Minimum Wage in Australia

5 min read

Last updated July 2026

KEY POINTS
  • The national minimum wage is $26.44 per hour as of 1 July 2026.
  • Employers cannot pay you less than the legal minimum wage.
  • Casual workers must receive at least a 25% loading on top of their hourly rate.
  • Check your payslips regularly to ensure you are receiving your correct entitlements.
  • Union members call for a decent increase to minimum and award wages every year.

The 2026 National Minimum Wage

The National Minimum Wage is $26.44 per hour, as of 1 July 2026.

This is the minimum hourly rate you can be paid for the work you do, regardless of your job or industry.

Union members fought hard to set this minimum standard and continue to fight for decent increases that keep up with the cost of living.

How does the minimum wage increase?

Pay rises don’t just happen. They’re won.

Union members are the biggest reason why the minimum wage goes up – and why we have one of the highest minimum wages in the world.

In Australia, our minimum wage is set by the Fair Work Commission (FWC), an independent government body.

Every year, the FWC reviews the minimum wage – and the minimum rates of pay in awards – and decides how much they should increase.

This is called the Annual Wage Review, and the process takes place from March to June.

To help make the decision, the FWC considers submissions from interested parties on how much the increase should be and why.

Every year, the union movement submits a claim – on behalf of nearly three million workers – for a fair and decent increase.

Employers put forward arguments that are not grounded in reality (like that a wage rise is unaffordable and will put pressure on inflation).

With all the information, the FWC makes a decision on what the increase will be, and the new rates come into effect from 1 July each year.

Can my employer pay below the minimum wage?

No. Anything below the minimum wage is illegal, unless you are in one of these three categories:

Apprentices and trainees

Different minimum wages apply to workers who are under a registered training agreement, like an apprenticeship or a traineeship. These pay rates are calculated as a percentage of the minimum wage.

Junior employees

Junior wages apply for workers who are younger than 21 years old. These pay rates are calculated as a percentage of the minimum wage.

Supported Wage System

The Supported Wage System applies to workers who have a disability that reduces their capacity to work. These pay rates are calculated as a percentage of the minimum wage.

What if I’m covered by an award?

Most workers are covered by an award that sets pay rates higher than the National Minimum Wage.

What if my workplace has an agreement?

Some workplaces are covered by an agreement which sets a higher rate of pay than both the relevant award (the award that the workplace would be covered by, if the agreement didn’t exist) and the minimum wage.

Unions are usually involved in negotiating an agreement, which is a key reason why being a union member is the most powerful way to earn higher wages.

What if I’m a casual worker?

Casual workers who are on the minimum wage must also receive a loading of at least 25%.

What if I’m paid by piece rates or commission?

Some jobs pay according to how much work you get done, rather than how many hours you work.

Often these jobs are covered by an award or agreement, but even if they’re not, your employer must still pay you at a rate which is equal to, or higher than, the minimum wage.

How do I know if I’m getting paid properly?

Underpayment means being paid less than what you are entitled to.

Don’t forget that even if you are paid the minimum wage, that may not be all the pay you should receive.

Your total pay needs to include any loadings or penalty rates you’re entitled to. Checking your payslips is crucial to ensuring you get paid properly.

Deliberate underpayment is known as wage theft.

Employers who deliberately pay less than they are legally obliged to can face hefty fines and legal consequences.

What is the best way to get a pay rise?

By joining your union: union members earn $250 more per week than non-members!

That doesn’t mean that a union member will automatically get paid more.

It means that generally union members have higher wages than non-members, and workplaces or industries with lots of union members generally have higher pay.

Frequently Asked Questions

The National Minimum Wage is $26.44 per hour, as of 1 July 2026.

Yes. Casual workers who are on the National Minimum Wage must also receive a loading of at least 25%.

Yes. The National Minimum Wage applies to full-time, part-time, and casual workers who are not covered by an award or agreement (excluding those who are under a registered training agreement, on the Supported Wage System or are junior employees).

The National Minimum Wage, and the minimum pay rates in awards, increase on 1 July each year.

This happens as a result of the Annual Wage Review: a process (from March to June) where the Fair Work Commission (an independent government body) looks at these wages and decides how they should increase.

Before tax.

Yes. It doesn’t matter if you’re full time, part time or casual – except that if you’re under 18 years old, you’re only eligible if you work more than 30 hours in a week.

Learn more about superannuation.

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