print :

2016-08-19

wages growth

Wages growth hits new low

Private sector wage growth in Australia has hit a new low according to figures just released by the Australian Bureau of Statistics.                       

Wages in the private sector (excluding bonuses) grew by just 1.9% in the year to June, after rising by just 0.4% in the last (June) quarter. These figures mean that wages are now growing at a slower rate than at any time since the ABS began publishing such figures nearly 20 years ago.

Pay rates in the private sector have dropped steadily from 2.5% two years ago.

And workers in the public sector are not doing much better. Public sector rates have also hit a new low of 2.3% a year, down from 2.5% the previous quarter.

These figures may be good news for some individual companies, but they are bad news for wage earners and for the economy as a whole. Inflation may be low over-all, but mortgages are not. And tight budgets means low demand for goods and services, less investment and fewer jobs.

A stronger role for government in job creation is part of the answer to the risks of a deflationary spiral. But a strong organised labour movement is equally necessary both for maintaining decent living standards and  shoring up broad-based effective demand across the economy.

Unfortunately, the Coalition government does not seem to understand this simple proposition.

What's New

Telecommunication

May Day 2016
Optus EPA approved
Telstra EA Update
Optus award update

Postal

Vale Jojie Vivar
Changes to Bulletin
Christmas pay rises
Postal reform
Facebook bullying
Year in review
Vale Jim Armstrong

News

Vale Jojie Vivar
May Day 2016
Facebook bullying
May Day 2015
Working In Heat
Your Union Petition
Save our Posties
Sensis Sell Off
""

Website Design by -

designed by MODD Digital Design