Minimum wage
A minimum wage is an enforceable lower limit on pay for workers covered by the relevant wage rules.
The International Labour Organization describes minimum wages as pay floors that cannot be reduced by an individual agreement. Countries establish them in different ways, including legislation and collective agreements with legal force. There is no single international rate, and a country's headline figure may not be the rate that applies to every job.
Check the rules for the workplace and your employment category. For example, Australia's Fair Work Ombudsman explains that minimum rates can depend on an award or agreement, employment type, age or work capacity. The relevant rate also needs the right effective date. An annual salary on a job advert does not, by itself, show whether the employer has calculated pay correctly for the hours and rules involved. Keep records of your hours and payslips if you need to query a calculation.
Example
A café applicant in Australia checks the applicable award and classification before comparing the offered hourly rate with a general national minimum figure.
What to check
- Find the current rule for your location.
- Confirm your coverage and pay classification.
- Check which hours and payments count.