Wage changes attributed to recent workplace reforms
Real wages rose in Australia in 2024 for the first time in three years, according to the latest data from the Organisation for Economic Cooperation and Development (OECD).
The OECD's Employment Outlook 2024 revealed a 2.3% increase in real minimum wage in Australia between 2019 and 2024.
It noted, however, that the increase is lesser than in most OECD countries and below the median OECD average of 8.3%.
And Australia's real wages are still 4.8% lower than they were just before the pandemic in Q4 2019.
"This is one of the largest drops in real wages among OECD countries," the organisation said. "Real wages grew in 2024 for the first time in nearly three years, but households are still facing pressure under the cost-of-living crisis."
Source: OECD's Employment Outlook 2024
Sally McManus, secretary of the Australian Council of Trade Unions (ACTU), said the OECD report shows the "damage done by 10 years of wage suppression under the last government."
"Fixing and closing all the wage cutting loopholes has been a big job and involved four pieces of legislation by the Albanese Government," McManus said in a statement.
According to McManus, these laws are starting to take effect on Australia's wage growth figures.
"This is the reason Australian workers are finally getting ahead again with real wages up by 0.5% in the last year," she said.
The ACTU secretary, however, lamented about the Coalition's track record on delivering low wage growth.
"Last month, Shadow Finance Minister Jane Hume said that the prospect of real wage growth for workers on awards would be 'the worst thing for Australians.' The reality is the worst thing for Australians is wages going backwards and this shows how out of touch they are," she said.
Australia has increased its national minimum wage and award wages by 3.75% starting this month.
