Australia has recorded a surprise rise in wages growth, with economists putting it down to the country’s swifter than expected economic recovery.
Australian wages have surprisingly edged higher as a result of the nation’s swift recovery from the economic downturn sparked by the coronavirus pandemic.
Latest wage price index figures from the Australian Bureau of Statistics reveal pay packets rose 0.6 per cent in the December quarter of last year, with the uplift largely due to salary cuts that were implemented as a cost-saving measure during the height of the lockdown being scrapped.
In annual terms, wages over the year rose 1.4 per cent, with the biggest rises in the private sector.
ABS head of price statistics Michelle Marquardt said private sector wages rose 0.5 per cent, while the public sector grew 0.3 per cent.
“December quarter’s moderate growth was influenced by businesses rolling back short-term wage reductions, returning wages to pre-COVID levels,” Ms Marquardt said.
“The phased implementation of the Fair Work Commission annual wage review also had a small positive impact on wages.”
Victoria recorded the largest lift in wages, with professional scientific and technical services industries faring best…