REAL WAGES FALL EXPOSES GOVERNMENT'S FAIRYTALE FORECASTS
18 May 2017
The latest Australian Bureau of Statistics (ABS) wages growth figures released today show that wages are now falling in real terms. The decline in real wages comes at a time when cost of living pressures are rising and workers are struggling to make ends meet.
In response, the Government plans, at a time of record low wages growth, to increase taxes on ten million working Australians while giving a tax cut to millionaires.
This out of touch Government's response is made worse by its support for cutting the penalty rates of Australia's lowest paid workers.
In addition, the Turnbull Government is relying on fairytale forecasting with its wage growth predictions, with wages growth expected to double from its current record low to 3.75 per cent. This is despite the fact the Government doesn’t have a jobs plan, and wants to cut wages for their own workforce and the wages of low and middle income workers.
Just how out of touch can this Government get?
Today's figures show that wages increased by 0.5 per cent in the March quarter to be 1.9 per cent over the year - the lowest annual wages growth on record since the ABS first published the data in 1997.
In the March quarter 2017, private sector seasonally adjusted wages remained at record lows, growing by 1.8 per cent over the year to March 2017.
With headline inflation growing at 2.1 per cent over the year to March, real wages are now declining, meaning the purchasing power of wages is falling.
Instead of trying to defend ordinary workers form having their wages cut, Malcolm Turnbull wants to give a $65 billion tax cut to big business and a pay cut for low paid workers - Australians won't forget this, Prime Minister.