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”.
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.
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