austlii:sa/SAET/2025/68
General information, not legal advice.
SAET
2025-07-11
Dolphin J
Original judgment source is linked above.
State Wage Case 2025 [2025] SAET 68
JURISDICTION: South Australian Employment Tribunal - - Minimum Standard for Remuneration - variation of awards - and adoption of the outcomes of the decision
JUDGMENT OF: The Honourable President Justice Dolphin
Annual review of minimum wages pursuant to the Fair Work Act 1994 - Minimum Standard for Remuneration (MSR) - Minimum wages within awards - Adoption of principles affecting the determination of remuneration and working conditions as determined by the Fair Work Commission (FWC) in its Annual Wage Review 2025 decision, National Minimum Wage (NMW) - New legislative provisions regarding the adopting of the outcomes of Annual Wage Review decisions, s 100A of the Fair Work Act 1994 - No objection from an interested party to SAET adopting the outcomes of the Annual Wage Review 2025 decision - Matter heard and determined on the papers. Held: The outcomes of the Annual Wage Review 2025 decision are adopted - Declaration and orders pursuant to ss 69(3), 90 and 100 of the Fair Work Act 1994 - MSR and minimum award rates increased by 3.5% - Operative date 1 July 2025.
Annual Wage Review 2025 [2025] FWCFB 3500
Fair Work Act 1994 (SA) ss 69(3), 90, 100 and 100A
(1) A Full Bench of SAET must conduct an annual review of -
(a) the minimum standard of remuneration under section 69; and
(c) minimum work-related allowances and loadings in awards.
(2) The review must commence within 3 months of the conclusion of the Annual Wage Review conducted by the Fair Work Commission.
(3) Subject to subsection (5), in conducting the review, SAET may make a declaration under section 100(1) adopting the outcomes of the Annual Wage Review without receiving evidence or submissions, or conducting a hearing, if there is no objection from an interested party.
(4) If SAET proposes to act in accordance with the above, SAET must -
(a) take reasonable steps to ensure that all persons who are likely to have an interest in the review are given a reasonable opportunity to appear and be heard before SAET; and
(b) at least 21 days before making the declaration, publish a notice in a manner prescribed by the rules -
(i) setting out the terms of the proposed declaration; and
(ii) advising that, in the absence of any objection from an interested party, SAET will make the declaration on its own initiative.
(5) If there is an objection from an interested party, SAET must conduct the review by considering the matter de novo.
(d) the United Trades and Labor Council (trading as SA Unions).
DECLARATION AND ORDERS PURSUANT S 100 OF THE FAIR WORK ACT 1994
4. THAT the following terms be included in each Award:
"The rates of pay in this Award include the safety net adjustment payable under the 2025 State Wage Case and Minimum Standard for Remuneration. This safety net adjustment may be offset against any equivalent amount in rates of pay received by employees whose wages and conditions of employment are regulated by this Award which are above the wage rates prescribed in the Award. Such above Award payments include wages payable pursuant to enterprise agreements, currently operating enterprise flexibility agreements, Award variations to give effect to enterprise agreements and over Award arrangements. Absorption which is contrary to the terms of an agreement is not required.
Increases made under the existing or previous State Wage Case principles, previous General Reviews of Award Wages and the 2025 State Wage Case and Minimum Standard for Remuneration excepting those resulting from enterprise agreements or Award variations to give effect to enterprise agreements, are not to be used to offset safety net adjustments."
"The rates of pay in this Award do not include adjustments payable under the following decisions:
"Any employer or group of employers bound by an Award may apply to, temporarily or otherwise, reduce, postpone and/or phase‑in the application of any increase in labour costs flowing from the 2025 State Wage Case and Minimum Standard for Remuneration on the grounds of serious economic adversity. The merit of such application will be determined in the light of the particular circumstances of each case and the impact on employment at the enterprise level of the increase in labour costs is a significant factor to be taken into account in assessing the merit of any application. A party may make such an application under s 31A of the South Australian Employment Tribunal Act 2014 (the SAET Act). It will then be a matter for the President to decide whether it should be dealt with by a Full Bench of SAET.
