Economics
Workforce
Children’s Services and Teachers Awards to increase by 1.75% effective 1 July 2020
Jason Roberts
Jun 19, 2020
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The Fair Work Commission’s annual wage review has been completed with the Children’s Services Award 2010 and the Educational Services (Teachers) Award 2010 receiving a 1.75 per cent increase effective 1 July 2020. 
Notably, this year the Commission took a different approach to the application of increases by identifying clusters of industries categorised based on how they have been impacted by the economic consequences of COVID-19.
This compares to a 3.0 per cent increase passed last year with the reduced increase reflecting the Fair Work Commission’s assessment of the current economy and how it has been impacted by COVID-19.
Notably, this year the Commission took a different approach to the application of increases by identifying clusters of industries categorised based on how they have been impacted by the economic consequences of COVID-19. Both the Children’s Services Award 2010 and the Educational Services (Teachers) Award 2010, considered to be essential services, were classified as “lower cluster” because relative to industries such as hospitality or arts and recreation, which fall into the “upper cluster”, they have been impacted less in terms of job losses and falls in wages.
The impact of this clustering methodology has seen lower cluster sectors receive a 1.75 per cent increase effective 1 July 2020 but other sectors have had their increased deferred to later dates, for example, the middle cluster, which includes rail workers and telecommunication workers, will see their increase from 1 November 2020 and the upper cluster from 1 February 2021.
The rise should see an educator with a Certificate III in Children’s Services starting out in the early childhood education and care (ECEC) sector earning $23.10 an hour – changing 40 cents per hour and moving from $22.70 last year, and an educator with a Diploma in Children Services starting out in ECEC now earning $24.75 an hour, up from $24.33 last year.
Please note the official Award updates are expected to be updated in late June and will be accessible at that time on the Fair Work Commission website.
The panel, which is made up of the Commission President, three full-time members who are also Commission members, and three part-time members who are not, are charged with evaluating the current economic, social and workplace relations landscapes before concluding on what an appropriate increase should be passed.
To read this year's determination please click here.
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