Wage rises in private sector enterprise agreements remain marooned at 2.6%, while public sector increases have dropped back to recent trends, according to new Attorney-General's Department data that appears to confirm that the pandemic has accelerated the long-running decline in bargaining.
Bargained wage rises in the private sector show little sign of pushing towards the "materially higher" benchmark set by the RBA, growing at 2.6% for the second quarter in a row, while public sector bargaining collapsed.
The Morrison Government has cut back funding for the Fair Entitlements Guarantee in the 2021-22 Federal Budget, but still expects an increase in claims as COVID-19 support for business is wound back and more employers go into liquidation.
Bargained private sector wage rises recovered to near three-year highs in the March quarter, before they felt the effects of the coronavirus pandemic, according to the Attorney-General's Department.
Large numbers of retail employees covered by agreements approved in the second half of last year face wage freezes if employers succeed in their campaign for a coronavirus-driven pause in minimum pay rises such as that adopted during the GFC, new Attorney-General's Department data on bargained wage rises reveals.
The International Labour Organisation wants to avoid the "trap of technological determination" and ensure people are at the centre of its approach to the future of work, according to its deputy director-general, Greg Vines.
Average wage increases in private sector agreements approved in the September quarter have reached 3% a year for the first time since 2016, according to Jobs Department data released today.
The Morrison Government has introduced legislation to crack down on "sharp corporate practices" such as phoenix companies and asset-shifting by employers that are seeking to avoid paying employee entitlements.
In a development that might fuel debate over the links between union power and wage rises, substantially above-average pay increases secured in the heavily-unionised construction sector have pushed bargained private sector wage rises off their recent historic low.
Unions have criticised the Turnbull Government's engagement of employer-clientele law firm Seyfarth Shaw for a $90,000 review of fatalities in the construction sector.
