The Queensland Government supports a real wage increase for low paid workers and a reward for overall productivity improvements in its submission to the Fair Work Commission’s Annual Wage Review.

Industrial Relations Minister Grace Grace said the Annual Wage Review could directly benefit around 400,000 Queensland employees in the federal industrial relations system who are dependent on award rates.

“Not all employees are able to bargain with their employer for a wage increase, which is why the Annual Wage Review is so important,” she said.

“Around 400,000 Queenslanders are reliant on award rates, including large numbers of workers in the hospitality, retail and administrative sectors – particularly women.

“Traditionally these workers are lowly paid and they look to the annual review each year for a pay increase to help make ends meet.”

Ms Grace said that the Queensland Government was committed to a fair and economically responsible wage increase.

“In 2015 the Fair Work Commission acknowledged that ‘modest and regular increases in minimum wages have a small or even zero impact on employment’,” she said.

“After taking all relevant factors into consideration, we’re confident the Queensland economy is capable of accommodating a fair pay increase for low paid workers.”

Any wage increase resulting from the Annual Wage Review would come into operation from 1 July 2016.