Minimum wage to increase by $16

Cash money Photo:Barry Leddicoat / Sunshine Coast Daily
Cash money Photo:Barry Leddicoat / Sunshine Coast Daily Barry Leddicoat

ABOUT 1.8 million of Australia's lowest-paid workers will receive a pay rise of $16 a week.

In its annual decision the Fair Work Commission awarded the rise - a 2.5% increase - to those on the minimum wage.

Unions had argued for a $27 rise and industry wanted a $10 a week increase.

It takes the minimum wage from $640.90 a week to $656.90 from July 1.

The commission noted that despite profits falling in many service industries, gross profits in the accommodation, retail and food service sectors "increased significantly" in the year to the December quarter, 2014.

The decision also noted that "real unit labour costs remain at historically low levels".

The rise takes the minimum hourly wage to $17.29 an hour, up 42 cents.

Topics:  fair work commission minimum wage pay

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