Modest wage growth under bargaining deals

Growth in wage increases under enterprise bargaining agreements showed a modest increase in the September quarter, but there was a marked difference between private and public sector awards.

The Department of Employment said wages increase grew 0.2 per cent to an annualised 3.4 per cent in the quarter, with private sector deals rising to 3.5 per cent from 3.4 per cent in the previous three months, while public agreements dropped to three per cent from 3.8 per cent.

More generally, wage growth as measured by the wage price index - the Reserve Bank's preferred measure - rose 0.6 per cent in the September quarter for an annual rate of 2.3 per cent.