Mr Ross said the FWC's 5.2 per cent lift, slightly above the inflation rate, would not have a "significantly adverse effect" on the economy."[Businesses] have to make decisions around passing these costs on, so in the end it ends up with consumers who will pay the bill," he said.
"The concern is this will add fuel to the inflation fire we're seeing running through the economy at the moment." He also said it had been small businesses in particular telling the Australian Industry Group that the decision would affect their hiring choices and bottom line.Australian Council of Trade Unions president Sally McManus said the number one issue she was hearing from employers was that they could not find enough staff.
"They have already had to put up their wages a lot in order to keep the staff they do have," Ms McManus said."Those who say they can't pay it, I don't think they're being straight with us." Ms McManus said that with inflation forecast to be 7 per cent by Christmas, yesterday's decision was still a wage cut in real terms, and so it would not further fuel inflation.
There wouldn't be a farm around here that's paying minimum wage. We've all had to offer well above to retain, and attract new staff. So I don't think a 5% increase will affect anything, other than a few persistent whingers
Um, is that a bad thing?
Does that mean Clive Palmer will now be earning $10,000,001/hr?
Good
'I'm warning you that if I pay my employees $1 more I'll be forced to increase my own salary by $10,000'
Payrise won't make things easier. employer raise prices- consumer pays more. So whats happening is just a constant loop.
Did anyone check with an actual economist for the article? Or just quoted some business leaders. mediareform
Correct. Wage parity will do the rest. Costs of goods and services go up as will GST revenue. Back to square one. Raise the minimum tax threshold, raise that for those earning $150k.
This issue is straightforward. Do you think the pay of the least paid people should keep up with inflation? Or do you think they should drop further behind? Yes or no?
defundabc
Strange how Business leaders don't bring this up with their large raises or bonuses.
Australians are struggling with the cost of living. Maybe go speak to them instead of business leaders. propoganda
Oh no. Business leaders on massive salaries getting obscene bonuses think that the lower paid workers getting a decent payrise will fuel inflation. By their own logic them taking a massive paycut would quell inflation. The ball is in your court millionaires.
what a surprise.
'warn' FFS - you mean guess!!
Operator business models that rely on low paid workers are bums ?
A: Any decent employer would have been paying their employees a livable wage and will not be as affected by the increase. B: the big business cheapskates will have to suck it up, they've had it pretty good for long enough, time to give the strugglers a go.
Just so long as it does not impact on company profits and dividends, and executive salaries,we can live with it. Ok? No! Fu...k off 'business leaders '
I’m happy to pay low paid workers, eg in coffee shops, my share of the cost increase, eg less than 50 cents per cup!
Trickle up economics sounds like pissing up a wall
That's like the best idea ever! Guess those leaders won't be complaining about their wage rise so why are they worried? Bloody hell, they are greedy, aren't they.
This is such a bullshit argument. Inflation will outstrip the increase in any event. Even if it didn’t where do they think this additional $1 an hour will go? It’ll go straight back into the economy.
But when executives give themselves massive bonuses 'it never trickles down to minimum wage packets'. Funny how that works.
May our business-leaders can🤬, and stop being greedy, selfish, wealth-hording 🤬?
Business leaders, who over the last decade have received record salary increases & bonuses (funnelled to tax havens) based on increased productivity warn 'It's all the low paid / minimum workers fault and that the extra $32 a week that they receive in the hand will ruin economy'
So what. Business profits have gone up 500% compared to workers 200% past 9 years. It's time for business to pay.
Are they the best people to ask, don''t think so
Wait, so my pay won’t drop due to inflation and stagnant wages this year? But I have been quietly going backwards in real terms for so long. auspol
Breaking: business whinges about wages
Business leaders warn everyone that their greed is limitless and if they could bring back slavery, they would!
business leaders upset bonuses and own profits will get effected which means that new yacht will have to be delayed
Because, God forbid, profits should be affected..
Alternative Headline: Business Leaders declare Class War! Anger that Bosses' Profits may need to trickle down to Workers
awesome
Shines a light on trickle-down doesn't it. Thing is, top end gets pay rises no-matter how the economy is going.
Maybe our business leaders could take a pay cut. Oh wait that would hurt their hip pocket, and we can't have that can we. They should try living on the pension 😡
When wage growth matches profit growth... we'll listen to business leaders. Until then...go get your wallet btch!
Accurate!
But of course, they would, wouldn't they!
The Politicians got a pay rise why isn't anything been said about them.
Business leaders can bite me
💥BREAKING💥 Another 'No Shit Sherlock' moment from our
Well they would, wouldn't they?
apparently the sky will fall if people not on the lowest put pretty mediocre wages (struggling to pay rent and eat) get a pay rise 🙄 Every time wages increased, life went on as usual
That’s is 100% correct
Real question should why did the Aust Res bank wait until after the fed election. Timeline seems 🐟. Long term ave 2.5 to 3 % So if your under the ave some the time expect it to be over as well. My 1st home rates over 10%
Business leaders complain because it might affect their outrageous bonuses which they are paid even when they perform very badly. All executive salaries are far too high and should be cut by 2/3. That money if then paid to the workers who generate the profits would benefit all.
lol. Politicians double digit wage rises while they implement sanctions that are causing global inflation and you write about a minimum wage increase. MSM in a nutshell.