Any decision to temporarily postpone or reduce an increase will be subject to a further review, the date of which will be determined by SAET at the time it decides any application under this provision.
An individual employer making an application pursuant to this provision may make a request under s 55(2) of the SAET Act that the hearing of the matter be conducted in private and/or that some or all of the evidentiary material produced in the case not be available for inspection. Any such request will be determined by SAET in the circumstances of each case."
Chauffeurs' (Ministerial) Public Service Award (PS)
Firefighting Industry Employees (South Australian Metropolitan Fire Service) Award 2007 (PS)
Hotels - Adelaide Entertainments Corporation and Staff Employed Under the Parliament (Joint Services) Act 1985 Award (PS)
Live Theatre and Concert (Adelaide Festival Centre Trust) Award (PS)
Local Government Tourism, Hospitality and Retail Award (LG)
Medical Scientists (South Australian Public Sector) Award (PS)
Municipal Employees (Adelaide City Council) Award, 2012 (LG)
Nurses (South Australian Local Government Sector) Award (LG)
Nurses (South Australian Public Sector) Award 2002 (PS)
Part-Time Interpreters or Translators (Public Service) (SA) Award (PS)
Performing Arts Centre (Adelaide Festival Centre Trust) Award (PS)
Personal Assistants to Members of the Parliament of SA 1989 Award (PS)
Pre-School (Kindergarten) Teaching Staff Award (PS)
SA Public Sector and Local Government Entities Clerks Award (PS & LG)
SA Public Sector Cafes and Restaurants Adelaide Convention Centre Award (PS)
SA Public Sector Clerks Adelaide Entertainments Corporation Award (PS)
SA Public Sector Plumbers and Gasfitters Award (PS)
SA Public Sector Salaried Employees Interim Award (PS)
School Services Officers (Government Schools) Award (PS)
South Australian Government Building Trades Award (PS)
South Australian Government Civil Construction and Maintenance Award (PS)
South Australian Government Departments and Instrumentalities (Metal Trades) Award 2007 (PS)
South Australian Government Health etc Ancillary Employees Award (PS)
South Australian Government Printing Interim Award (PS)
South Australian Government Transport Workers Award 1994 (PS)
South Australian Municipal Salaried Officers Award (LG)
DECLARATION OF THE MINIMUM STANDARD FOR REMUNERATION PURSUANT TO S 69(3) OF THE FAIR WORK ACT 1994
In accordance with the decision in the 2025 State Wage Case decision and Review of the Minimum Standard for Remuneration (MSR), the South Australian Employment Tribunal (SAET) hereby declares as follows:
1.1 This standard is made pursuant to s 69(3) of the Fair Work Act 1994.
1.2 Subject to 1.3 herein, this standard applies to all employers and employees who are subject to the terms of the FW Act and will prevail over contracts of employment and existing Award conditions to the extent that the terms of this standard are more favourable to an employee.
1.3 This standard will not apply to persons covered by any Awards that are subsequently excluded by SAET pursuant to s 72A(6) of the FW Act to the extent of such exclusion.
Adult means an employee who is of or above 21 years of age.
Apprentice means an employee who is engaged under a contract of training in a trade pursuant to the South Australian Skills Act 2008 (SA).
Casual means an employee who is engaged and paid as a casual.
Employee means a person who is engaged under a contract of employment recognised at common law under which a person is employed for remuneration in an Industry within the meaning of s 4 of the FW Act.
FW Act means the Fair Work Act 1994.
Junior means an employee who is less than 21 years of age.
Ordinary weekly hours means a maximum of 38 hours per week (which may be averaged over four consecutive weeks) and ordinary hours has a corresponding meaning.
SAET means the South Australian Employment Tribunal.
SAET Act means the South Australian Employment Tribunal Act 2014
Trainee has the meaning set out in Schedule B herein.
