From 1 July 2013, important changes will occur and it’s critical that all employers understand these changes.
1) INCREASED MINIMUM WAGE
The minimum wage will increase by 2.6%.
The weekly minimum wage will rise by $15.80 to $622.20 per week and the minimum hourly rate will increase to $16.37. The weekly and hourly amounts are based on a full time employee working 38 hours per week.
2) INCREASE TO SUPERANNUATION GUARANTEE
The superannuation guarantee contribution rate will increase from 9% to 9.25%.
The superannuation guarantee is set to increase again to 9.5% from 1 July 2014.
3) INCREASE TO HIGH INCOME THRESHOLD
The high income threshold under the Fair Work Act will increase to $129,300.
Employees whose annual income is more than the high income threshold, who are not covered by an award or enterprise agreement, are excluded from bringing unfair dismissal claims against their employer. The high income threshold also impacts on how modern awards apply to employees.
In accordance with the increase in the high income threshold, the maximum compensation that can be awarded for an unfair dismissal claim also increases to $64,650 from 1 July 2013.