Federal government declares wage increase a 'win' for 'vulnerable workers'

Find out why the move is also for women, part-time workers, and 'pandemic heroes'

Federal government declares wage increase a 'win' for 'vulnerable workers'

The Albanese Labor Government considered the new minimum wage increase a victory for women, part-time workers, and heroes of the pandemic, a media release from the Department of Employment and Workplace Relations (DEWR) stated.

Based on the media release, around 2.8 million Australians would benefit from the pay rise, most of whom are women and part-time workers.

“This week’s minimum wage increase is a win for the many hard working Australians who’ve kept our communities and our economies going during the worst of the pandemic,” the DEWR said.

The Albanese Labor Government also said the wage increase meant that the government recognised the sacrifices and the unique challenges in the Australian economy, given that the cost-of-living crisis had a disproportionate impact, “especially on the most vulnerable workers who are living paycheque to paycheque.”

Biggest beneficiaries of the pay rise

According to the DEWR, the majority of Australians benefiting from this increase are women with 1,571,100 (59% ) compared to Australian men workers with a total of 1,088,300 (41%). Almost two-thirds are part-time workers with a total of 1,665,400 (63%) compared with 994,000 (38%) full-time workers.

Moreover, the government said that many of the low-paid workers are “young, female, in casual employment, and are far more likely to find themselves experiencing financial hardship.”

Meanwhile, when ranked based on the top three industries with workers who benefitted from the pay rise, the DEWR said that health care and social assistance came first (586,400 or 22%), followed by accommodation and food services (517,600 or 20%), and third, the retail trade (333,000 or 13%).

The DEWR also listed the specific beneficiaries of the wage increase according to state and territory. These include:

  • New South Wales - 1,048,000 or 40%
  • Victoria - 546,100 or 21%
  • Queensland - 466,900 or 18%
  • South Australia - 227,200 or 9%
  • Western Australia - 234,200 or 9%
  • Tasmania - 75,900 or 3%
  • Northern Territory - 22,000 or 1%
  • Australian Capital Territory - 39,400 or 2%

Relieving the ‘cost-of-living pressures’

The Albanese Labor Government said that with real wages dropping and inflation at 21-year highs, many Australians experience a cost-of-living crisis. Thus, the need for a wage increase. 

“We don’t want to see low-paid workers go backwards,” the DEWR said. “That’s why the first decision of the new Albanese Labor Cabinet was to agree our submission to the Fair Work Commission recommending that Australians get a decent minimum wage increase.”

The DEWR assured that the era of low wages is now “over” for Australian workers, especially the cleaners, carers, shop assistants, and other heroes of the pandemic who were at the forefront of keeping Australia operating during the pandemic. 

“Workers know they now have a Government that will show up and fight for them,” the Labor Government said. “We are proud to have helped secure a pay rise beginning this week for Australians who need it the most.”

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