Fair Work Commission: New Minimum Wage
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Fair Work Commission: New Minimum Wage Determination 2024-2025

5 min read
Published: 1 March 2026
Beginner

The Fair Work Commission has announced the 2024-2025 minimum wage increase. Learn about the new rates, when they take effect, and how to update your payroll systems to remain compliant.

New Minimum Wage Rates

  • National Minimum Wage increased to $24.10 per hour ($915.91 per week)
  • 3.75% increase across all Modern Award minimum wages
  • Effective from the first full pay period on or after 1 July 2024
  • Junior rates, apprentice wages, and trainee wages also increased by 3.75%

The New National Minimum Wage

The Fair Work Commission's Annual Wage Review 2024-2025 has determined a 3.75% increase to the National Minimum Wage and all Modern Award minimum wages.

National Minimum Wage Comparison

Previous rate (2023-2024):$23.23/hour ($882.80/week)
New rate (2024-2025):$24.10/hour ($915.91/week)
Increase:$0.87/hour ($33.11/week)

When Do the Changes Take Effect?

The new minimum wage rates apply from the first full pay period on or after 1 July 2024.

Implementation Examples

  • Weekly pay cycle (pay period starts Mondays): Applies from Monday, 1 July 2024
  • Fortnightly pay cycle (pay period starts Thursdays): Applies from Thursday, 4 July 2024
  • Monthly pay cycle (pay period starts on 1st of month): Applies from Monday, 1 July 2024

Impact on Modern Award Rates

All minimum wage rates in Modern Awards have increased by 3.75%. This includes:

  • All classification levels within Modern Awards
  • Junior rates (calculated as percentages of adult rates)
  • Apprentice and trainee wages
  • Allowances (where linked to minimum wage rates)
  • Penalty rates and overtime calculations

Who is Affected?

The minimum wage increase affects:

Employees on the National Minimum Wage:

Employees not covered by a Modern Award or enterprise agreement whose wages are at or near the National Minimum Wage.

Award-covered employees:

Employees whose pay rates are set by Modern Awards will see their minimum rates increase by 3.75%.

Enterprise agreements:

Some enterprise agreements link rates to Modern Award rates and will automatically increase. Check your agreement terms.

What You Need to Do

1. Update Your Payroll System

Ensure your payroll software reflects the new minimum wage rates from the first full pay period on or after 1 July 2024. Exacc will automatically update these rates.

2. Review Employee Pay Rates

Check that all employees are paid at least the new minimum rates. Identify which employees will receive increases.

3. Update Employment Contracts

If employment contracts specify hourly or weekly rates, update them to reflect the new minimum wages.

4. Communicate with Employees

Inform affected employees of the wage increase and when it will take effect in their pay.

5. Adjust Your Budget

Factor the increased labour costs into your business cash flow and budget planning.

How Exacc Handles Minimum Wage Updates

Exacc automatically updates minimum wage rates when the Fair Work Commission announces changes:

  • Automatic updates to National Minimum Wage and all Modern Award rates
  • Notifications when rates are updated in the system
  • Compliance checking to ensure employees are paid above minimum rates
  • Automatic recalculation of penalty rates and allowances linked to minimum wages

Further Resources

Need Help with Pay Rates?

Contact our support team to ensure your payroll is correctly configured with the latest minimum wage rates.

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