Australia Raises Minimum Wage by 4.75%

Australia’s Fair Work Commission increased the national minimum wage by 4.75% to A$1,004.90 per week (A$26.44 per hour), effective July 1, 2026.

The hike, which is higher than last year’s 3.5% and 2024’s 3.75% but below 2023’s 5.75% and unions’ demands for 5%–6%, will impact roughly 2.8 million workers, or about a fifth of the workforce.

The Commission cautioned that the Reserve Bank of Australia’s tighter monetary policy will slow economic growth, while inflation, already at 4.1% in Q1 2026 and projected to peak at 4.8% in Q2, remains well above the RBA’s 2%–3% target.

It noted that the 4.75% increase will ensure workers are not worse off in real terms compared to July 1, 2025.