A new financial year has dawned and with it comes new wage rates, new super rates, changes to the awards, changes to visa restricted staff hours and changes to the statutory information statements that must be provided to staff.  As FY25 commences we explore when the new rates apply (spoiler alert it is not necessarily from 1/7), why some base rates are lower than the minimum wage and other changes that businesses need to address now, to avoid errors in the future.

 

New Wage Rates

The release of the National Wage Case  ( https://acapmag.com.au/2025/06/national-wage-case-2025-implications/ ) will have a direct impact on the Award Rates for all employees.  For Agreement covered employees there is a need to review the Agreement Rates and ensure they are ‘keeping pace’ with the Award that they are tied to.

The new wage rates will apply from the first full pay period on or after 1 July 2025.

“This means the first pay period that does not include a single day in June.  So if for example you run a weekly payroll from Thursday to Wednesday, then this year the current rates will apply for the Pay Period of 26/6/2025-2/7/2025 and the new rates will apply for the Pay Period from 3/7/2025-9/7/2025.  Even though the Pay Period of 26/6/2025-2/7/2025 has most of its days in July it is not a FULL pay period AFTER 1 July, so the old rates apply”, explains ACAPMAs Elisha Radwanowski.

“There is often confusion at this time of the year, particularly when the ‘Minimum Wage’ is so highly publicised.  The ‘Minimum Wage’ is tied to a specific classification in a specific award.  That is now the C13 Classification, it used to be the C14 Classification.  The result is that there are classifications in other awards that have base rates that are actually lower than the widely publicised $24.94 ‘Minimum Wage Hourly Rate’.  For example the Base Rate for R1 Classification in the Vehicle Repair Service and Retail Award 2020, which is the Driveway Attendant classification, is $24.28 per hour from the first full pay period on or after 1 July 2025.  This difference usually reflects the fact that those on the minimum wage are unlikely to get the benefit of loadings and penalties included in the modern awards.  While it is clear and understood in employment circles this difference can cause confusion with payroll and with staff, so it is important to be ready to respond to the question of ‘hey isn’t this below minimum wage’”, adds Elisha.

Award Changes

It is also important note that the Awards are updated with the new rates, and new provisions (like the consolidation of the paid parental leave and days pay) at this time of the year.

“We recommend all businesses update their internal copies of the applicable modern award to ensure that they are not inadvertently referring to an old wage table, which is a common cause of oversight errors”, adds Elisha.

  • Award:  Clerks – Private Sector Award 2020
    • Applies to:  Administrative Staff
    • Applies from: the first full pay period on or after 1/7/2025, the pay rate increased and will apply until 30/6/2026
    • Current version of the Award (includes the 2025/2026 wage rates): https://awards.fairwork.gov.au/MA000002.html

 

  • Award:  Road Transport and Distribution Award 2020
    • Applies to:  Fuel wholesale and transport Staff
    • Applies from: the first full pay period on or after 1/7/2025, the pay rate increased and will apply until 30/6/2026
    • Current version of the Award (includes the 2025/2026 wage rates): https://awards.fairwork.gov.au/MA000038.html

 

  • Award:  Vehicle Repair Service and Retail Award 2020
    • Applies to:  Fuel Retail Staff – console operator, roadhouse attendant, driveway attendant
    • Applies from: the first full pay period on or after 1/7/2025, the pay rate increased and will apply until 30/6/2026
    • Current version of the Award (includes the 2025/2026 wage rates): https://awards.fairwork.gov.au/MA000089.html#

 

Fair Work Information Statement Updated

It is a requirement that all staff are provided with a copy of the Fair Work Information Statement (FWIS) on commencement.  The FWIS summarises key information on employee rights.  The FWIS is updated each year and the most recent version must be provided to the commencing staff.

“There is a requirement for businesses to provide the FWIS to staff and for them to be able to show to an inspector that they have provided it.  This is typically done with the New Starter Pack documents or new starter checklists.  It is vital that the most recent FWIS is provided and that it is provided to all staff on commencement, penalties apply for non compliance”,  continued Elisha.

The latest copy of the FWIS can be found at:  https://www.fairwork.gov.au/employment-conditions/national-employment-standards/fair-work-information-statement#the-FWIS 

In addition to the requirement to provide the FWIS, if the employee is casual they must also be provided with the Casual Employment Information Statement (CEIS).

The latest copy of the CEIS can be found at: https://www.fairwork.gov.au/employment-conditions/national-employment-standards/casual-employment-information-statement

Superannuation Changes

As outlined in the Superannuation Guarantee (Administration)Act 1992 (Cth) and brought into effect with the 2021 Budget,  superannuation guarantee (SG) rate increased from 9.5% to 10% from 1 July 2021, then increased a further 0.5% each year until it reached 11.5% in 2024/2025.

From 1 July 2025 the Superannuation Guarantee Rate has increased again to 12%.

As per the Act the Superannuation Guarantee rate is not scheduled for further increases next year, but it is vital that all businesses ensure this last scheduled update is passed on from the first full pay period on or after 1 July 2025.

Where staff are employed on a ‘salary plus super’ basis the change is a simple one to make, the business just has to go into the payroll system and change the superannuation % from 11.5% to 12% and communicate to the employee the change (this can be done as a separate letter or as part of the annual Confirmation of Employment process).

ACAPMA Member Guides 2025/2026

With the publication of key documents like the updated Awards and Statutory Statements, and the commencement of the new Membership Year, ACAPMA is now updating all of the ACAPMA Guides and will circulate to Members directly and update on the Member Portal online in the coming weeks.

ACAPMA Member Guides to assist Members with the New Wage Rate implementation are available now on request to employment@acapma.com.au;

 

..more Guides on everything from Casual Employment to Leave to Tobacco Compliance all coming in the August 2025 Member release

Can I get some help?

As always ACAPMA Members can gain access to further information or assistance with this or any other employment issue via employment@acapma.com.au

 ACAPMA members are reminded that the ACAPMA Employment Professionals are available to assist with employment, safety and training compliance. For more information email employment@acapma.com.au

Elisha Radwanowski BCom(HRM & IR)
ACAPMA

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