Every year the Fair Work Commission reviews the National Minimum Wage and the minimum rates of pay in modern awards to decide whether they should be increased – this process is called the Annual Wage Review (AWR).
The decision is made by a Fair Work Commission expert panel who review submissions made by unions, employer groups and other interested parties and consider the current economic climate.
Generally, a decision is made in May or June and any pay rise takes effect from 1 July.
How the SDA fights for your pay rises in the Annual Wage Review
These pay rises don’t fall from the sky they are fought for – employer groups are always arguing for lower increases and occasionally even zero increases. They are also not gifted by the government, although it is powerful if the Government makes a strong submission in support of working Australians as the ALP Government has done for the past 3 years.
Pay increases are actually won by unions and their members – we understand the importance of fair pay increases and how those increases need to keep up with the cost of living and recognise how hard SDA members work.
Every year the union movement, including the SDA make comprehensive arguments to the Fair Work Commission to lift wages through the Annual Wage Review.
To inform our submission in the Annual Wage Review case we survey SDA members across Australia about their current financial situation and what a pay rise would mean to you.
Through submissions to the Fair Work Commission, we argue why SDA members both need and deserve a fair and decent pay rise.
Most SDA members are covered by an enterprise agreement, negotiated by the SDA, that links pay rises to the Annual Wage Review decision. This means the AWR decision not only increases the Award rate – it also increases most SDA EBA rates.
While the SDA pushes for wages to go up – employer groups will call for the opposite, deliberately trying to keep wages low.
Here’s what employer lobby groups called for in 2024:
- Australian Retailers Association 3.1%
- National Retail Association 2.5%
- Australian Chamber of Commerce & Industry 2%
- Australian Industry Group 2.8%
In comparison, unions called for a 5% pay rise in 2024.
The Annual Wage Review is the primary way to increase wages for millions of workers and each year it’s crucial unions put a strong case to prevent the low figures advocated by employers being adopted in the AWR Decision.
Have wages gone up in the last 3 years?
Thanks to the SDA and the union movement, we have been able to win real wage increases for working people to help try and combat the cost of living crisis.
Union won increase to award wages:
- 2024 3.75%
- 2023 5.75%
- 2022 4.6%
Pay rises are only possible because of your support every year.
Keep updated with the SDA’s campaign for better wages in 2025 sda.au/campaigns/better-wages.
Authorised by Justin Power, Shop Distributive and Allied Employees Association (Queensland Branch), 385 Saint Pauls Tce, Fortitude Valley QLD 4006
