Source : Perth Now news
Despite receiving a pay raise, large parts of the workplace is expected to continue to grow wages.
The Australian Bureau of Statistics will release December quarter data on Wednesday, with a steady annual growth rate of 3.4 %.
Despite a surge in quarterly numbers, annual growth has been at 3.4 % since the March fourth.
If the forecasts are accurate, income would be moving in line with inflation, which increased by 3.8 % in the month to December.
A give increase for aging care workers in Australia will take effect in the December third starting in October.
The sector’s last income boost came at the end of the 2022 income increase, according to a complaint made by the Health Services Union to the Fair Work Commission.
Since 2023, the wages in the aged care system have increased, with employees then receiving an additional$ 433 per year.
Taylor Nugent, a senior analyst at NAB, predicted that wage growth may continue to be in line with the Reserve Bank’s projections.
According to him, the October batch of pay increases may provide a boost of about five basis points from the job worth case for aging care workers.
” Public sector pay agreements that include some catch-up progress have supported the growth of the income price index over the past year.”
According to the most recent wage data, public sector wages increased 0.9 % and private sector pay packets increased 0.7 % for the September quarter.
However, a rise in wages has resulted in more companies closing their windows, with statistics indicating that the hospitality industry was more under stress than other sectors.
In the month of January, CreditorWatch’s business risk score revealed that more than 40 % of service businesses shut down, more than any other industry, making the figure twice the rate of the economy-wide normal.
According to Patrick Coghlan, the CEO of CreditorWatch, rising wages have resulted in shrinking profitability for business owners.
” Asset-backed bars and clubs are holding strong, but cafes and restaurants are operating on razor-thin profits with little room for error,” he said.
When food service late invoices are more than twice the national average, it’s not cyclical noise; it’s sustained financial stress.
According to the record, a rise in food prices over 7 % in the previous year was also a contributing factor.
The third-highest regular complete ever recorded for December 2025 was 1366 insolvencies across all industries.
