The Fair Work Commission’s (FWC) Expert Panel has announced the outcome of its annual review of the national minimum wage (NMW) and minimum wages under the modern awards.
Minimum wages
This year, the Expert Panel has increased the NMW to $1,004.90 per week or $26.44 per hour.
Minimum wages in modern awards have increased by 4.75%.
There is also a structural adjustment to consider, which is that the FWC will be phasing out the use of the C13 level in modern awards, currently the lowest rate for ongoing employment and since the 2022-2023 Annual Wage review decision, has been used by the FWC as the benchmark for the NMW. The new benchmark will be the C12 level.
These changes will come into effect from the first pay period starting on or after 1 July 2026.
Gender-based undervaluation review
The FWC has also indicated that it is continuing to progress its review of award classifications to eliminate gender-based undervaluation of work, with a review to be done of all degree-qualified professional classifications in modern awards by the 2027 Annual Wage Review.
Employers should review their records and ensure that employees are paid correctly once that increase is applied (including ensuring that annualised wage arrangements are still sufficient to compensate for these increased minimum rates).
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