Weekly hired employee means an employee other than a casual employee.
3.1 The minimum weekly wage for an adult employee working ordinary hours is $965.10. *
3.2 A weekly hired adult employee working less than 38 hours per week is to be paid a minimum hourly rate of $25.40 for each hour.
3.3 Hours worked by a weekly hired adult employee in excess of the ordinary hours as defined are to be paid at a minimum hourly rate of $25.40 for each such hour.
3.4 Adult casual employees are to be paid a minimum hourly rate of $31.75 for each hour.
Subject to other terms of this standard, junior employees are to be paid a minimum rate of pay based upon the relevant adult rate of pay (weekly, part‑time or casual) and applying the following gradations according to the age of the employee:
* These rates include an increase of 3.5% in accordance with the 2025 State Wage Case decision and Review of MSR.
Employees who meet the eligibility criteria for a supported wage as set out in Schedule A are to be paid a minimum wage as set out in that Schedule according to their assessed capacity.
Employees who are subject to formal contracts of training pursuant to the South Australian Skills Act 2008 are to be paid the relevant minimum wage as set out in Schedule B.
7.1 An employee may be remunerated under any system of payment by results provided that any such employee shall while so working receive a minimum amount for each week equal to the appropriate wage otherwise established by this standard.
7.2 Where such employee does not work a full week under a system of payment by results, he or she shall receive a weekly minimum amount proportionate to the time worked under such system.
7.3 For the purposes of this clause, the hours worked and the payments to be made may be averaged over a period of four consecutive weeks or the period over which the employee is regularly engaged by the employer, whichever is the lesser.
All wage, salary, commission or bonus payments (however described) made to or for the direct benefit of an employee by an employer may be taken into account for the purposes of satisfying this minimum standard.
In accordance with s 72A(5) of the FW Act a party to an Award may, within 28 days after the making of this standard, apply to SAET to have the Award excluded from the ambit of the standard (or a part of the standard).
This Schedule defines the conditions which will apply to employees who because of the effects of a disability are eligible for a supported wage under the terms of this Declaration. In the context of this Schedule, the following definitions will apply:
SA.1.1 Supported Wage System means the Commonwealth Government System to promote employment for people who cannot work at full Award wages because of a disability, as documented in "Supported Wage System: Guidelines and Assessment Process".
SA.1.2 Accredited Assessor means a person accredited by the management unit established by the Commonwealth under the Supported Wage System to perform assessments of an individual's productive capacity within the Supported Wage System.
SA.1.3 Disability Support Pension means the Commonwealth pension scheme to provide income security for persons with a disability as provided under the Social Security Act 1991, as amended from time to time, or any successor to that scheme.
SA.1.4 Assessment instrument means the form provided for under the Supported Wage System that records the assessment of the productive capacity of the person to be employed under the Supported Wage System.
Employees covered by this Schedule will be those who are unable to perform the range of duties because of the effects of a disability on their productive capacity and who meet the impairment criteria for receipt of a Disability Support Pension.
This Schedule does not apply to any existing employee who has a claim against the employer which is subject to the provisions of the relevant workers' compensation legislation relating to the rehabilitation of employees who are injured in the course of their current employment.
This Schedule does not apply to employers in respect of their facility, programme, undertaking, service or the like which receives funding under the Disability Services Act 1986 and fulfils the dual role of service provider and sheltered employer to people with disabilities who are in receipt of or are eligible for a Disability Support Pension in accordance with the requirements of the Disability Services Act 1986 and the Standards contained therein, as amended from time to time.
Employees to whom this Schedule applies must be paid the applicable percentage of the minimum rate of pay prescribed by this Declaration according to the following table:
(provided that the minimum amount payable must be not less than $110.79 per week).
* Where a person's assessed capacity is 10% they must receive a high degree of assistance and support.
For the purpose of establishing the percentage of the wage rate to be paid to an employee under this Schedule, the productive capacity of the employee will be assessed in accordance with the Supported Wage System and documented in an assessment instrument by the employer and an accredited Assessor acceptable to the employee and the employee's advisers and to the employer.
