This month, single mothers on the minimum wage will get a pay rise, and those doing practical placements as part of their studies will soon start to receive compensation. These changes follow long and committed campaigns by CSMC and other advocacy organisations – here’s what’s happening.
Rise in the minimum wage
The Fair Work Commission’s Expert Panel this month announced the National Minimum Wage and award wages will increase by 3.5 per cent from 1 July 2025, following the 2024-25 Annual Wage Review.
The annual review found that the national minimum wage, as well as modern award minimum wages, should all increase by 3.5 per cent.
The increase will come into effect from July 1 this year. The current national minimum wage is $24.10 per hour, or $915.90 per week. A 3.5 increase will increase that to $24.94 an hour, or just over $30 more a week.
Relief for Students on Mandatory Placements
From July 2025, eligible students studying teaching, nursing, midwifery, or social work will receive a weekly $319.50 Commonwealth Prac Payment while completing required unpaid work placements. Tied to the Austudy rate and not affecting other support payments, the initiative aims to ease the financial pressure many students face during this phase of their training.
Mandatory placements are often critical to developing professional skills and confidence. But the unpaid hours – sometimes hundreds – can push students into financial hardship. Many cut back on paid work, and some delay or drop out of their degrees entirely because they can’t afford to complete placements.
This is especially true in fields like social work and education, which require 1,000 hours or more of unpaid work experience. For those students, the new payment offers some relief.
Despite its benefits, the payment is limited. It excludes students in other demanding degrees with substantial unpaid placement requirements – such as occupational therapy, speech pathology, and several allied health fields. It also overlooks those in creative arts, communications, and planning, where universities increasingly mandate real-world experience without formal regulation or compensation.
We look forward to seeing the benefits of this particularly for single mother students and the adult children of single mothers who also do placements!
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