Fair Pay Commission Decides Against Increase
You are here:In its final decision before ceding its powers to Fair Pay Australia, the Fair Pay Commission has decided against a general wage increase for award dependent employees.
In its 2009 general Wage-Setting Decision the Commission has decided to:
- maintain the standard Federal Minimum Wage (FMW) at $14.31 per hour ($543.78 per week); and
- maintain the adult rates of pay in Australian Pay and Classification Scales (Pay Scales) at their current levels.
The decision also applies to junior employees, employees to whom training arrangements apply, employees with disability (with the exception of the SWS - see below), casual employees and employees receiving basic piece rates of pay. In making its decision, the Commision said -
"For most people, an adequate living standard depends on having sufficient paid work. Unemployment is the chief cause of relative poverty and social exclusion in Australia. Economic downturns magnify the consequences of unemployment for low-paid,low-skilled workers, with many remaining jobless for extended periods of time and some leaving the labour market altogether. The social consequences of extended joblessness, especially for families, are considerable and well-known. The Commission considers that its decisions should not exacerbate the risk of unemployment for the
most vulnerable groups of workers.
"The Commission has therefore decided, following its 2009 Minimum Wage Review, that minimum wages will remain at their current levels and not be increased. In making this decision, the Commission has focused on protecting jobs and supporting a stronger recovery in employment as the economy improves. The Commission notes that the next minimum wage review will be conducted by Fair Work Australia. The Commission considers that, by the next review, the outlook for the economy, and especially the labour market, will be more certain."
Employees with Disability
The Commission has decided to adjust the minimum weekly amount payable to employees with disability under the Supported Wage System (SWS) to maintain its nexus with the income test free threshold for the Disability Support Pension, increasing this from $69 to $71 per week.
