Wages continue to grow under Labor
Joint media release with The Hon Amanda Rishworth MP Minister for Employment and Workplace Relations New data released by the ABS today shows real wages grew in the June quarter and annual nominal wages have now grown above three per cent for all four years under this Labor Government. Real wages were up in quarter but down through the year, not because wages have been too low but because inflation is still too high.
We’re helping to deliver higher wages for workers because we know this is one of the best ways to help with the cost of living. Our economic plan is all about helping Australians earn more and keep more of what they earn and these figures show our policies are making a meaningful difference. We’re helping to boost wages for workers, giving every taxpayer a tax cut and strengthening super at the same time as we’re helping to address inflation.
Annual nominal wages have now grown above three per cent for 16 consecutive quarters – or 4 years. This is the first time this has been achieved in 17 years. There was not one quarter during the 35 quarters of the previous Government where wages grew above three per cent.
The Wage Price Index grew by 0.8 per cent in the June quarter 2026, to be 3.2 per cent higher through the year. This comes after data last week which showed that average weekly ordinary time earnings for full‑time adults are up by more than $300 per week under Labor to be $2,084 per week or $108,352 per year. While real wages did rise in the quarter, with annual inflation higher than we would like, they did not grow in annual terms.
Real wages grew by 0.2 per cent in the quarter, but fell by 0.8 per cent in unrounded through the year terms. Treasury and the RBA are forecasting annual real wage growth to return this financial year. Even with today’s figures annual real wages have grown for eight of the last eleven quarters.
When we came to Government, real wages were going backwards by 3.6 per cent. Both annual and quarterly real wages fell for the last five quarters under the previous Government. While annual inflation is higher than we would like, it’s much lower than we inherited and it has moderated for the previous three months.
We already had an inflation challenge in our economy before the war in the Middle East, but this conflict is making it worse, and its impacts are broadening beyond fuel. People are under pressure and we’re taking action by helping to address inflation and rolling out more cost of living relief including higher wages and more tax cuts. Just last month, almost 2.8 million workers on the National Minimum Wage and the Modern Award got a pay boost and 14 million Australian taxpayers got another tax cut.
We know that higher productivity is a key to higher wages and living standards over the long‑term and that’s why turning around Australia’s long standing productivity challenge is also a key focus of the government. We’ve made a lot of progress in our economy with strong wages growth under Labor, but the job’s not done because people are still under pressure which is why we continue to take action to boost wages, help address inflation and roll out more cost‑of‑living relief.