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The Fair Work Commission has announced the National Minimum Wage will increase by 4.75%.
As a result of this decision, the national minimum wage will increase to $26.44 per hour and $1,004.90 per week, calculated on a standard full-time working week of 38 hours.
The National Minimum Wage increase of 4.75% will also be passed on to Modern Award rates. These increases will come into effect from the first full pay period on or after 1 July 2026.
This means if your weekly pay period starts on Wednesday, the new rates will apply from Wednesday 1 July 2026.
What Employers Should Do
Businesses should review:
- Payroll systems and pay rates.
- Award classifications.
- Salary packages that may be close to minimum award rates.
- Enterprise agreements to ensure employees remain better off than the applicable award.
For many employers, the increase will also impact superannuation, leave accruals, overtime calculations, and labour cost budgets for the 2026–27 financial year.
For further information check out the Fair Work website or contact our office.