Amid a cost of living crisis, many Australians are looking to their employers for some relief.

Despite backlash against the Fair Work Commission’s increase to the minimum wage in June, almost all (95%, 20/21) experts agreed with the decision.

Most panellists noted the wage increase will benefit those on low incomes.

Michael Yardney of Metropole Property Strategists said those on the minimum wage need assistance.

“They have suffered most financially during COVID. Hopefully this does not create an inflation, wages, growth spiral,” Yardney said.

Cameron Murray, research fellow of Henry Halloran Trust, The University of Sydney, said in a rich country like Australia, there is no clear reason that those with the lowest incomes should need to take a real income decline because of inflation.

“Indeed, even wage rises that match inflation are generally not sufficient to maintain the same after-tax income because of Australia’s progressive tax and welfare system. Much higher wage rises are needed for that,” Murray said.

A Finder nationally representative survey of 682 Aussie workers found 1 in 5 (21%) are expecting a larger wage rise this year than they received in 2021 to offset surging inflation.

Worryingly, 5% of Australian workers are expecting a decrease in pay despite cost-of-living pressures.

Full Article: Finder