Hundreds of thousands of young Australians could soon see a serious boost to their weekly pay packets after a landmark ruling by the Fair Work Commission handed down today.
The decision will phase out junior pay rates for 18 to 20-year-olds across key industries like retail, fast food and pharmacy — meaning younger workers will no longer be paid less simply because of their age.
The catch these changes are not immediate and will be phased in over 4 years.
💰 How Much More Could You Earn?
With the adult minimum wage sitting around $25 per hour, the difference is significant.
👉 18-Year-Old Worker
- Current: ~$17.50/hour
- New: $25/hour
- Pay Rise: +$7.50/hour
➡️ Working 20 hours a week:
- Before: $350
- After: $500
- Extra: +$150 per week
👉 19-Year-Old Worker
- Current: ~$20/hour
- New: $25/hour
- Pay Rise: +$5/hour
➡️ 20 hours a week:
- Before: $400
- After: $500
- Extra: +$100 per week
👉 20-Year-Old Worker
- Current: ~$22.50/hour
- New: $25/hour
- Pay Rise: +$2.50/hour
➡️ 20 hours a week:
- Before: $450
- After: $500
- Extra: +$50 per week
🔥 What’s Changing?
Right now, many young workers earn:
- 70% of the adult wage at 18
- 80% at 19
- 90% at 20
Under the new ruling:
- Workers will move to 100% adult pay
- Applies after 6 months with the same employer
- Changes will be rolled out over several years
🗣️ Why This Matters
Supporters say it’s a major step toward “equal pay for equal work”, especially as young Australians battle rising living costs.
The change is expected to impact around 500,000 workers nationwide, putting more money back into the pockets of younger Aussies.
⚠️ Not Everyone Is Happy
Some business groups warn the move could:
- Increase operating costs
- Impact hiring of younger workers
But advocates argue the system has been outdated for years.
🧾 The Bottom Line
✔️ Big win for young workers
✔️ Potential for $50 to $150 extra per week
✔️ One of the biggest changes to youth wages in years
Stay with MHV News for more updates on how this impacts local workers and businesses.