Matt Burnell (Spence, Australian Labor Party) Share this | Link to this | Hansard source

I move:

That this House:

(1) notes the Fair Work Commission's annual wage review was handed down on 3 June 2024;

(2) acknowledges the decision means:

(a) 2.6 million low paid workers on awards or the minimum wage will receive a pay rise of 3.75 per cent from 1 July 2024;

(b) fulltime workers on the minimum wage will receive an extra $33.10 per week, or $1,721 per year; and

(c) that since the election of the Government, the minimum wage has increased by $143.30 per week and by $7,451.60 per year;

(3) further acknowledges the Government has delivered on its commitment for Australians to earn more and keep more of what they earn while also delivering cost of living relief without adding to inflation with measures such as:

(a) a tax cut for every Australian taxpayer;

(b) cheaper medicines;

(c) energy bill relief;

(d) cheaper childcare;

(e) strengthening Medicare; and

(f) increased support payments; and

(4) further notes that leaked plans from the Opposition reveal they want Australians to work longer for less by:

(a) making it easier to sack people by removing criteria including 'procedural fairness' and 'harshness' from unfair dismissal protections;

(b) abolishing the better off overall test;

(c) forcing workers to sign away their rights as a condition of employment in 'take it or leave it' contracts; and

(d) removing award protections for thousands of workers.

The secret is out. The Albanese Labor government wants two key things for Australians: we want Australians to earn more and keep more of what they earn. Today, we are just one week away from turning the page on a new financial year. In seven days it will be 1 July, the day that millions of Australians will have thousands of reasons to look forward to. On 1 July, 13.6 million Australians—74,000 of them in Spence—will get a tax cut from that day onward. Each of those 74,000 taxpayers in my electorate are looking at a tax cut, on average, of $1,200.

More importantly, 91 per cent of them will get more back because they elected a Labor government. They elected a government that would introduce policies to bring down cost-of-living pressures, like indexing student HELP debt more fairly and backdating it. They've put $3.5 billion towards giving 10 million households and one million small businesses, $300 or $325 off their power bills. And there are policies such as 60-day prescriptions, something that has saved people in my electorate of Spence over $2 million through cheaper medicines at the counter—that has happened in picking up their scripts from the chemist since this policy was enacted. These things are only the tip of the iceberg of what this government is doing to help everyday Australians. We're keeping cost-of-living pressures lower and doing it in a measured way, ensuring that we also keep inflation under control.

But this is just one side of the coin. Earlier this month, on 3 June, the Fair Work Commission handed down its decision as part of this year's annual wage review. This was a decision that was a significant win for Australian workers, particularly the 2.6 million workers on an award, including those who are on the minimum wage. From 1 July, those 2.6 million workers will see their wages go up by 3.75 per cent. This means that someone earning the minimum wage on full-time hours will receive an extra $33.10 per week and an extra $1,721 this year. Since the election of our government we have seen three annual wage review decisions handed down—decisions that have resulted in the wages of some of Australia's lowest-paid workers going up to the tune of $143.30 a week or nearly $7,500 a year.

These numbers aren't a statistic; they mean more food on the table for families who are working hard, both on the job and in supporting their families—for the millions of Australians who are just trying to get ahead in life. These are the Australians that the Albanese Labor government will always go into bat for. In all three of the annual wage reviews made under our government, all three submissions presented to the Fair Work Commission have done exactly that. These submissions led to a 5.2 per cent pay rise in 2022, an 8.6 per cent rise in 2023 and now a 3.75 per cent rise this year. These increases have contributed to wages growth rising to the highest level in 15 years. And this year's decision received a relatively moderate to muted response from many business groups, with many noting that at least it wasn't the five per cent that was being asked by the ACTU—although I should note that each of the major national business groups which made a submission wanted to see real wages decrease for workers on awards and the minimum wage, with only the Australian Retailers Association proposing an increase with a three in front of it at 3.1 per cent. Contrast that with the five per cent that the SDA, which represents their sectors' workers, had been seeking.

That stark contrast can be seen within this place too, with those on one side of this chamber doing its utmost to stop wages going up and to stop many low-income working families from getting ahead but those on the other side of the chamber instead fighting for those workers, and doing so from the very get go. It's that side of the chamber that I am so proud to be moving this motion from—this Labor government that is on the side of working families, families that remember those opposite fighting tooth and nail against our government's changes to close loopholes in our workplace laws that were seeing many workers worse off, with everyone from the Leader of the Opposition to the member for Hume decrying many of those changes because they would push up wages.

