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Mining profits could fund 6pc pay rise for all

The ACTU says mining companies could give every Australian worker cost-of-living relief and still be the most profitable sector.

ACTU secretary Sally McManus said the Minerals Council of Australia’s ‘fear and loathing machine has been running at full capacity’. Picture: NCA NewsWire / Martin Ollman
ACTU secretary Sally McManus said the Minerals Council of Australia’s ‘fear and loathing machine has been running at full capacity’. Picture: NCA NewsWire / Martin Ollman

The ACTU has accused mining companies of engaging in hysteria over Labor’s industrial ­relations changes, declaring mining companies could give every Australian worker a cost-of-living 6 per cent pay rise and still be the most profitable industry in the country.

Hitting back at the Minerals Council of Australia’s multimillion-dollar campaign, ACTU secretary Sally McManus released new research citing Australian Bureau of Statistics data that found the mining industry recorded profits of $304bn last financial year.

Ms McManus said the passage of the Closing Loopholes Bill would lift the wages of 6410 labour hire workers in the mining sector by $49m each year, equal to 0.016 per cent of the sector’s profits.

The ACTU said BHP’s “fanciful” claim that the policy changes would cost it $1.3bn was “26 times higher than the estimated total cost facing the entire mining industry, according to government estimates”.

Ms McManus said the Minerals Council of Australia’s “fear and loathing machine has been running at full capacity”. “It’s time they are held to account for their willingness to engage in misinformation,” she said.

“The mining industry is so profitable it could give every single Australian worker a 6 per cent pay increase and still be the most profitable industry in Australia. It is disgraceful they want to instead hold back all Australian workers from getting better workplace rights.”

Minerals Council of Australia chief executive Tania Constable said the national minerals industry contributed more tax than all other sectors combined in 2021-22.

According to the ninth annual Corporate Tax Transparency report, tax payable by mining and energy companies amounted to $42.4 billion in 2021-22, a “staggering” 50.6 percent of all corporate tax collected in Australia during the period.

“Mining profits benefit all Australians through increased superannuation returns, higher wages and broad community assistance and support, particularly in regional Australia and remote communities,” she said.

“The average annual wage across the mining sector is $151,500 - more than $50,000 above the National average,” she said.

She accused unions of engaging in increasingly desperate behaviour.

“The union is leading a vicious campaign against Australian businesses, large and small, which will only serve to weaken the nation’s economic performance and resilience, push up the cost of living, undermine higher wages, and leave Australians worse off.”

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Original URL: https://www.theaustralian.com.au/nation/mining-profits-could-fund-6pc-pay-rise-for-all/news-story/ca87197959ee53ff102571e395832359