--- title: What the minimum wage increase means to your business. description: What the minimum wage increase means to your business. image: https://www.blog.hroncall.com.au/hubfs/Imported_Blog_Media/ID-100373407-300x300.jpg --- ** GET IN TOUCH NOW!  [CONTACT US](https://www.hroncall.com.au/contact-us) - [** ](https://www.facebook.com/hroncall/) - [** ](https://plus.google.com/115308080378403054296?hl=en) - [** ](https://www.youtube.com/user/hroncall1) - [** ](https://www.linkedin.com/company/hr-on-call-pty-ltd/) [![logo-retina-3](https://www.blog.hroncall.com.au/hubfs/logo-retina-3.png "logo-retina-3")](https://hroncall.durrantdurrant.com/) * * 1300 872 566 Call * * [info@hroncall.com.au](mailto:info@hroncall.com.au) Email This is a search field with an auto-suggest feature attached. - There are no suggestions because the search field is empty. ## HR NEWS Phone Call Us! 1300 872 566 FOR A FREE INITIAL CONSULTATION # What the minimum wage increase means to your business. by [Melissa Behrend](https://www.blog.hroncall.com.au/blog/author/melissa) | Jul 8, 2016 | [Brisbane HR Consulting](https://www.blog.hroncall.com.au/blog/topic/brisbane-hr-consulting), [Employee Relations](https://www.blog.hroncall.com.au/blog/topic/employee-relations), [General HR](https://www.blog.hroncall.com.au/blog/topic/general-hr), [HR advice for small business](https://www.blog.hroncall.com.au/blog/topic/hr-advice-for-small-business), [HR Services](https://www.blog.hroncall.com.au/blog/topic/hr-services), [Hr Services Brisbane](https://www.blog.hroncall.com.au/blog/topic/hr-services-brisbane), [Human resource services](https://www.blog.hroncall.com.au/blog/topic/human-resource-services), [Human Resources Consulting Services Melbourne](https://www.blog.hroncall.com.au/blog/topic/human-resources-consulting-services-melbourne), [Human resources Melbourne](https://www.blog.hroncall.com.au/blog/topic/human-resources-melbourne), [Managing employee](https://www.blog.hroncall.com.au/blog/topic/managing-employee), [Melbourne HR Consulting](https://www.blog.hroncall.com.au/blog/topic/melbourne-hr-consulting), [Outsourced HR Brisbane](https://www.blog.hroncall.com.au/blog/topic/outsourced-hr-brisbane), [Outsourced HR Melbourne](https://www.blog.hroncall.com.au/blog/topic/outsourced-hr-melbourne), [Outsourced human resourced consultant](https://www.blog.hroncall.com.au/blog/topic/outsourced-human-resourced-consultant), [Small Business HR Brisbane](https://www.blog.hroncall.com.au/blog/topic/small-business-hr-brisbane), [Small Business HR Melbourne](https://www.blog.hroncall.com.au/blog/topic/small-business-hr-melbourne), [What HR can do for your business](https://www.blog.hroncall.com.au/blog/topic/what-hr-can-do-for-your-business) | 0 Comments The Fair Work Commission’s has announced its seventh annual wage review under the Fair Work Act 2009 (Cth).   Australia’s minimum wage workers are now entitled to be paid $672.70 (this is an increase of $15.80) a week, or $17.70 per hour.   ![Image courtesy of lekkyjustdoit at FreeDigitalPhotos.net](https://www.blog.hroncall.com.au/hs-fs/hubfs/Imported_Blog_Media/ID-100373407-300x300.jpg?width=300&height=300&name=ID-100373407-300x300.jpg) Image courtesy of lekkyjustdoit at FreeDigitalPhotos.net   What you will need to consider as a SME is how this decision will impact on my business?   Tip 1. - If you are paying the minimum wage under an Award, you will need to ensure that you increase wages by 2.4%.   Tip 2 – Review the allowances under the award to ensure you are aware of any changes such as first aid or leading hand as these may be increased at the same time.   The wage increase impacts on one in five workers whose  workplace who are currently covered under a Modern Award.. An Award sets out minimum rates of pay and working conditions, and as a business it is a good idea to be familiar with the Award you are covered under and the particular clauses which may impact on your employees.   Another factor you should consider, if you are paying an Award based employee a salary or have an Enterprise Bargaining Agreement, now is a good time to reconcile this amount to ensure that employee is no worse off under conditions.   The 2.4% increase to minimum wages will apply from the first fully pay period starting on or after 1 July 2016.  So if you have missed the increase in the first pay run of the new financial year, please be aware and ensure that you back pay your employee’s so you are compliant with the new minimum wage.   If you need any help, please give us a call on 1300 872 566   Author Contribution  - Jeanetta Munro Share this article: - [** ](http://www.facebook.com/sharer.php?u=https://www.blog.hroncall.com.au/blog/what-the-minimum-wage-increase-means-to-your-business) - 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