As apposed to trickle down economics that doesn’t work
Isn’t that a good thing?!
flowupeffect yes please
the same BS economics that IPA, LNP and others talk about trickle down economics? I don't believe they understand economics only Marketing! LNPNeverAgain
Minimum wage earners spend their money in the Australian economy !!!! They even have to pay for items we DONT make !!
Time the billionaires, who have hauled in further billions during the pandemic, actually made a loss. It's called Capitalism.
'Business leaders' have got away with being venal and meanspirited long enough... They're about to find out that it's no longer accepted by society.
good
Well the trickle down effect doesn’t work
So billionaires will get a $1 per hour pay rise? Don’t think they’ll notice! Thanks ABC, we know what business wants - slavery, if they could get away with it!
And Labor got a majority vote, that means the majority of Australians are rather dim witted
Ooh, so scary.
So what they are really saying is trickle up economics works and trickle down is a lie!?
And that is a good thing ☺️
Pay packets are what consumers use to buy things from businesses. Hypocrites
Thanks but but we're going by what Sally Mcmanus is saying. And can the ABC stop being the mouthpiece for business leaders who were happy to receive $40b of JobKepper that was not needed!.
Better a flow-up than the non-existent trickle-down.
Except to age pensioners, who are already half way to financial oblivion. Our society clearly believes age pensioners have no worth or value but spends $millions on subsidising IVF treatment. Why do we spend public money to help satisfy a woman's maternal instinct?
What rubbish! Means more money is spent in the economy
Business leaders complaining that their massive profits will get less massive. Boohoo
Good.
Trickle up economics
More money for people to spend means more people can now partake in the economy, that increases demand, which increases competition for sourcing product, which means more growth in supply, supply increases, costs come down to remain competitive amongst more suppliers.. 🤷♂️
Oh, so it's not profiteering by business that does that?
It was a political move only serving the interests of unions! Fair Work Commission (FWC) president Iain Ross was previously an assistant secretary of the Australian Council of Trade Unions, serving under Bill Kelty. LOL
As far as i can see the flow up has been happening for years with no rise in real wages for years.wage rises are a necessity for the avarage person to combat inflation and its well overdue
We can only hope so. We need more equity in the system
Waiting for the cafe and gym owners to tell us how we should feel about a payrise in line with inflation...... can't be far away.
That's the hope 😄
Sure they will 'business leaders'.
It’s like lessons from the pandemic have not been heeded. Many of the lowest paid workers were at the frontline getting the country through, while those paid far more, worked from home. Now they’re quibbling about paying them a fair living wage 🙄.
Years b4 banks ever used “quantitative easing” it was described to me kinda like this 👆 - lowering welfare is politically impossible so instead hold welfare as is, and raise everything else, tada, we call it QE
Minimum wage is a joke my son gets $13 hour as a 1st year apprentice. He is 18 years old drives a car and has voted.
It will and then will rise again until business shares their profits from increased productivity with workers... thwt is the plan anyway
What is this 🐴💩 ABC?!! We have Fossil Fuel prices though the roof. Massive shocks to Supply Chains Monopolies and mechanisms that create higher prices. - WAGES are the absolute least of the Economic pressures we face. - Wilcox is a puppet of the Global Billionaires
lol. Good
Always hilarious seeing trying to frame working people who aren't owners or bosses getting a pay rise as a bad thing, especially when the rise doesn't even keep up with inflation.
The famous ‘trickle up’ economy
They're profits are up they can reduce some of them to join the pain, the greed of Australian business knows no end
And no mention of politicians about to get a pay rise? I appreciate balance is not a thing you do… 😔
The dreaded trickle-up effect. We're all doomed.
The so called business leaders should be named and shamed. I doubt any of these corporate big wigs is actually paying tax on percentage terms close to most of their mid level employees
Imagine being a small business at the moment, increased inventory costs, increased power costs and increased wages just as the economy starts to crash thanks to increased interest rates.
Albanese “Smash her”.
Business leaders also refuse to cut their margins, their pay or their bonuses.
😂 😂 😂 They like the idea of trickle down but not flow up If it wasn't so serious it would be funny
Gee, if only we had some type of an arbitrated system for wage and remunerations. Or maybe an agreement that link wages, social services and productivity. Just to build, some type of accord. Oh wait....🫤
They just can't stand the peasants/their workforce who make them rich, getting an extra dollar, it's psychotic greed.
Good. You're on record profits. Respect your workforce.
How come everyone but CEOs and shareholders have to take pay cuts or have stagnant income? auspol
'They have already had to put up their wages a lot in order to keep the staff they do have,' Ms McManus said. 'Those employers aren't even going to be affected by this. This just raises the floor. 'Those who say they can't pay it, I don't think they're being straight with us.'
It hardly matters when inflation is skyrocketing thanks to our hysterical response to Covid.
Trickle up economics sounds a lot more equitable than trickle down.
And everything will get more expensive and the inflationary spiral etc ... but won't the magic market provide opportunity for the lean mean enterprise that adequately rewards its employees to prosper by exploiting its competitive advantage?
This is bad, everybody knows that wage increases should and do trickle down from the top
Flow up sounds better than trickle down....
Were the same business leaders 'warning' that by keeping wages so low, for so long, their employees' pay was going backwards while they reaped record profits? No? I didn't think so.
Albo feeling the pain with us peasant's I see.
and so it should, businesses need to return some of the super profits to the workers. no worker needs to be sacked
they say that likes it’s a bad thing