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National Minimum Wage and award wages in 2026: what employers need to know

04 Jul 24

Australia’s National Minimum Wage is now $26.44 per hour or $1,004.90 per week. Employers should check that their pay rates, award classifications and superannuation arrangements reflect the current requirements.

What is the National Minimum Wage in 2026?

From 1 July 2026, the National Minimum Wage increased to $26.44 per hour or $1,004.90 per week, before tax, for a full-time employee working 38 hours.

This is the adult minimum rate for employees in the national workplace relations system who are not covered by an award or registered agreement. Different rates may apply to juniors, apprentices, trainees and employees with disability under specific arrangements.

For employees covered by an award or agreement, employers must check the rates and entitlements that apply to their role and classification.

How much have award minimum wages increased?

The Fair Work Commission’s Annual Wage Review 2026 decision increased modern award minimum wages by 4.75%, with additional adjustments to the lowest C13 and C14 classifications.

The National Minimum Wage, which is aligned with the C13 rate, increased to $26.44 per hour. Employers should therefore check the updated rates rather than apply a standard percentage across every classification.

The new rates apply from the first full pay period starting on or after 1 July 2026. Check the relevant award using the Fair Work Ombudsman’s Pay and Conditions Tool.

Does the increase apply to casual employees?

Yes. Adult casual employees covered by the National Minimum Wage are entitled to a 25% casual loading, bringing their minimum hourly rate to $33.05.

For award-covered casual employees, the applicable award determines their minimum rate, casual loading and any penalty rates or allowances. See the Fair Work Ombudsman’s minimum wages guidance.

What are the superannuation requirements in 2026?

The superannuation guarantee rate is 12% for eligible employees.

From 1 July 2026, Payday Super requires employers to calculate superannuation on qualifying earnings and pay contributions each payday. Contributions generally need to reach the employee’s super fund within seven business days, with extended timeframes in certain circumstances.

Employers should check that payroll processes account for both wage changes and these payment requirements. Read the Fair Work Ombudsman’s superannuation guidance and the ATO’s Payday Super information.

What should employers check?

Use the updated rates as a prompt to review:

  • Award coverage and employee classifications.
  • Base rates, casual loadings, penalties and allowances.
  • Whether salary arrangements continue to meet applicable entitlements.
  • Payroll settings and superannuation payment processes.

Need help reviewing your pay obligations?

iHR Australia’s workplace compliance services help organisations review wage and payroll practices, employment contracts and workplace policies.

Speak with our team about your organisation’s obligations and the support you need.

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