2016 Annual Wage Increase – New Wage Rates for Hairdressers and Beauty Therapists

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Posted June 28, 2016

The 2016 pay guide for the Hair and Beauty Industry Award 2010 has been released. Each financial year the Minimum Wage Panel within the Fair Work Commission (FWC) is responsible for reviewing and setting minimum wages for all employees under the national workplace system for all industries, including the hair and beauty industry.

As part of the Fair Work Act 2009, the minimum wage panel has reviewed the minimum wage order and the current modern award minimum wages for all employees covered under Fair Work. This financial year, 2016-2017, the FWC has announced a decision that a 2.4% wage increase to the national minimum wage for all modern awards will come into effect from the first pay period starting on or after 1 July 2016. This means that all employers are required to re-calculate their wage rates to match not only the increase but the new penalty rates which will affect your salon.

In this year’s review there are important changes to wage rates for Hairdresser and Beauty Therapists:

• The tool allowance for has increased
• The meal allowance has increased
• The penalty rates for Saturday, Sunday and Public holidays are the same for full time, part time and casual employees.
• There is no 6pm to 9pm shift allowance. There is only ONE wage rate for 7am – 9pm Monday – Friday.
•  The meal allowance will only apply if the employee is required to work overtime and is not provided 24 hour’s notice.

If your salon needs help streamlining your payroll process, Hair and Beauty Australia offers an in-house, industry-specific payroll service. Mitigate your risk, save time and money and let Hair & Beauty Australia work out the correct wage rates and entitlements for you.

From only $5.50 per employee per pay cycle, call us today on 02 9221 9911. Correct wages are vital for your business.