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Workplace relations changes effective 1 July 2022 – Employee Rights/ Labour Relations

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assisted by Elisabeth Krstanovski

There are various workplace relations changes that came into
effect on 1 July 2022. Employers and employees must be aware of
these changes.

Minimum wage increase

As discussed in our previous article, the Fair Work Commission has approved
increases in respect of the National Minimum Wage (NMW). These
changes include the NMW increasing by 5.2 per cent, meaning the new
NMW will be equal to $812.60 per week (or $21.38 per hour). In
addition, modern award minimum wages have increased, with modern
award rates below $869.60 per week attracting an increase of $40
per week, and modern award rates above $869.60 attracting an
increase of 4.6 per cent. Read more here.

Changes to the high income threshold

The high income threshold has increased to $162,000 per annum,
up from $158,500 per annum. The high income threshold limits an
employee’s access to bring an unfair dismissal claim, unless
the employee is covered by an enterprise agreement or award. The
compensation limit for unfair dismissal cases has increased to
$81,000 for dismissals occurring on or after 1 July 2022.

Changes to superannuation

The minimum superannuation guarantee percentage has increased
from 10% to 10.5% per annum.

The superannuation contributions base has increased to $60,220
per quarter (or $240,880 per annum. Furthermore, the $450 monthly
minimum threshold has been removed, which means that superannuation
contributions are payable in respect of employees regardless of how
little the employee has been paid that month. However, an exception
to this is if the employee is under 18 years of age. In this case,
they will need to have worked for at least 30 hours in a week to be

Changes to the Fair Work Information Statement

The Fair Work Ombudsman has issued an updated FWIS, which
contains information about the National Employment Standards and
conditions of employment. A copy of the FWIS must be given to
employees when they commence employment. The updated FWIS can be
accessed here.

The content of this article is intended to provide a general
guide to the subject matter. Specialist advice should be sought
about your specific circumstances.

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