17 May 2011

Annual Wage review 2011

Fair Work Australia has handed down its 2011 annual wage review decision, adjusting award wages by 3.4%.

Features of the decision include:

• Allowances which are set by reference to the standard rate in awards will be adjusted by 3.4% as a result of this decision.
• Expense related allowances which are adjusted by reference to the relevant CPI adjustment factor in accordance with the modern award provisions will be increased by the percentage movement in the applicable Consumer Price Index figure between 31 March 2010 and 31 March 2011, published by the Australian Bureau of Statistics. Draft determinations in relation to each award will be published by Fair Work Australia for review before the orders to vary the awards are finalised.
• Preserved transitional award instruments including transitional APCSs, State reference transitional awards and Division 2B State enterprise awards will be adjusted in accordance with this decision. This will mean an adjustment to transitional APCSs derived from preserved Queensland state awards which continue to apply to apprentices and trainees subject to competency based progression and the tool order.
• Wages in Division 2B State awards relating to Queensland trainees and apprentices and to employees subject to specific Queensland labour market programs will be varied to achieve parity with minimum wages in the corresponding transitional APCSs and State reference transitional awards
• The federal minimum adult wage for award/agreement free employees will increase to $15.51 per hour or $589.30 per week
• The federal minimum casual loading for award/agreement free employees will move to 22%.
• Casual loadings in awards will remain unchanged.