Key employment law and taxation changes for the 2025/2026 financial year

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Key takeaways

Minimum wage rates rise by 3.5% under the national system, effective July 1 2025.

From 1 July 2025, Services Australia will increase the amount of Parental Leave pay from 110 days to 120 days.

The superannuation guarantee percentage increases to 12% from 1 July 2025. However, the maximum super contribution base will decrease to $62,500.

The commencement of the new financial year brings with it important changes to minimum wages, unfair dismissal regulation and various tax thresholds and rates.

In this article, we have summarised the significant changes about which employers need to be aware. Depending on your individual circumstances, immediate action may be required from 1 July 2025 to ensure ongoing regulatory compliance.

Employment law changes

Key tax rate and threshold changes 

Employment termination payments (ETP)

Genuine redundancy payments

Superannuation

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For more information about the changes to be introduced, please contact our Workplace & Employment Law and Taxation teams.
|By Andrew Tobin, Adele Garnett, Saxon Rose & Nada Dawood