Over half of wages growth from jobs with pay set by an enterprise agreement, the ABS revealed
Wage growth in Australia remained steady in the March 2026 quarter, led strongly by enterprise agreements, according to the latest data from the Australian Bureau of Statistics (ABS).
The Wage Price Index rose 0.8% in the March quarter 2026, remaining steady since the September quarter of 2025.
Private sector wages rose 0.8% in the March quarter, while public sector wages increased 0.5% over the quarter.
According to the index, jobs with pay set by an enterprise agreement contributed 52% of wages growth, with the larger March quarter contribution driven by:
- Rises in state public sector agreements
- Jobs linked to the Early Childhood Education and Care (ECEC) worker retention payment that shifted pay setting to meet grant conditions
- Regular private sector scheduled rises.
"The Healthcare and Social Assistance industry had the largest contribution to wages growth. It rose 0.7% this quarter," said Sue-Ellen Luke, ABS head of prices statistics, in a statement.
"A major Commonwealth-funded initiative in the Early Childhood Education and Care workforce saw wage rises paid in the private sector for this industry, while Queensland hospital health care workers were the main driver of public growth."
By state and territory, the Australian Capital Territory registered the highest quarterly growth in wages at 0.8%.
The lowest quarterly wage growth was recorded in New South Wales, South Australia, and Western Australia at 0.4%.
Annual growth in wages
Meanwhile, annual growth in wages was 3.3%, logging a slight decrease from the 3.4% recorded in the December quarter of 2025, according to the ABS.
Annually, public sector wages grew at a faster pace than the private sector for a fifth consecutive quarter, but the gap has narrowed substantially.
Annual private sector wages rose 3.2% in the year to March quarter 2026, slightly lower than the 3.3% recorded in the same time last year.
In the public sector, wages grew 3.3% in the year to March 2026, also slightly lower than the 3.6% reported in the same period last year.
By state and territory, the Australian Capital Territory logged the highest annual growth at 3.7%, while the Northern Territory recorded the lowest at 2.3%.
