The figures from the Australian Bureau of Statistics (ABS) were better than expected, with economists penciling in a 0.4% quarterly rise. 

Despite the rise, the public sector recorded its lowest annual rate of growth (1.5%) since the commencement of the ABS series.

Wage increase deferrals and smaller increases were the main factors behind the dismal growth. 

Annual wage growth in the private sector was marginally lower at 1.4% for the second consecutive quarter. 

Need somewhere to store cash and earn interest? The table below features savings accounts with some of the highest interest rates on the market.

Provider

4000$product[$field["value"]]$product[$field["value"]]$product[$field["value"]]More details
  • A high-interest online savings account with no monthly fees, easy withdrawals and award-winning digital banking
  • No withdrawal notice periods or interest rate penalties
  • Save up to 10% on eGift cards at over 50 retailers with Macquarie Marketplace
Disclosure

Savings Account

  • A high-interest online savings account with no monthly fees, easy withdrawals and award-winning digital banking
  • No withdrawal notice periods or interest rate penalties
  • Save up to 10% on eGift cards at over 50 retailers with Macquarie Marketplace
Disclosure
400$product[$field["value"]]$product[$field["value"]]$product[$field["value"]]More details
  • Special offer: Savings Accelerator (Kick Starter offer).
  • For a limited time, new ING customers can get a bonus 0.70% p.a. on their savings rate on balances of $150,000 up to $500,000 for the first 4 months. T&Cs apply.
  • If your balance is over $500,000 (but less than $5 million) you will earn the ongoing variable rate of 4.7%
Disclosure

Savings Accelerator

  • Special offer: Savings Accelerator (Kick Starter offer).
  • For a limited time, new ING customers can get a bonus 0.70% p.a. on their savings rate on balances of $150,000 up to $500,000 for the first 4 months. T&Cs apply.
  • If your balance is over $500,000 (but less than $5 million) you will earn the ongoing variable rate of 4.7%
Disclosure
010000$product[$field["value"]]$product[$field["value"]]$product[$field["value"]]More details
  • Earn up to 5.20% pa by depositing $1,000 in the previous month
  • No account fees
  • Easy access to your money

AMP Saver Account

  • Earn up to 5.20% pa by depositing $1,000 in the previous month
  • No account fees
  • Easy access to your money
010000$product[$field["value"]]$product[$field["value"]]$product[$field["value"]]More details
  • Deposit at least $1,000+ each month from an external source
  • Make 5 or more eligible transactions
  • Grow your savings balance each month
Disclosure

Savings Maximiser

  • Deposit at least $1,000+ each month from an external source
  • Make 5 or more eligible transactions
  • Grow your savings balance each month
Disclosure
Important Information and Comparison Rate Warning

All products with a link to a product provider’s website have a commercial marketing relationship between us and these providers. These products may appear prominently and first within the search tables regardless of their attributes and may include products marked as promoted, featured or sponsored. The link to a product provider’s website will allow you to get more information or apply for the product. By de-selecting “Show online partners only” additional non-commercialised products may be displayed and re-sorted at the top of the table. For more information on how we’ve selected these “Sponsored”, “Featured” and “Promoted” products, the products we compare, how we make money, and other important information about our service, please click here. Rates correct as of November 14, 2024. View disclaimer.

Important Information and Comparison Rate Warning

Head of Prices Statistics at the ABS Michelle Marquardt said after two quarters of minimal growth, wages rose 0.6% for the second successive quarter. 

"This quarter saw a return to regular patterns of wage growth for the time of the year, supplemented to some extent by pay rises for the final group of award workers scheduled in the Fair Work Commission’s annual wage review (2019-2020),” Ms Marquardt said. 

She noted the March quarter's moderate growth was driven mainly by regularly scheduled increases to wages. 

"Improved business conditions saw employers revisit wage reviews postponed during the height of the pandemic.

"The phased approach to the delivery of award increases saw jobs in the accommodation and food services, retail trade, arts and recreation, aviation and tourism industries receive rises previously recorded in September quarters." 

Annual wage growth by sector, seasonally adjusted, 1997 - 2021

Wpimar1.JPG

Source: ABS

Tasmania recorded the highest quarterly rise (0.8%) and annual rise (2.0%), while the Australian Capital Territory recorded the lowest annual growth (1.3%). 

Acorss the sectors, the rental, hiring and real estate services industry saw the worst quarterly growth of 0.4%, while the education and training industry performed best (2.2%). 

Westpac economist, Justin Smirk, said strong wage growth was driven by the public sector, which was unlikely to perform until the private sector did. 

"Public sector wages, which provided significant support to the headline WPI during the crisis, increased a more modest 0.4%qtr," Mr Smirk said.

"Slower growth versus private wages can largely be attributed to wage freezes across the sector in 2020.

"Looking ahead, measures linking public wages to the private sector means any recovery in public sector wage inflation will depend on the sustainability of the recovery in private sector wages."

Photo by Nuno Silva on Unsplash