The Full Bench of the Fair Work Commission has today handed down its decision in the Junior Rates case (AM2024/24), with significant implications for retail, fast food and pharmacy employers.
The Commission has decided that:
- Employees aged 18–20 will be entitled to 100% of the adult award rate once they have 6 months’ experience with their employer.
- Existing junior percentages will continue to apply during the first 6 months of employment.
- No change to junior rates for employees under 18.
- The decision applies to the Fast Food, General Retail, and Pharmacy Industry Awards.
The Full Bench has indicated these changes will be via a phased implementation, with changes provisionally commencing from 1 December 2026 and fully implemented by 1 July 2029, subject to further submissions on transitional arrangements.
Although the changes are not yet in place, employers should start considering how these changes may impact their business, including those with enterprise agreements underpinned by any of the above awards, identifying affected roles and cohorts, and factoring potential wage cost increases into forward workforce and pricing models.
We’ll continue to track the next steps and practical implications for employers.
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