The Fair Work Commission (FWC) announced today an increase to the National Minimum Wage and Modern Award wage rates by 5.75% effective from the first full pay period on or after 1 July 2023.What does this mean?The impact of this decision will vary depending on whether your business is covered by the decision and how you are currently paying your employees. For example, if you are paying your employees strictly in accordance with the minimum wages provided for in your Modern Award then the 5.75% increase will automatically apply.However, if your business is applying other registered industrial instruments, or individual employment agreements (contracts) then the impact of the increase will need to be carefully considered in the context of these arrangements to ensure that your business is not exposed to significant fines and penalties for an underpayment of wages.Need Assistance?Each year SWS provides advice and support to a wide range of businesses in interpreting and applying Modern Awards and the impacts of the annual wage increase. If you need assistance with determining the impact of this increase on your business contact one of our expert workplace relations team members on 07 46915046 or info@sharpews.com.au.