From the member for Hume we now go to Senator Hume, who on 3 June, in response to the annual wage review decision, said that providing real wage growth for Australia's lowest paid workers would be the worst thing for Australia. I can think of worse things for Australia than that. After hearing that, one of the worst things for Australia that immediately comes to mind would be another Liberal-National government, one that will keep Australians working more and earning less.

Mike Freelander (Macarthur, Australian Labor Party) Share this | Link to this | Hansard source

Is the motion seconded?

Alison Byrnes (Cunningham, Australian Labor Party) Share this | Link to this | Hansard source

I second the motion and reserve my right to speak.

Michael McCormack (Riverina, National Party, Shadow Minister for International Development and the Pacific) Share this | Link to this | Hansard source

The member for Spence comes in here and takes credit, on behalf of the Labor government, for the Australian Fair Work Commission's recent wage rise of 3¾ per cent. It's like coming in here and taking credit for the sun coming up. I'll give the member for Spence a little heads up. The sun coming up was coalition policy too, and you can't take credit for these sorts of things when the Fair Work Commission is supposedly, or should be, at arm's length of government.

He talks about that side being there for and on behalf of the workers. I think we're all in favour of workers, but we're also, on this side, in favour of businesses, and businesses are doing it so tough. But let's just consider the workers for a minute. Let's consider the fact that real wages have gone down under the Albanese government. Let's consider that the cost of health is up nine per cent, the cost of food is up 10 per cent, the cost of housing has risen by 12 per cent and the cost of transport is up 13 per cent. There's the cost of power. The cost of electricity is up 18 per cent, and the cost of gas, if you can get it, is up 25 per cent, and we've got Victoria wanting to shut down gas completely. The cost of insurance is up 26 per cent. Right across the board, workers—those people that Labor purports to represent, to stand up for—are paying more. Every time they go to the petrol bowser, every time they go to the supermarket check-out and every time they flick the power switch, they are paying more. They are paying through the nose.

And then we've got a Labor government that says nothing and does very little when the unions move in and take over, just like they did the other day, with John Setka saying that they were going to stop work on all projects that the Australian Football League is trying to put forward, because they don't like somebody who once worked for the former Australian Building and Construction Commission. We've got, dare I say, construction companies in collapse mode. Those small businesses who build houses and who build infrastructure are doing it so tough at the moment, so very tough, and I don't see too many Labor members getting up and supporting them. I don't see too many Labor members getting up and calling out the CFMEU or other union bosses who are making it so tough for our construction industry and so tough for those small businesses which are trying to put a roof over people's heads.

Then we've got the cash splash, with $40 million being spent on advertising the government's stage 3 tax cuts. That's $40 million which could have been far better spent on health services—or on anything—but our televisions are being bombarded with advertising which is just so unnecessary. Okay, the tax cuts are there, and people will appreciate it when they get rebates and when they get tax cuts. I appreciate it's something that they did not previously have, but you don't need to keep ramming it down their throats on social media and television—just like the people in regional Australia don't need to keep being told that the Murray-Darling Basin is kaput. They don't need to keep being told that Labor is restoring our river system. I appreciate that we have a different view on that from those opposite. But when our farmers, when our irrigators and when our small-business people in the Murray-Darling Basin are continually being told that the river system is being restored when they know that water is being bought out and that it's actually going to destroy their river towns, their river economies, they know that it is a bridge too far. The amount of money being spent on advertising these tax cuts, quite frankly, is just gross and so unnecessary.

Businesses are under pressure. And because businesses are under pressure, the first thing they don't do is they don't employ people. They're the workers that this other side, the government, are supposedly representing. We have got a cost-of-living crisis in this nation that is hurting so many people when they go to do their family household budgets. We have a cost-of-living crisis brought about by those opposite and their policies, and, instead of doing something about it, they're just talking about the things that are so unnecessary. They spent $500 million on a divisive referendum; they're not doing much about the economy or our small businesses or our workers.