SA.5.1 All assessment instruments under the conditions of this Schedule, including the appropriate percentage of the wage to be paid to the employee, must be lodged by the employer with the Registrar of SAET.
SA.5.2 Assessment instruments must be agreed and signed by the parties to the assessment, and must be referred by the Registrar to an inspector appointed under s 219A of the FW Act and will take effect unless an objection is notified to the Registrar within ten working days.
The assessment of the applicable percentage should be subject to annual review or earlier on the basis of a reasonable request for such a review. The process of review must be in accordance with the procedures for assessing capacity under the Supported Wage System.
Where an assessment has been made, the applicable percentage will apply to the wage rate only. Employees covered by the provisions of this Schedule will be entitled to the same terms and conditions of employment as otherwise specified by the FW Act.
An employer wishing to employ a person under the provisions of this Schedule must take reasonable steps to make changes in the workplace to enhance the employee's capacity to do the job. Changes may involve re-design of job duties, working time arrangements and work organisation in consultation with other workers in the area.
SA.9.1 In order for an adequate assessment of the employee's capacity to be made, an employer may employ a person under the provisions of this Schedule for a trial period not exceeding twelve weeks, except that in some cases additional work adjustment time (not exceeding four weeks) may be needed.
SA.9.2 During the trial period the assessment of capacity must be undertaken and the proposed wage rate for a continuing employment relationship must be determined.
SA.9.3 The minimum amount payable to the employee during the trial period must be not less than $110.79 per week.
SA.9.4 Work trials should include induction or training as appropriate to the job being trialled.
SA.9.5 Where the employer and employee wish to establish a continuing employment relationship following the completion of the trial period, a further contract of employment must be entered into based on the outcome of assessment under SA.4 hereof.
SB.1.1 Subject to the exemptions set out in SB.1.2 an apprentice is entitled to a minimum wage based upon the following percentage of the adult weekly minimum wage specified in this standard:
providing that an adult apprentice must receive at least the adult minimum wage as specified in this standard.
SB.1.2 Exemptions granted in nominated Awards in relation to adult apprentice wage rates are set out in Appendix A.
SB.2.1.1 This part of the Schedule shall apply to persons who are undertaking a Traineeship (as defined).
SB.2.1.2 This part of the Schedule does not apply to an apprentice.
SB.2.2.1 Approved Training means that training which is specified in the Training Plan, which is part of the Training Agreement, which is registered with the SASC. It includes training undertaken both on and off-the-job in a Traineeship and involves formal instruction, both theoretical and practical, and supervised practice. The training reflects the requirements of a national Training Package or a Traineeship Scheme and leads to a qualification under the Australian Qualification Framework.
SB.2.2.2 SASC means the South Australian Skills Commission (SASC) under the Training Act.
SB.2.2.3 Trainee is an individual who is a signatory to a Training Agreement registered with the SASC and is involved in paid work and structured training, which may be on or off-the-job. Trainee does not include an individual who already has the competencies to which the Traineeship is directed.
SB.2.2.4 Traineeship means a system of training which has been approved by the SASC, which meets the requirements of a National Training Package developed by a National Industry Training Advisory Board and endorsed by the National Training Quality Council, which leads to an Australian Qualifications Framework qualification specified by that National Training Package, and includes full-time Traineeships and part-time Traineeships including school-based Traineeships.
SB.2.2.5 Traineeship Scheme means an approved Traineeship applicable to a group or class of employees or to an industry or sector of an industry or an enterprise, which has been approved by the SASC.
SB.2.2.6 Training Act means the South Australian Skills Act 2008 or any successor legislation.
SB.2.2.7 Training Agreement means a Contract of Training for a Traineeship made between the employer and a Trainee, which is registered with the SASC.
SB.2.3.1 The minimum wage payable to a Trainee under the terms of this standard will be as specified in Appendix A.
