OECD confirms that inflation has been mostly driven by corporate profits
In the debate over what is driving inflation – the OECD has looked at 15 nations across the world and found that in Australia and most other nations, the answer is profits
Blame Game on Inflation has Only Just Begun
Every inflationary episode embodies a power struggle within society over who benefits from inflation, who loses out – and who will bear the cost of getting inflation back down.
The economy is slowing as households get smashed by yet more rate rises
A slowing economy and households closing their wallets is bad news with a Reserve Bank determined to keep raising rates
Fair Work: 5.75% Award Wage Boost will not cause “Wage-Price Spiral”
Today’s 5.75% award wage increase is a necessary boost for the lowest paid workers but does not keep pace with inflation. The Fair Work Commission (FWC) has today explicitly said this increase “will consequently not cause or contribute to any ‘wage price spiral’”. Key Points: Award wage increase of 5.75% is less than inflation, which
The level of public housing needs to return to previous levels
Australia needs more housing, and we definitely need more public housing
HECS/HELP debt for low income earners is set to increase due to indexation
The indexation of HECS/HELP debt this year will leave people earning less than $62,000 with a bigger debt even after their repayments.
Profit-Price Spiral an Inconvenient Truth for Big Business: Economists
Despite a mainstream shift in the national conversation away from baseless claims of a “wage-price spiral”, some big business proponents and conservative economists appear unwilling to accept the economic evidence of a profit-price spiral.
Workplace Law Reform Must Limit Cancer of ‘Gig Work’ in Care Economy: Research
New research reveals the growth of ‘gig’ employment in the NDIS and care sector is undermining minimum employment conditions for tens of thousands of workers, with thousands of workers likely earning below-award wages, missing out on superannuation and experiencing inferior WHS protections and gender pay equality outcomes.
Real wages falls and interest rates rises signal tough times for households and the economy
You can’t sustain household spending while real wages continue to fall, and households are starting to let everyone know
Wages are growing solidly but real wages continue to plummet
Wages are growing the best they have for 11 years, but real wages are now back at the level they were 14 years ago
The RBA raised rates in March and May despite its own analysis saying they were not needed
The Reserve Bank’s own research showed that raising rates after February would only increase unemployment, not lower inflation
Don’t worry about a budget surplus, worry about a slowing economy
Rather than be a budget that will fuel inflation, the budget is actually closer to austerity than stimulation
Surging mining sector profits are distorting Australia’s economy.
Profits in the mining sector are surging, but output is not – and the increased prices come at a cost to the rest of the economy
Lower inflation but lower wages – the RBA predicts lower real wages
By the middle of 2025 the average wage will be worth less in real terms than it was a decade and half earlier
Affordability of a Liveable Jobseeker Payment is a Non-Issue
Commonwealth on Track for Diminutive Deficit or Surplus in 2022-2023 In the lead-up to its 2023-24 budget, the Labor Government finds itself in an awkward position, accepting that the Jobseeker payment is “seriously inadequate” and an impediment to regaining work, yet professing that it lacks the financial capacity to afford a meaningful increase anytime soon.
The latest enterprise agreements show public sector workers are being hurt by wage caps
Stronger wage growth in the private sector is good news, but public sector workers continue to be left behind
It’s not just mining – non-mining profits have also driven inflation
As the Reserve Bank continues to raise rates, it continues to misread the nature of inflation that is being driven largely by profits.
The Reserve Bank’s decision to raise rates shows a total lack of coherency
Wages growth is rising slowly and inflation is falling faster than expected, and yet the RBA decided to hit the economy again with another rate rise.
Latest inflation figures show the RBA was right not to raise rates in April
Inflation is falling steadily but hitting low-income households the most.
7% Minimum Wage Rise Would Tackle Inflation, not Feed it: Research
A 7% National Minimum Wage rise for low paid workers would help tackle the rising cost of living for those on award wages while having a virtually undetectable impact on economy-wide prices, new research from leading economists at the Centre for Future Work has found. The data comes as the Fair Work Commission deliberates about
The Stage 3 tax cuts are bad economics combined with terrible politics. They should be dumped.
The Stage 3 tax cuts were always bad, but with the removal of the low-middle income tax offset, they become a terrible political strategy as well
Wealth inequality across generations will only fuel voter disenchantment
Millennials are not becoming more conservative as they age – and the rigged housing market is just one reason why
With the impact of rate rises still to come the RBA is wise to pause
Perhaps as much as a third of the rate rises since April have yet to fully hit the economy
Stop the fear, give workers a fair pay rise
The whole point of public-sector wage caps is to keep all wages down
The housing market has cooled, but housing unaffordability remains a long way off
House prices are falling but housing unaffordability remains high
Women Earn $1m less than men & $136,000 Less in Super over Working Life
New research released on International Women’s Day reveals Australian women earn $1.01m less over their working lives than men, based on median income data. Women earn $136,000 less in superannuation over their working lives than men, based on median income data. Women earning the median wage will accumulate approximately $393,676 in super, $151,000 below what
Australian Inflation Reflects a Historic Redistribution from Workers to Bosses
The upsurge of inflation since the COVID-19 lockdowns has not had equal impacts on all Australians. Workers and low-income people have experienced the worst losses: both because their incomes, in most cases, have not kept up with prices, and because they are more dependent on essential goods and services (like shelter, food, and energy) than higher-income households.
925,000 are now working more than one job
The rising cost of living and falling real wages has seen the number of people working more than one job surge in the past 2 years.
Profit-Price Spiral: Excess Profits Fuelling Inflation & Interest Rates, not Wages
New empirical research reveals the main driver for inflation in Australia is excess corporate profits, not wages, and that inflation would have stayed within the RBA target band if corporates had not squeezed consumers through the pandemic via excess price hikes.
Superannuation needs an objective and needs to be reviewed
Superannuation is too important for retirement to be allowed to be a tax dodge scheme for the wealthy. It is time to review the scheme and stop the abuses
Luciana Lawe Davies Media Adviser