Recent wage growth has slowed, with increases returning to 2022 levels.
Data released by the Australian Bureau of Statistics (ABS) today showed the Wage Price Index (WPI) rose 0.7 percent in the December quarter last year and 3.2 percent over 2024.
ABS Head of Prices Statistics Michelle Marquardt said the previous quarter rise was the equal lowest growth since the March quarter of 2022.
“At 3.2 percent, the annual increase in wages was down from 4.2 percent in December quarter 2023 and is the equal lowest since September quarter 2022,” Ms Marquardt said.
She said private sector annual growth of 3.3 percent was the lowest since June 2022, while annual wage growth for the public sector (2.8 percent), fell below three percent for the first time since the June quarter of 2023.
“Quarterly wage growth in the private sector was 0.7 percent, lower than 0.9 percent in the December quarter 2023, and the equal lowest rise since the March quarter 2022.”
Ms Marquardt said compared to the December quarter of 2023, the private sector saw a drop in both the proportion of jobs with a wage movement (+14 percent compared to +16 percent), and the average hourly wage change (+3.7 percent compared to +4.4 per cent).
“This was the smallest proportion of jobs with a change in wages for the private sector in a December quarter since 2019,” she said.
