wage to $719.20 a week.
The stronger economic forecast has allowed an increase of the national minimum wage by 3.5%, taking it to $18.93 per hour.
But the increase decided upon by the Fair Work Commission on Friday is well below the 7.2% called for by unions.
The FWC decision sets the new minimum wage at $719.20 a week. That will mean wages will rise by $24.30 a week for about two million workers.
The commission pointed to stronger economic indicators and forecasts from the federal government, the International Monetary Fund and the Reserve Bank.
“The prevailing economic circumstances provide an opportunity to improve the relative living standards of the low-paid and to enable them to better meet their needs,” the commission president, Iain Ross, said.
“The economic indicators now point more unequivocally to a healthy national economy and labour market.
“The circumstances are such that it is appropriate to provide a real wage increase to those employees who have their wages set by the national minimum wage or by a national minimum award.”
The 3.5% increase is well above the 1.9% rate of inflation, meaning a real rise in wages of 1.6% for Australia’s lowest paid workers.
Have a story to tell or news to share
Let us know by submitting a news story, an article, a review, a white paper and more …
Submit
