Living wage for 1.2m in Labor pitch

Original article by Ewin Hannan
The Australian – Page: 1 & 4 : 26-Mar-19

Opposition Leader Bill Shorten has indicated that Labor’s living wage policy would boost the income of low-income earners from mid-2020. Details of the policy will be announced on 26 March, but Shorten has signalled that the living wage will apply only to people on the minimum wage rather than workers who are on award wages. Shorten also says Labor will legislate to require the Fair Work Commission to take into account a broader range of factors than at present in setting the living wage. Australian Industry Group CEO Innes Willox is among the critics of Labor’s living wage policy.

CORPORATES
AUSTRALIAN LABOR PARTY, AUSTRALIA. FAIR WORK COMMISSION, THE AUSTRALIAN INDUSTRY GROUP, ACTU

Labor push on minimum wage will hurt those it’s meant to help

Original article by Kurt Wallace
The Australian – Page: 14 : 22-Mar-19

Opposition Leader Bill Shorten has committed to raising the minimum wage to become a "living wage" if Labor wins the 2019 election. The ACTU has stated that a living wage is needed so that no full-time worker is living in poverty, but under its definition of what is poor, someone earning $42,000 a year would be deemed to be living in poverty; many would take issue at this definition. Research based on the annual Household, Income and Labour Dynamics in Australia survey suggests that poverty is on the decline, while introducing a living wage will result in less jobs and fewer hours worked.

CORPORATES
AUSTRALIAN LABOR PARTY, ACTU, AUSTRALIA. FAIR WORK COMMISSION, INSTITUTE OF PUBLIC AFFAIRS LIMITED, UNIVERSITY OF MELBOURNE. INSTITUTE OF APPLIED ECONOMIC AND SOCIAL RESEARCH

Wage rise will cost jobs: retailers

Original article by Ewin Hannan
The Australian – Page: 2 : 19-Mar-19

Master Grocers Australia has urged the Fair Work Commission to limit the 2019 increase in the minimum wage to 1.2 per cent, which equates to $8.60 a week. It warns that a large increase in the minimum wage would force independent retailers to cut staff numbers or allocate more shifts to junior employees. The ACTU is pushing for the minimum wage to be increased by $43 a week, while the Victorian and Queensland governments have called for it to be increased by $40.66 and $25 a week respectively.

CORPORATES
MASTER GROCERS’ AUSTRALIA PTY LTD, AUSTRALIA. FAIR WORK COMMISSION, ACTU, IGA, FOODWORKS SUPERMARKET GROUP LIMITED, CELLARBRATIONS, THE BOTTLE-O, DUNCAN’S LIQUOR

Kelty warns ALP on wages

Original article by Troy Bramston, Ewin Hannan
The Australian – Page: 1 & 2 : 15-Mar-19

Labor will use its submission to the Fair Work Commission’s review of the minimum wage to push for an above-inflation increase in 2019. Meanwhile, former ACTU secretary Bill Kelty says any increase in the minimum wage must reflect the economy’s capacity to absorb it. He adds that a rise in the minimum wage must be linked to productivity gains. Kelty also supports Labor’s proposal for a living wage, stating that it would benefit the economy and make enterprise bargaining more effective.

CORPORATES
AUSTRALIAN LABOR PARTY, AUSTRALIA. FAIR WORK COMMISSION, ACTU, AUSTRALIA. DEPT OF THE PRIME MINISTER AND CABINET, THE AUSTRALIAN INDUSTRY GROUP, AUSTRALIAN CHAMBER OF COMMERCE AND INDUSTRY, NATIONAL RETAIL ASSOCIATION LIMITED

Trump’s battlers enjoy rapid pay rises

Original article by Jacob Greber
The Australian Financial Review – Page: 7 : 15-Mar-19

Goldman Sachs estimates that growth in wages across the US economy is currently around 3.4 per cent, and 4.4 per cent in sectors with low wages. The investment bank’s research also shows that wages for workers in the bottom 50 per cent of the US wage distribution is rising by around four per cent a year, compared with about two per cent for those in the top half. The higher growth in low-income wages gained pace from mid-2018, in the wake of the Trump administration’s company tax cuts package. In contrast, the ACTU is advocating a large increase in the minimum wage to address the income gap.

