The Fair Work Commission has announced a 5.2 per cent increase the minimum wage from 1 July. This increase equates to an extra $40 per week in the pocket of a full-time worker on the minimum wage. For workers who are reliant on award wages, the increase will be 4.6 per cent or $40 per week, whichever is higher. The new Federal Minimum Wage moves to $812.60 per week or $42,255.20 per annum.  In Victoria the new VPS1 rate from 2 June 2022 is $50,594 and the COG2A award rate for Correctional Officers increases to $50,955 for a 76 hour fortnight compared to the agreement rate $55,439.

This is a huge and proud win for the union movement, which fought hard for this increase, standing up for the quarter of Australian workers who rely on this annual process for a pay rise.  Employer groups in the main opposed any increase but the new Federal government supported an increase that took into account the rising costs of living which has spiked in recent months.

This decision is going to make a big difference for so many workers, but as a union movement we still have work to do.

Working people are feeling the serious consequences of nearly 10 years of inaction by the previous Government – lack of wage growth is a critical issue for our economy and we need continuous, concerted action to address it including reform to our bargaining laws.