2026 Annual Wage Review Decision Released

CHAMBER NT BUSINESS NEWS

2 June 2026

 

The Annual Wage Review Decision has been released today by the Fair Work Commission with the following increases outlined: 

🔸 National Minimum Wage will now be $26.44 per hour or $1004.90 per 38 hour week.  

🔸 Minimum wages in modern awards will increase by 4.75% 

Is it just minimum rates that are increasing? 
Modern Awards will also be updated to reflect the increase and take effect at the start of the first full pay period that starts on or after 1 July 2026. 

When do the increases take effect? 
From the start of the first full pay period that starts on or after 1 July 2026.  

What does ‘first full pay period’ mean? 
If 1 July 2026 occurs during a pay cycle, relevant increases are applied at the start of the next pay period.  

Example: Employee A’s pay cycle started 27 June 2026 ends on 8 July 2026. The increase will apply from the start of the new pay period on 9 July 2026. 

When will awards and pay guides be updated? 
Modern awards and pay guides will be updated ahead of 1 July 2026.  Awards can be accessed here: Modern Awards

Does the increase affect enterprise agreements? 
An enterprise agreement will outline its own wage increase amounts and the timing for those increases.   

However, we strongly encourage minimum rates are checked where enterprise agreements are operating past their nominal expiry date.  

In accordance with section 206 of the Fair Work Act 2009 (Cth) the base rate of pay in an enterprise agreement must not be less than the base rate of pay under the modern award if the modern award applied to the employee; and 

If an enterprise agreement applies to an employee and the employee is not covered by a modern award the employees base rate of pay must not be less than the national minimum wage. 

Who does the National Minimum Wage apply to? 
The national minimum wage applies to award/agreement free employees. 

As above, the national minimum wage also needs to be considered where an enterprise agreement applies to an employee not covered by a modern award. 

Why is the pay increase 4.75%? 
Submissions were made by multiple parties including the Australian Government, Australian Chamber of Commerce and Industry and Australian Council of Trade Unions. 

Further Consultation

If you have further questions about the advice in this member update or require assistance, please contact Workplace Relations at [email protected] or by phone on 08 8982 8102

Disclaimer - The information in this publication is of a general nature and is not intended to be advice or address the circumstances of any particular individual or entity. Although we endeavour to provide accurate and timely information, we do not guarantee that the information in this article is accurate at the date it is received or that it will continue to be accurate in the future.