A.B.1.1 The weekly wage payable to full-time Trainees shall be provided in A.B.1.4, A.B.1.5, and A.B.1.6 of this Appendix.
A.B.1.2 These wage rates will only apply to Trainees while they are undertaking an Approved Traineeship, which includes Approved Training.
A.B.1.3 The wage rates prescribed by this clause do not apply to complete trade level training, which is covered by the Apprenticeship system.
Where the Accredited Training course and work performed are for the purpose of generating skills, which have been defined for work at Wage Level A:
Plus 1 year out of school 478.00 572.00 662.00
Plus 2 years out of school 572.00 662.00 774.00
Plus 3 years out of school 662.00 774.00 886.00
Where the Accredited Training course and work performed are for the purpose of generating skills, which have been defined for work at Wage Level B:
Plus 1 year out of school 478.00 553.00 639.00
Plus 2 years out of school 553.00 639.00 746.00
Plus 3 years out of school 639.00 746.00 852.00
Where the Accredited Training course and work performed are for the purpose of generating skills, which have been defined for work at Wage Level C.
Plus 1 year out of school 478.00 553.00 623.00
Plus 2 years out of school 553.00 623.00 699.00
Plus 3 years out of school 623.00 699.00 776.00
School based Traineeships in Wage Levels A, B and C 435.00 478.00
*Figures in brackets indicate the average proportion of time spent in Approved Training to which the associated wage rate is applicable. Where not specifically indicated, the average proportion of time spent in structured training, which has been taken into account in setting the rate, is 20%.
A.B.1.8 Wage rates for Certificate IV Traineeships
A.B.1.8.1 Trainees undertaking an AQF IV Traineeship shall receive the relevant weekly wage rate for AQF III Trainees at Wage Levels A, B or C as applicable with the addition of 3.8% of that wage rate.
A.B.1.8.2 An Adult Trainee who is undertaking a Traineeship for an AQF IV qualification shall receive the following weekly wage as applicable based on the allocation of AQF III qualifications:
Wage Level First year of Traineeship Second year of Traineeship
A.B.1.8.3 Where a person was employed by the employer immediately prior to becoming an Adult Trainee with the employer, such person shall not suffer a reduction in the rate of pay by virtue of becoming a Trainee. Casual loadings will be disregarded when determining whether a person has suffered a reduction in the rate of pay.
A.B.1.8.4 Where a Traineeship is converted from an AQF II to an AQF III Traineeship, or from an AQF III to an AQF IV Traineeship, the Trainee shall move to the next higher rate provided in this Appendix, if a higher rate is provided for that new AQF level.
A.B.1.9 Section A sets out the Wage Level of a Traineeship.
A.B.1.10 For the purposes of this provision, out of school shall refer only to periods out of school beyond Year 10, and shall be deemed to:
A.B.1.10.1 Include any period of schooling beyond Year 10, which was not part of nor contributed to a completed year of schooling;
A.B.1.10.2 Include any period during which a Trainee repeats in whole or part of a year of schooling beyond Year 10;
A.B.1.10.3 Not include any period during a calendar year in which a year of schooling is completed; and
A.B.1.10.4 Have effect on an anniversary date being January 1 in each year.
A.B.1.11 Despite any other clause in this Schedule, Trainees may not be employed under this Schedule under the Traineeship Schemes and in the areas of employment listed in Section A.
A.B.2.1 The tables set out below are the hourly rates of pay where the training is either fully off-the-job or where 20% of time is spent in Approved Training. These rates are derived from a 38 hour week.
Table 1: Trainees who have left school ($ per hour)
*Where agreement exists with the trainee, an additional 20% loading may be paid on all ordinary hours in lieu of annual leave, personal leave and public holidays.
Table 3**:** Wage rates for part-time Certificate IV Traineeships ($ per hour):
Trainees undertaking a part-time AQF IV traineeship shall receive the relevant hourly rate for AQF III trainees at Wage Levels A, B or C as applicable under Table 1 or 2 with the addition of 3.8% of that wage rate.
