Fair Work decision a win for Labor and the low-paid

The minimum wage rise is a political and policy victory for the Albanese government and the union movement.

The hourly wage of the country’s lowest-paid workers has jumped by almost $3 to $23.23 in two wage reviews during the Albanese government’s first year in office.

The Fair Work Commission’s historic minimum wage decision is a political and policy win for the Albanese government and the union movement, ensuring our lowest-paid workers are given a hand up during the nation’s prolonged cost-of-living crisis.

For the second time in 12 months, the commission accepted Labor’s submission that the lowest-paid should not go backwards, agreeing to a significant 8.6 per cent rise for the 184,000 workers on the national minimum wage and a not inconsequential 5.75 per cent increase for 2.5 million award-reliant workers.

The hourly wage of the country’s lowest-paid workers has jumped by almost $3 to $23.23 in two wage reviews during the Albanese government’s first year in office.

In short, Labor is delivering on its pledge to get wages moving again.

Of course, business groups, paid by their members to lobby for real wage cuts, were straight out of the blocks on Friday to claim the increases would be devastating to their bottom line.

According to employers, the increases are a “hammer blow” that “risks unlocking the floodgates for deep and prolonged economic pain”; threatens an “inflation blowout” and will “tip some businesses over the edge”.

Economists joined in the fear and loathing, predicting the wage rises increased the likelihood of more interest rate rises in coming months.

Put their argument another way: they reckon it will be an increase in the wages of low-paid cleaners that ensures Phil Lowe once again drives up the cost of your home mortgage. Get a grip.

The problem for the doomsayers is their annual chicken little claims rarely, if ever, eventuate.

In these challenging economic times, where many are struggling to make ends meet, it’s time for a new songbook.