Annual wage growth has fallen below 4 percent.
The latest Australian Bureau of Statistics (ABS) data, released today, showed the Wage Price Index (WPI) rose 0.8 percent in the September quarter and 3.5 percent for the year.
ABS Head of Prices Statistics Michelle Marquardt said the September annual wage growth figure of 3.5 percent was the first time it had fallen below 4 percent since the June quarter of 2023.
Ms Marquardt said a similar proportion of jobs had a wage change in the September quarter (45 percent) as in the September quarter of 2023 (46 percent).
She said the average size of hourly wage change was lower this year (+3.7 percent) compared to the same period in 2023 (+5.4 percent).
“Wage rises for many jobs can be directly or indirectly linked to the outcomes of the Fair Work Commission Annual Wage Review decision.
“The latest decision of a 3.75 percent wage increase paid from July 1, 2024, was lower than the September quarter 2023 increase of 5.75 percent.
“It was also lower than the Commission’s September quarter 2022 awarded increase of between 4.6 percent and 5.2 percent,” Ms Marquardt said.
She said, seasonally adjusted, annual public sector wage growth was higher than private sector growth for the first time since the December quarter 2020.