An adult trainee (as defined) who is undertaking a part-time traineeship for an AQF IV qualification shall receive the following hourly rate as applicable based on the allocation of AQF III qualifications:
A.B.2.2 The hours for which payment shall be made are determined as follows:
A.B.2.2.1 Where the Approved Training for a Traineeship (including a school based Traineeship) is provided off-the-job by a registered training organisation, for example at school or at TAFE, these rates shall apply only to the total hours worked by the part-time Trainee on‑the‑job.
A.B.2.2.2 Where the Approved Training is undertaken solely on-the-job and the average proportion of time to be spent in Approved Training is 20% (i.e., the same as for the equivalent full-time Traineeship), then the total hours on‑the-job shall be multiplied by the applicable hourly rate, and then 20% shall be deducted.
A.B.2.2.3 Where the Approved Training is partly on-the-job and partly off‑the‑job and the average proportion of time to be spent in Approved Training is 20% (i.e., the same as for the equivalent full‑time Traineeship), then the total of all hours spent in work and training shall be multiplied by the applicable hourly rate, and then 20% shall be deducted.
Note: As noted in clause A.B.1.7, 20% is the average proportion of time spent in Approved Training, which has been taken into account in setting the wage rates for most full‑time Traineeships.
A.B.2.2.4 Where a person was employed part-time by an employer under this Award immediately prior to becoming a part-time adult trainee with that employer, such person shall not suffer a reduction in the hourly rate of pay by virtue of becoming a trainee.
A.B.2.2.5 Where the normal full-time weekly hours are not 38 the appropriate hourly rate may be obtained by multiplying the rate in the table by 38 and then dividing by the normal full-time hours.
A.B.2.3.1 For Traineeships not covered by A.B.2.1, the following formula for calculation of wage rates shall apply:
The wage rate shall be pro-rata the full-time rates based on variation in the amount of training and/or the amount of work over the period of the Traineeship, which may also be varied on the basis of the following formula:
Full-time wage rate x Trainee hours - average weekly training time
*Note: 30.4 in the above formula represents 38 ordinary full-time hours less the average training time for full-time Trainees (i.e. 20%).
(a) Full-time wage rate means the appropriate rate as set out in A.B.1.4, A.B.1.5, A.B.1.6 and A.B.1.7 of this Schedule.
(b) Trainee hours shall be the hours worked per week including the time spent in Approved Training.
(c) Average weekly training time is based upon the length of the Traineeship specified in the Traineeship Agreement or Training Agreement as follows:
___________7.6 X 12__________‑_
Note 1**: 7.6 in the above formula represents the** average training time for a full-time Trainee whose ordinary hours are 38 per week.
Note 2: The parties note that the Training Agreement will require a Trainee to be employed for sufficient hours to complete all requirements of the Traineeship, including the on‑the‑job work experience and demonstration of competencies. The parties also note that this would result in the equivalent of a full day's on‑the‑job work per week_._
A.B.2.3.2 Example of the calculation for the wage rate for a part-time traineeship
A school student commences a Traineeship in year 11. The ordinary hours of work are 38. The Training Agreement specifies two years (24 months) as the length of the Traineeship.
Average weekly training time is therefore 7.6 x 12/24 = 3.8 hours.
Trainee hours totals 15 hours; these are made up of 11 hours' work which is worked over two days of the week plus 1.5 hours on-the-job training plus 2.5 hours off-the-job Approved Training at school and at TAFE.
$435 x 15 - 3.8 = $160.26 (plus any applicable penalty rates under the Award)
The wage rate varies when the student completes year 11 and passes the anniversary date of 1 January the following year to begin year 12 and/or if trainee hours changes.
Local Government (Environmental Health & Regulation)
Automotive Industry Manufacturing Film, TV, Radio and Multimedia
[1] Annual Wage Review 2025 [2025] FWCFB 3500.
[2] Ibid Appendix 1: List of submissions by parties pp 58-59.