Tomorrow will be a big day for the hairdressing industry as new wage rates come into effect. Starting July 1 there will be a wage increase to be accounted for from the first pay period after this date. See the details of what this wage increase means to you and your salon, below.
The changed wage rates come courtesy of the 2016 pay guide for the Hair and Beauty Industry Award 2010, which has just been released. The pay guide is part of the process that sees the Minimum Wage Panel within the Fair Work Commission (FWC) review and set minimum wages for all employees under the national workplace system for all industries each year, including the hair and beauty industries.
This year, the major decision has been a 2.4 per cent wage increase to the national minimum wage. 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.
Additionally, there have been further wage changes. For example, the tool allowance wage has been increased, as has the meal allowance for employees required to work overtime without being provided 24 hours’ notice. Other important information includes the fact that the penalty rates for Saturday, Sunday and Public holidays are the same for full time, part time and casual employees, and there is no shift allowance for 6pm to 9pm, as there is only one wage rate from 7am to 9pm from Monday to Friday.
If your salon needs help streamlining your payroll process, particularly to account for these changes, Hair and Beauty Australia (HABA) offers an in-house, industry-specific payroll service, through which they calculate the correct wage rates and entitlements for your salon.
In fact, if you have any questions or queries about these changes, HABA are good point of call. Call 1800 997 795 or visit www.askhaba.com.au.
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