Fair Work Australia has announced today that minimum wage will increased by $26 a week, pushing the minimum weekly pay to $569.90 while minimum hourly wage has been set to $15.

The Australian Council of Trade Unions (ACTU) has been arguing that a $27 a week hike is a viable increase since profits from the mining sector could be used to fund the additional pay for Australia's low-paid workers.

However, the Australian Chamber of Commerce and Industry (ACCI) has been maintaining that the current state of the economy could not support the amount and the most realistic raise for them should be at most $12.50 a week.

ACCI representative Greg Evans said that the minimum wage would impact the vulnerable areas of the country's economy, specifically the retail, tourism and hospitality sector thanks to the current low consumer demand.

He added that if any increase should be enforced, "we need to make sure that any increase is reasonable and affordable."

ACTU secretary Jeff Lawrence countered though that Fair Work's decision was reasonable and economically responsible, as he argued that minimum wage workers only deserve to get their fair share of substantial pay.

He discounted the notion that such move could negatively impact the economy, adding that since the government has withdrawn its stimulus packages, "it's important that there continues to be that purchasing power from workers."