Piggy Bank

The minimum wage for award covered employees is due to increase in July 2016. The Fair Work Commission will outline the new award pay rates in a determination to be delivered in June 2016 and we will provide our members with updated Wage Summaries shortly after.

Employers must make sure they are paying employees in line with their respective award. Recent payroll scandals have brought to light the danger of underpaying employees. The most publicised of these, involving widespread underpayment in 7-Eleven franchises, has led to pay-outs of over $11 million to current and former employees.

The influence of these wage changes are not limited to employers paying employees under the Modern Award. Workplaces with an enterprise agreement or another registered agreement (EBA, ECA or AWA) may also face an increase in their base rate of pay.

If your staff are currently paid under an award or if you have an enterprise agreement in place, it is essential that you know the effect of this rate change on your business to avoid a costly mistake.

To know where you stand and how the changes will impact your business, contact the National Retail Association on 1800 RETAIL (738 245).

Dominique Lamb, Principle of NRA Legal and Director of Legal