The Fair Work Commission has announced a 3.5% increase to the National Minimum Wage and minimum award wages, effective from 1 July 2025. This will raise the National Minimum Wage to $948 per week or $24.95 per hour, based on a 38-hour week.
Changes to the Superannuation Guarantee
In addition to the wage increases, the Superannuation Guarantee rate will rise from 11.5% to 12% on 1 July 2025.
What does this mean for employers?
These changes need to be implemented by employers from the first full pay period on or after 1 July 2025, for:
- all employees covered by a modern award;
- any award or agreement-free employees paid the National Minimum Wage; or
- in some instances, employees covered by an Enterprise Agreement because the Enterprise Agreement base rate of pay cannot be less than the base rate of pay in the relevant award.
Employers should consider taking the following steps in preparation for the 1 July 2025 increases:
- Review Payroll Systems to ensure the new minimum wage rate, award rates and superannuation guarantee contributions are correct for the first full pay period on or after 1 July 2025;
- Consider using the opportunity to update employment agreements;
- Look out for the Fair Work Pay Guides which will be released mid to late June in preparation for the 1 July increases.
Changes to the Pharmacy Industry Award 2020
Minimum pay rates in the Pharmacy Industry Award 2020 will increase as part of the Fair Work Commissions Gender-based undervaluation – priority awards review. The increased rates will apply from the first full pay period on or after 30 June 2025. The minimum wages for pharmacists (including pharmacy interns) will increase by 14.1% with the increase to be applied in 3 stages on 30 June each year until 2027.
This means, the minimum wage under the Pharmacy Award increases from the first paid period commencing on or after 30 June 2025 and again, from the first pay period commencing on or after 1 July 2025.
For 30 June 2025 Pharmacy Industry Award pay rates, please click here.
For 1 July 2025 Pharmacy Industry Award pay rates, keep an eye out for the updated Pay Guide to be released from Fair Work.
How can we help?
If you have any questions in relation to the upcoming increases, or would like assistance with award interpretation, reviewing your employment agreements or policies or general workplace and employment advice, please contact our Employment team. You can reach them on 1300 068 736 or by email at [email protected].
This publication has been carefully prepared but it has been written in brief and general terms and should be viewed as broad guidance only. It does not purport to be comprehensive or to render advice. No one should rely on the information contained in this publication without first obtaining professional advice relevant to their own specific situation.
