Enterprise bargaining agreements deliver better wages, but union backed ones deliver the best.
Last week before the House Economics Committee, the Governor of the Reserve Bank made it clear that the current rise in inflation has nothing to do with wages growth. And yet he also made it clear he expects workers to bear the brunt of the cost that comes from slowing inflation.
Since the Reserve Bank began raising interest rates in May, the housing market has very much come off the boil.
The past 2 years has seen a surge in the number of people working multiple jobs
Ten years of productivity gains has resulted in a zero increase in real hourly wages
The June quarter GDP figures released by the Bureau of Statistics showed that over the past year the economy grew a seemingly strong 3.6%.
This week on Follow the Money Ebony is sitting down with Greg Jericho to discuss the Jobs Summit: what happened, why was it needed, and are we going to get any jobs out of it? This was recorded on Tuesday 6th September 2022 and things may have changed since recording. The Australia Institute // @theausinstitute
The latest GDP figures show more than ever before workers are getting less than their fair share
Profits continue to soar ahead of wages
The Stage 3 tax cuts, which will essentially create a flat income tax system, have always been clearly biased towards high-income earners. For those earning over $200,000, the tax cuts represent a 4.5% cut compared to just 0.6% for someone on the median income of $60,000. But this week, the Parliamentary Budget Office has released costings that detail just how skewed the allocation of money is to the richest in our society.
77% of the benefits of the Stage 3 tax cuts will go to the richest 25%
When you count earnings per waged hours it is very clear that real wages have not kept up with productivity
For most of the past 40 years whenever the discussion turns to the need to lift productivity, invariably the conversation is dominated by business groups and various media commentators who suggest the solution is more labour market flexibility. Just a bit more flexibility and productivity will improve!
Average annual earnings growth slowed over the past 6 months while real average earnings plummeted
Underutilisation is at 40 year lows; wages are not even at 10 year highs
The latest wages price index figures from the Bureau of Statistics reveal just how far workers ability to purchase items with what they earn has fallen.
In the past year real wages fell so far they are now back to 2012 levels.
The lack of workers is the major reason for the flight delays and airport wait-times. People are back travelling, but the air travel workers are not.
The 2019-20 taxation statistics released this week by the ATO provide a plethora of data that reveals with precision the salaries of people by location, occupation age and importantly, gender.
The latest raise in the cash rate has meant interest rates have increased by more in 4 months than they have anytime since 1994.
The latest inflation figures from the Bureau of Statistics reveal just how much workers have been left behind. Writing in Guardian Australia, labour market and fiscal policy director Greg Jericho notes that while the focus is on the biggest annual increase in inflation since the introduction of the GST, the data also shows that real wages have fallen drastically.
Despite unemployment at nearly 50 years lows, it will be little surprise to workers that wages growth is only at 3 year highs. Over the past decade the relationship between wages growth and unemployment has shifted such that levels of unemployment that would have once seen wages growing at more than 4% are now associated with growth of well below 3%.
Right now, the big numbers of the economy look pretty good. Unemployment in June was just 3.5% – the lowest since 1974. So why has consumer confidence crashed and why are so many Australians worried about a recession?
The Fair Work Commission has announced an important increase in the national minimum wage, which will rise by $1.05 per hour (or 5.2%) effective 1 July 2022. This represents a significant shift in the debate over wages in Australia, whichi have been languishing for years — and are now falling in real terms.
The latest labour account survey released by the Bureau of Statistics revealed that while job growth remains solid and the job vacancy rate is at record levels, workers real incomes remains at best flat.
The March quarter GDP figures show that while the economy is growing strongly, workers are missing out of their fair share.
The release of the March Wage Price Index confirms what a horror year it has been for workers. While inflation in the past 12 months rose 5.1%, wages grew just 2.4%. Even worse, in the past year the price of non-discretionary items rose 6.6%, meaning for those on low wages, who spend more of their incomes on essential items, real wages would have fallen even more than the 2.6% average fall.
The current election campaign has seen the two major parties put forward housing policies, both of which to varying degrees are aimed at the demand side of the equation.
This week the election campaign has turned to discussion about the increase to the minimum wage, with suggestions that an increase either in line with the curent rate of inflation of 5.1% or marginally above it (such as the ACTU’s proposal of a 5.5% increase) would bring about a return to 1970s style wage sprials.
Today the opposition leader, Anthony Albanese was asked about wages in the following exchange: Journalist: “You said that you don’t want people to go backwards. Does that mean that you would support a wage hike of 5.1% just to keep up with inflation? Anthony Albanese: “Absolutely”. Any other response would be to suggest that real