Australia’s minimum wage has increased by 4.75 percent, moving from AUD 24.95 per hour to AUD 26.44 per hour, and will now top over AUD 1000 per week.
The minimum wage increase will come into effect on the 1st of July, and will impact millions of workers across the country.
“Our advocacy has seen the National Minimum Wage has increased by AUD 6.11 per hour, AUD 232.30 per week and AUD 12,079.60 per year, or a 30.1 percent increase,” said Minister for Employment and Workplace Relations, Amanda Rishworth.
In making this decision, the Fair Work Commission Expert Panel considered a number of factors, including the performance of the national economy, which has been impacted by uncertainty around the conflict in the Middle East, and the relative living standards and needs of minimum and award wage earners.
“This is needed cost of living help for the minimum wage and award-reliant workers, many of whom are in lower-paid roles, work fewer hours, and have fewer financial buffers to fall back on,” added Minister Rishworth.
Treasurer Jim Chalmers said this is the pay rise that millions of Australian workers need and deserve.
“This is the sustainable real wage increase that we called for in our submission to the Fair Work Commission,” he said.
“Under Labor, wages are higher, income taxes are lower, and we’re helping first home buyers get into the housing market. This decision means the minimum wage is now $12,079 higher per year compared to when we came to government.”
The Fair Work Commission Expert Panel acknowledged that the determination of this year’s Review outcome has been particularly challenging because of the degree of complexity in the interaction of the matters they are required to take into account.
Modern Award employees predominantly work part-time hours, are in female-dominated industries, and a majority are casuals.
Earlier this year, the Albanese Government lodged a submission to the 2026 Annual Wage Review recommending the Fair Work Commission award an economically sustainable real wage increase to Australia’s award workers.
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