Australian wage growth hits 20 year low

Growth in wages for Australian employees in the private sector have firmed at the sub 2% level for the first time in two decades.

Latest figures from the Australian Bureau of Statistics show private sector wages growth at just 1.9% for the 12 months to June 2016, after a rise of just 0.4% in the last quarter. The sub 2% rate of wages growth compares with a rate of 2.5% two years ago.

For those private sector employers with staff working under enterprise agreements, the comparable rate of wages growth remains just below 3%. Wages growth in the public sector remain over 2%, decreasing from 2.5% to 2.

3% over the last 12 months.