Cost of Living

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Our new Labor government has formally submitted to the FWC a minimum pay rise of at least 5.1%.

Labor claims that this will signal an end to the orchestrated plan to suppress wages by the previous Abbott/Turnbull/Morrison governments.

I suspect this has also sent a subliminal message to all those LNP plants/stooges (like Sophie Mirabella) on the Fair Work Commission that their positions are now very much under the microscope.

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[Kwality]

'Will the Albanese government’s support for a 5.1 per cent minimum wage rise come to be the signature policy exercise that combines with and unleashes forces which end up destroying it?
Like has happened with every other Labor government in the 77 years since the Second World War?'

https://www.theaustralian.com.au/business/economics/has-albanese-governments-support-for-a-51pc-pay-rise-lit-the-fuse-to-its-demise/news-story/2c564838f2bcf2590207e7dc1533f00b

'In the 1970s, it was the Whitlam Government’s shock – dashing and daring – 25 per cent across the board tariff cut.

It was bold. It was innovative. As a young commentator, I supported it.

But it turned into both an economic and political disaster – especially when joined with, so ominously, portentously, resonant of today’s 5.1 per cent – another Whitlam agenda.'

So says Terry McCrann.


'Then in the 1980s came the 18 per cent Reserve Bank interest rate which sent home loans rates to 17 per cent. Try putting that in your loan repayments calculator.

The savage rate increases weren’t only supported by then treasurer Paul Keating; he actually urged the RBA on – and sent the economy plunging into a real recession, which dwarfed anything we’ve seen over the past two years.'


No one denies the lack of wage growth has been a problem for the economy throughout the Morrison era - its up to Albo now, lets hope its the right lever.