CORPORATES
THE GOLDMAN SACHS GROUP INCORPORATED, UNITED STATES. EXECUTIVE OFFICE OF THE PRESIDENT, ACTU, AUSTRALIAN LABOR PARTY, ORGANISATION FOR ECONOMIC CO-OPERATION AND DEVELOPMENT, UNITED STATES. FEDERAL RESERVE BOARD

Call to freeze wages for low-paid

Original article by Ewin Hannan, Ben Packham
The Australian – Page: 1 & 2 : 14-Mar-19

Restaurant & Catering Australia CEO Juliana Payne has warned that the ACTU’s push to increase the minimum wage to 60 per cent of median earnings will result in job cuts. She says there should be no increase in the minimum wage in 2019 due to the above-inflation increases of recent years, and notes that the sector cannot pass on the cost of wage rises to customers. Meanwhile, the Australian Retailers ­Association supports a 1.8 per cent increase in the minimum wage, although a survey has found that about 50 per cent of its members favour leaving it unchanged in 2019.

CORPORATES
RESTAURANT AND CATERING INDUSTRY ASSOCIATION OF AUSTRALIA INCORPORATED, AUSTRALIAN RETAILERS ASSOCIATION, ACTU, AUSTRALIAN LABOR PARTY, AUSTRALIA. DEPT OF THE PRIME MINISTER AND CABINET, THE AUSTRALIAN INDUSTRY GROUP, AUSTRALIAN CHAMBER OF COMMERCE AND INDUSTRY, BUSINESS COUNCIL OF AUSTRALIA, AUSTRALIA. FAIR WORK COMMISSION

ACTU wants living wage in two years

Original article by David Marin-Guzman, Phillip Coorey
The Australian Financial Review – Page: 1 & 4 : 13-Mar-19

The ACTU will seek a six per cent increase in the minimum wage in 2019, followed by a 5.5 per cent rise in 2020. This equates to an increase of about $72.80 a week over two years, to almost $42,000 a year. ACTU secretary Sally McManus says the current minimum wage condemns many people to living below the poverty line. The Fair Work Commission rejected the ACTU’s push for a 7.2 per cent rise in the minimum wage in 2018, warning that such a large increase would result in many low-income workers losing their jobs or having their hours of work reduced.

CORPORATES
ACTU, AUSTRALIA. FAIR WORK COMMISSION, AUSTRALIAN LABOR PARTY, NATIONAL AUSTRALIA BANK LIMITED – ASX NAB

Shorten hit on fat cat employers

Original article by Ben Packham, Greg Brown, Jessica Cortis
The Australian – Page: 1 & 4 : 13-Mar-19

Opposition Leader Bill Shorten says Labor could legislative to mandate that the Fair Work Commission must take into account the needs of low-income workers when setting the minimum wage. He argues that the methodology for determining the minimum wage has not changed since the 1980s. Australian Industry Group CEO Innes Willox rejects suggestions that the FWC does not give sufficient weight to the needs of low-paid workers, noting that the last two increases in the minimum wage were well above the inflation rate and average wage movements.

CORPORATES
AUSTRALIAN LABOR PARTY, AUSTRALIA. FAIR WORK COMMISSION, THE AUSTRALIAN INDUSTRY GROUP, AUSTRALIAN CHAMBER OF COMMERCE AND INDUSTRY, BUSINESS COUNCIL OF AUSTRALIA, ACTU, AUSTRALIA. DEPT OF THE TREASURY

Lowest paid being in richest 20pc of households blunts wage-lift case

Original article by Matthew Cranston
The Australian Financial Review – Page: 4 : 13-Mar-19

Analysis of data from the Household, Income and Labour Dynamics in Australia (HILDA) survey shows that 13.8 per cent of the nation’s lowest-paid workers are living in the wealthiest 20 per cent of households. In contrast, 13.6 per cent of people on the lowest incomes are living in the poorest 20 per cent of households. The director of the HILDA Survey, Professor Mark Wooden, notes that many people on low incomes are secondary earners working in small business or the self-employed, particularly in wealthier households. He has also questioned the merits of a ‘living wage’, as advocated by Labor leader Bill Shorten.

CORPORATES
UNIVERSITY OF MELBOURNE. INSTITUTE OF APPLIED ECONOMIC AND SOCIAL RESEARCH, AUSTRALIAN LABOR PARTY, RESERVE BANK OF AUSTRALIA

Shorten talks up living wage bid

Original article by Ewin Hannan
The Australian – Page: 4 : 7-Mar-19

Australian Chamber of Commerce & Industry CEO James Pearson has warned that a significant increase in minimum wage would result in job losses, a reduction in hours of work for many people and business failures. He was responding to comments by Opposition Leader Bill Shorten, who has told a business summit that the minimum wage is too low and is no longer a living wage. ACTU secretary Sally McManus has again reiterated the need for a living wage.

CORPORATES
AUSTRALIAN CHAMBER OF COMMERCE AND INDUSTRY, AUSTRALIAN LABOR PARTY, ACTU, AUSTRALIA. DEPT OF THE TREASURY