News
Understanding the upcoming minimum wage increases
Friday June 28, 2024
From 1 July 2024, private practices under both State and Federal Industrial Relations systems need to prepare for an increase in minimum wages. This change applies from the first full pay period commencing on or after this date.
On 3 June 2024, the Fair Work Commission’s Minimum Wage Panel in its Annual Wage Review announced a 3.75% increase in the minimum salary rates for all Modern Awards. This adjustment raises the new National Minimum Wage to $915.90 per week or $24.10 per hour.
In a parallel move, the Western Australian Industrial Relations Commission in their State Wage Case Decision declared on 12 June 2024, a 4% increase in all state award rates. Consequently, the new state minimum wage will be $918.60 per week.
The new minimum rates of pay must be applied as of the first full pay period commencing (1st PPC) on or after 1 July 2024. Practices are advised that where an employee is in receipt of a salary which is in excess (over award) of the Minimum Award Rate in the Award, this increase can be absorbed into that over-award payment. This means that you do not have to automatically apply an increase to your current rates of pay but should only do so where they no longer meet the new minimum.
For further details, see the updated pay summaries as part of our Private Medical Practice Bulletin page.
