Breaking News: The FWC has increased the minimum wage for the 2025/26 financial year

The FWC Announcement

The Fair Work Commission (FWC) announced today that the minimum wage will rise by 3.5% to $24.94 an hour or $922 per week for the 2025/26 financial year.

This 3.5% increase will also apply to all payrates outlined in Modern Awards.

The pay increase will be effective, and binding on all employers, from 1 July 2025.

In determining the pay increase, the FWC noted that they attempted to make up for real wage cuts during the pandemic, particularly in light of lessening inflationary pressures.

 

What you need to do

As a business, you should ensure that your payroll and salaries comply with this pay increase. Therefore, from 1 July 2025, you will need to apply this pay increase to all employees paid on Award rates or minimum wage. It is therefore a timely reminder to engage in a payroll audit to ensure compliance with all applicable Award rates.

Should you fail to implement this pay increase, there is a real risk of an underpayment claim made against you, as well as reputational damage that can be detrimental to your business.

 

How can Chamberlains help?

Our Workplace Team at Chamberlains Law Firm have significant experience in guiding business and employers through changes to workplace legislation and regulations.

Contact our Workplace Team on 02 6188 3634 to discuss this pay increase, or to learn more about how we can assist your business.