Fair Pay Commission wage review decision a blow to families
Published Thursday, 05 July, 2007 at 03:32 PM
Minister for State Development, Employment and Industrial Relations
The Honourable John Mickel
Minister for Employment and Industrial Relations John Mickel said today the Australian Fair Pay Commission decision to grant an increase to the Federal Minimum Wage of $10.26 a week is a blow to all workers and their families.
“Today’s decision is a miserable two per cent rise that just keeps the lowest paid workers trying to keep their head above water,” he said.
“The increase does not give a low paid worker enough money to buy a large cooked chicken from the supermarket for their family unless it was specially discounted.”
“With Australia’s CPI running at 2.4 percent for the 12 months up to March 07, there will be actually be a real decrease in wages.
“It is ten years since the increase was as low as this. In 1997 the National wage case and state wage case increases were $10 per week to all rates,” Mr Mickel said.
“At that time, however, this represented a nominal increase of 2.9 percent to the minimum wage and 2.5 percent in real terms.”
The Queensland Government submission called for an increase of $20/week.
The Wage Price Index (WPI) for Australia for the year to March 07 shows an increase of 4.1 percent and for Queensland it is 4.5 percent.
Therefore, wage increases for workers on the minimum wage will be more than 2 percent less than the average wage rise for Australia and 2.5 percent less than the average for Queensland.
The increases are to apply from 1 October 2007.
“In recent statements, AFPC Chair, Professor Ian Harper, has said that the AFPC will review wages no more often than once per year,” Mr Mickel said.
“This means that that wages will not be increased again until October 2008. That is an appalling prospect for low-income workers.”
Media contact: Chris Brown 3224 7349 or Elouise Campion 3224 6784.
July 5, 2007
“Today’s decision is a miserable two per cent rise that just keeps the lowest paid workers trying to keep their head above water,” he said.
“The increase does not give a low paid worker enough money to buy a large cooked chicken from the supermarket for their family unless it was specially discounted.”
“With Australia’s CPI running at 2.4 percent for the 12 months up to March 07, there will be actually be a real decrease in wages.
“It is ten years since the increase was as low as this. In 1997 the National wage case and state wage case increases were $10 per week to all rates,” Mr Mickel said.
“At that time, however, this represented a nominal increase of 2.9 percent to the minimum wage and 2.5 percent in real terms.”
The Queensland Government submission called for an increase of $20/week.
The Wage Price Index (WPI) for Australia for the year to March 07 shows an increase of 4.1 percent and for Queensland it is 4.5 percent.
Therefore, wage increases for workers on the minimum wage will be more than 2 percent less than the average wage rise for Australia and 2.5 percent less than the average for Queensland.
The increases are to apply from 1 October 2007.
“In recent statements, AFPC Chair, Professor Ian Harper, has said that the AFPC will review wages no more often than once per year,” Mr Mickel said.
“This means that that wages will not be increased again until October 2008. That is an appalling prospect for low-income workers.”
Media contact: Chris Brown 3224 7349 or Elouise Campion 3224 6784.
July 5, 2007