There is no doubt that the past couple of years has been tough on businesses. Now, increased inflation and the cost of living have brought new challenges, with the Fair Work Commission approving a $40 a week (5.2%) increase to the national minimum wage (NMW). This increase commences 1 July, 2022.
Key facts:
The NMW will be $21.38 per hour or $812.60 per week (before tax), an increase of $1.05 an hour from its $20.33 base;
Modern award minimum wages will increase by 4.6% or $40 per week;
For aviation, tourism and hospitality modern awards, the minimum wage increase starts 1 October, 2022.
What you need to do:
Ensure employees earning the minimum wage receive the increase from 1 July 2022, or 1 October 2022 if you operate in the aviation, tourism or hospitality industries.
Review any enterprise bargaining agreements to ensure that employee salaries are equal to or above the new minimum wage rates, and adjust them upwards if not.
It is worth noting that the superannuation guarantee will also increase from 10%
to 10.5% on 1 July, 2022. For more information on the minimum wage changes.
Our professionals at ATP Tax Accountants work with individuals and businesses in Western Sydney to ensure they meet all their obligations to their employees and the Tax Office. To learn more we invite you to phone us on 1300 829 484 today or email your enquiry.