Government tells FWC to 'go further' to support low-paid workers
The Albanese government is pushing for another wage hike to further boost real wages growth and help low-paid workers remain afloat amid the cost-of-living pressures.
Treasurer Jim Chalmers and Employment Minister Amanda Rishworth, in a joint statement, said the government made a submission to the Fair Work Commission recommending an "economically sustainable real wage increase to Australia's award workers."
"An increase in minimum and award wages is consistent with inflation sustainably remaining within the RBA's target band, and will provide further relief to lower-income workers who are still doing it tough," they said in the statement.
"This position is both economically responsible and fair. It will ensure low-paid workers can get ahead as inflation moderates and real wages continue to grow across the economy."
Their push came after wages across Australia went up 3.4% in the year to March 2025, with real wages growing by one per cent in the same period.
"The minimum wage has already increased by $143 a week since we came to office, and the median wage has increased by $206 per week since we came to office," the officials said.
"Now, we're recommending they should go further, providing an economically sustainable real wage increase to Australia's award workers."
Awarding an economically sustainable real wage increase will help around three million workers across Australia, including cleaners, retail workers, as well as early childhood educators, according to the government officials.
"Labor is helping Australians earn more and keep more of what they earn with strong and sustainable wages growth and tax cuts for every Australian taxpayer," they added.
The FWC's Annual Wage Review decision is expected to come out in June. The Australian Council of Trade Unions is calling for a 4.5% minimum wage hike, while the Ai Group said the increase should not be higher than 2.6%.
