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Enterprise bargain wages decrease in September quarter

Posted on : Tuesday, 16 January 2018

The latest Government data on wage movements in enterprise agreements (EAs) continue to show a downward trend with the average annualised wage increase (AAWI) in the September quarter 2017.

 
EAs approved by the Fair Work Commission (FWC) in the September quarter, show that the AAWI for all sectors decreased, with the public sector decreasing by 0.5% while the private sector decreased by 0.2%. The all sectors average showed a 0.4% decrease.

 

Average annualised wage increase

June quarter 2017 (%)

September quarter 2017 (%)

Change in AAWI % points

All sectors

2.6%

2.2%

- 0.4%

Private sector

2.6%

2.4%

- 0.2%

Public sector

2.5%

2.0%

- 0.5%

 

The calculated overall wages growth for the September quarter's increase of 2.2% was based on 527 EAs (which had quantifiable wage increases) covering 142,134 employees, out of a total of 680 EAs (covering 236,192 employees). A total of 153 EAs covering 94,058 had "across the board wage increases that could not be quantified because, for example, different rates given to different classifications, increases based on individual performance or business unit performance".

 
Wage trends for agreements approved by quarter

Quarter

Private sector

Public sector

All sectors

September 2015

3.0%

3.0%

3.0%

December 2015

2.9%

3.2%

3.0%

March 2016

2.9%

2.6%

2.7%

June 2016

2.9%

3.0%

3.0%

September 2016

3.4%

3.0%

3.3%

December 2016

3.0%

3.2%

3.1%

March 2017

2.7%

2.7%

2.4%

June 2017

2.6%

2.5%

2.6%

September 2017

2.4%

2.0%

2.2%

 

The building and construction industry had the highest increase (up 3.1%) followed by administrative and support services, etc, (up 3.0%) and accommodation and food services (up 2.9%).

 

Agreements approved by FWC

March 2015

June 2015

Sept 2015

Dec  2015

March 2016

June 2016

Sept 2016

Dec  2016

March 2017

June 2017

Sept 2017

Construction

4.3%

3.8%

3.7%

3.8%

3.9%

3.8%

5.9%

5.2%

4.2%

3.7%

3.1%

Private sector

 

3.0%

 

3.1%

 

3.0%

 

2.9%

 

2.9%

 

2.9%

 

3.4%

 

3.0%

 

2.7%

 

2.6%

 

2.4%

 

September 17 agreements by state/territory

Quarter/State

ACT

NSW

NT

QLD

SA

TAS

VIC

WA

ALL

June 2017

2.6%

2.5%

3.7%

2.6%

2.2%

2.7%

2.9%

2.0%

2.6%

Sept. 2017

2.5%

2.3%

2.5%

2.4%

2.3%

1.5%

3.1%

2.1%

2.2%

 

Note that 12 agreements approved by the FWC in the September quarter 2017 were linked to CPI compared to 19 EAs (revised) in the June 2017 quarter for single-enterprise non-greenfields agreements (26 -March 2017 and 22 - December 2016). EAs linked to the minimum wage saw 38 EAs compared to 51 in the June 2017 quarter, approved by the FWC (40 and 57, respectively in previous quarters).


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