Workplace Relations Update – Annual Wage Review 2020

MINIMUM WAGE INCREASE (1.75%)

On Friday, 19 June 2020, the Fair Work Commission handed down its decision increasing Award Rates of Pay.  (This is the first increase in Award rates of pay of pay since 1 July 2019).

  • Adult rates of pay for each Award classification are to be increased by 1.75% per week.  This equates to an increase of $15.10 per week for the Award Tradesperson classification rate of pay from $862.50 to $877.60 per week, (an increase of $0.39 cents per hour).  Lesser proportionate increases are applicable for non- trades classifications.
  • Junior and apprentices’ rates of pay will increase proportionately.
  • The minimum weekly adult rate of pay has been increased by $13.00 per week to $753.80 per week, or $19.84 per hour, an increase of $0.35 per hour.
  • These increases are absorbable against over award payments in employee’s Contracts of Employment and rates of pay provided for in Enterprise Agreements.
  • HOWEVER, ALL EMPLOYEES MUST BE PAID AT LEAST THE NEW AWARD RATES OF PAY FOR THEIR CLASSIFICATION.
  • Award allowances, (e.g. Leading, Hand, Meal Allowance, First Aid, etc.) will also be increased.
  • The increase in Award rates of pay will be according to your Award group.
  • Operative Date. 

The Fair Work Commission determined that there will be three separate operative dates.

Awards have allocated into 3 Award Groups, each with their own operative Date.

GROUP 1 AWARDS ( Modern Awards applying to frontline health care and social assistance workers, teachers and childcare workers and employees engaged in other essential services).

Included in this Group but not limited to, are the following Awards;-

  • Cleaning Services Award 2010;
  • Health Professionals and Support Services Award 2010;
  • Medical Practitioners Award 2010;
  • Nurses Award 2010;
  • Social, Community, Home Care and Disability Services Industry Award 2010

A full list of Group 1 Awards is attached to this newsletter

  • Operative Date.  For Group 1 Awards, the new Award rates of pay and increases will be operative from the beginning of the first pay period to commence on or after 1 July 2020.

GROUP 2 AWARDS ( Modern Awards relating to manufacturing, clerical, storage, transport and delivery of services)

Included in this Group but not limited to, are the following Awards;-

  • Architects Award 2010;
  • Building and Construction General On-site Award 2010;
  • Business Equipment Award 2010;
  • Clerks – Private Sector Award 2010;
  • Contact Call Centres Award 2010;
  • Food, Beverage and Tobacco Manufacturing Award 2010;
  • Graphic Arts, Printing and Publishing Award 2010;
  • Manufacturing and Associated Industries and Occupations Award 2010;
  • Miscellaneous Award 2010;
  • Professional Employees Award 2010;
  • Road Transport and Distribution Award 2010;
  • Storage Services and Wholesale Award 2010;
  • Textile, Clothing, Footwear and Associated Industries Award 2010;
  • Timber Industry Award

A full list of Group 2 Awards is attached to this newsletter

  • Operative Date.  For Group 2 Awards, the new Award rates of pay and increases will be operative from the beginning of the first pay period to commence on or after 1 November 2020.

GROUP 3 AWARDS ( Modern Awards relating to Accommodation and food services, Arts and Recreation Services, Aviation, Retail trade and Tourism

Included in this Group but not limited to, are the following Awards;-

  • Amusement, Events and Recreation Award 2010;
  • Commercial Sales Award 2010;
  • Fast Food Industry Award 2010;
  • Fitness Industry Award 2010;
  • General Retail Industry Award 2010;
  • Hair and Beauty Industry Award 2010;
  • Restaurant Industry Award 2010;
  • Vehicle Repair, Services and Retail Award 2010;
  • Wine Industry Award 2010;

A full list of Group 3 Awards is attached to this newsletter

  • Operative Date.  For Group 3 Awards, the new Award rates of pay and increases will be operative from the beginning of the first pay period to commence on or after 1 February 2021.

Copies of the new Award Rates of Pay schedules for Group 1 Awards will be forwarded to clients in the next two weeks.

Clients requiring further information are invited to contact me by email or on 04129 500 609.