Junior workers in sectors such as fast food, retail and pharmacy will receive a boost in their pay, putting them on even footing with their older colleagues.
In a landmark decision on Tuesday, the Fair Work Commission said it would scrap discounted pay rates for employees aged 18 to 20, saying they should receive the full award wage.
Wages for 18-year-olds in those sectors are currently set at 70 per cent of the full award wage, rising to 80 per cent for those aged 19, and 90 per cent when they reach 20.
Minors will still receive junior wages following the latest decision.
The higher wages for young adults will be phased in over a four-year period from December. It will only apply to those who have had at least six months of experience at their current workplace.
The decision took into account factors such as labour market disadvantages for young people, the watchdog added.
with AAP
More to come.
Millie Muroi is the economics writer at The Sydney Morning Herald and The Age. She was formerly an economics correspondent based in Canberra’s Press Gallery and the banking writer based in Sydney.Connect via X or email.From our partners
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