MNI BRIEF: Aussie Wages Growth Lower At 4.1% Y/Y
Australia’s Wage Price Index rose 0.8% in the March quarter, 10 basis points lower than expected, and 4.1% y/y, according to seasonally adjusted data released Wednesday by the Australian Bureau of Statistics (ABS).
The Reserve Bank of Australia had expected the WPI to reach 4.2% y/y by the June quarter.
Annual wage growth in the private sector was 4.1%, which followed a 4.2% outcome in the December 2023 quarter and higher than the 3.8% growth recorded this time last year, the ABS said, noting this is the first time that private sector annual wage growth has fallen since September quarter 2020.
MNI reported this week any further shocks to employment or wage growth could prompt the RBA to raise rates further. (See MNI INTERVIEW: Chance RBA Hikes Again - Ex Senior Official)