Learn to Trade

Pandemic Impacts Wage Growth in Australia

By No Comments

As the coronavirus-induced recession retains, the wage growth in Australia is also being affected as it begins to stagnate. 

The latest growth figures that is revealed by the damage caused by the coronavirus pandemic is starting to stagnate the wages of Australians even in the coming of peak seasons.  

The Australian Bureau of Statistics showed its latest figures during the September quarter with wages that grew only 0.1 percent, which is traditionally when wages should be increasing. 

In June, wage growth already started slowing down to 0.2 percent due to the pandemic lockdown measures. 

Wages compared with the 2019 September quarter have grown 1.4 percent. 

ABS head of price statistics Andrew Tomadini says that growth rates in wages are subdued due to the ongoing lockdowns and economic uncertainty. 

“Organizations continued to adjust to the economic uncertainty, recording fewer end of financial year wage reviews and delaying enterprise bargaining agreement increases,” Mr. Tomadini said. 

“This led to a significantly reduced number of jobs recording wage rises when compared to previous September quarters.” 

Private sectors wages grew 0.1 percent compared with June quarter, while public sector wages increased 0.2 percent over the period. 

Wages in administrative jobs have taken large falls, while healthcare and transport industries experienced considerable increases. 

Mr. Tomadini said the quarter covered the extended lockdown period in Victoria that impacted the state’s growth rate. 

For the past 12 months to September, Victoria had the lowest rise in wages, while the largest recorded growth in wages is in the west of the border South Australia. 

Mr. Tomadini also noted “the staggered implementation schedule of the Fair Work Commission annual wage review moved some regular September quarter wage rises to later quarters”. 

Technical Outlook  

  

In the daily charts of AUD/USD, the pair edged lower early Wednesday morning in Sydney Session. 

As what we can see in the charts, the Aussie dollar incurred losses against the dollar after its gains since last week. However, the pair is still supported at the support level at 0.72431. The price my re-test this level until the end of the week.  

If the price will break down from the support level at 0.72431, we may see the price heading lower and may re-test the next support level at 0.70098. However, if the price will continue to rise up from the support level at 0.72431, we may see price test the resistance level at 0.74023 or possible break out and make new highs before the end of the year. 

Don’t forget to follow and subscribe for more updates about market trends, analysis, forex news, strategies and more!  

Do you want to learn more about forex trading? Sign up now on our FREE forex webinar and reserve your FREE seats while it still lasts!  

 

General Advice Warning  

Learn to Trade Pty Ltd (ACN:138178542, AFSL:339557) provides general information and educational courses and materials only. This is not an offer to buy/sell financial products. We do not provide personal advice nor do we consider the needs, objectives or circumstances of any individual.  Financial products are complex and all entail risk of loss. Over-the-counter derivative and foreign exchange products are considered speculative because they are highly leveraged and carry risk of loss beyond your initial investment, hence should only be traded with capital you can afford to lose. Please ensure you obtain professional advice to ensure trading or investing in any financial products is suitable for your circumstances, and ensure you obtain, read and understand any applicable offer document 

 

The information contained herein (“Content”) has been prepared and issued by Learn to Trade Pty Ltd (LTT), and all intellectual property relating to the Content vests with LTT unless otherwise noted. The Content is provided on an as is basis, without warranty (express or implied). Whilst the Content has been prepared with all reasonable care from sources we believe to be reliable, no responsibility or liability shall be accepted by LTT for any errors or omissions or misstatements howsoever caused. No guarantees or warranties regarding accuracy, completeness or fitness for purpose are provided by LTT, and under no circumstances will any of LTT, its officers, representatives, associates or agents be liable for any loss or damage, whether direct, incidental or consequential, caused by reliance on or use of the Content. 

You may also like to read:

Please Leave a Comment

Your email address will not be published. Required fields are marked *