The NMW will increase from $719.20 to $740.80 per week, or $18.93 to $19.49 per hour. This is an increase of 56 cents per hour.
The minimum wage rates contained in modern awards have also been increased by 3%, with casual loading remaining at 25%.
The FWC’s Expert Panel highlighted strong economic growth as a factor for the significant increase, pointing to the Australian Government’s expectation that the economy will grow at its expected rate and would support future increases in employment. The Panel also noted that the proportion of the working-age population in employment is at a record level.
The Panel concluded that the “prevailing economic circumstances provide an opportunity to improve the relative living standards of the low paid”, however, the increase will not “lead to any adverse inflationary outcome and nor will it have any measurable negative impact on employment.” The changes will come into effect on 1 July 2019.