Alison Byrnes (Cunningham, Australian Labor Party) Share this | Link to this | Hansard source

Australians are doing it tough right now, and the Albanese Labor government gets that. That is why, in seven days time, we will be giving every taxpayer a tax cut and every household $300 off their energy bills. We believe Australians should earn more and keep more of what they earn.

On this side of the chamber, we believe one of the best ways to deal with cost-of-living pressures is to ensure that workers earn enough to provide for their families. Real wages are growing under Labor. Unemployment is near record lows under Labor. The gender pay gap is down under Labor. And inflation is moderating under Labor. We are getting things done for Australian workers.

Retail, aged and disability care, health and social welfare, child care, hospitality, tourism and fitness: these are among the industries where we will find our lowest paid workers, with the majority being female and younger Australians. Our government has recommended to the Fair Work Commission to ensure that real wages of Australia's lowest paid workers do not go backwards. In the last three years we have seen changes that have helped contribute to wages growing at the highest level in 15 years. In 2022, our advocacy helped to secure a 5.2 per cent pay rise for workers on the minimum wage. In 2023, our support helped secure a record 8.6 per cent increase. And, again, on 3 June this year we helped secure a 3.75 per cent increase. Since coming to government, the wages of minimum wage earners have increased by $143.30 per week and $7,451.60 per year.

This year's Fair Work Commission's annual wage review decision is a win for Australian workers, a win for women and will help with the cost of living. The 3.75 per cent increase to modern award minimum wages will directly help around one in five Australians, or 2.6 million workers. People on low wages have the least capacity to deal with the rising cost of living. That's why the Albanese Labor government argued for a decent pay rise for these workers. We have had a greater increase in the minimum wage in two years than the coalition had in their entire decade in office. The former coalition government never once argued for a real wage increase for these workers. The Albanese Labor government has a strong record already, supporting some of our lowest paid but hardest-working cohort in aged care and early childhood education, and this budget threw further support behind additional award wage increases.

Tax cuts and the minimum wage increase are just the start. We're cutting student debt for more than three million Australians. We know that students are among the lowest paid workers in Australia and by wiping $3 billion in student debt and fixing the indexation we want to make sure that student debt never grows faster than someone's wages or ability to pay it off. We are also introducing a Commonwealth practical placement payment. This is aimed at supporting students who must complete mandatory work placements as a part of their studies. Balancing work and study commitments is difficult at the best of times and it can be extremely stressful if you're not getting paid for these placements. This new payment will benefit eligible students pursuing teaching, nursing, midwifery and social work—some of our most in demand workers. We are putting women and gender equality at the centre of Australia's economic plan, and this is making women's lives safer, fairer and more equal.

But that is not all. We have improved and extended paid parental leave, investing $1.2 billion over five years to make the scheme more accessible, flexible and gender equitable. In just seven days, paid parental leave will increase by two weeks, delivering real cost-of-living support for families. We are also providing additional support for women's economic security by introducing superannuation on government funded paid parental leave for parents of babies born or adopted on or after 1 July next year. This measure will help to reduce the impact of parental leave on retirement incomes, with women currently retiring with 25 per cent less superannuation than men. We're delivering further cost-of-living relief in the form of cheaper medicines and a strengthened Medicare system. We are increasing access to Medicare bulk-billed MRI machines across the country in droves and opening an additional 29 Medicare urgent care centres. We know that there's more to do. We are laser focused on supporting Australians with the cost of living.

Aaron Violi (Casey, Liberal Party) Share this | Link to this | Hansard source

It is nice to rise on this motion. In many ways, this motion sums up the hypocrisy and the political spin of those opposite. The member for Spence—good person; Collingwood supporter—has good judgement. It's clear that a minister has put him up to this motion, so this is isn't about him; it's about the motion. The reason it shows the hypocrisy of the Labor government is that they're very happy to claim credit for the independent Fair Work Commission's decision but, when asked about the independent RBA and the 12 interest rate rises under this government, the Prime Minister, the Treasurer and those opposite run a mile. So make a decision. If you're going to claim credit for the independent Fair Work Commission, at least have the courage to own the decisions of the independent Reserve Bank of Australia, which has raised interest rates 12 times under this government. You can't have it both ways, and the Australian people see that hypocrisy.

That's what this government does. It's spin and politics. We saw last week that Treasury put out a report about money that the Australian people are supposedly going to get next week. The government is spending taxpayer resources on political spin. What they should be doing is coming up with solutions to drive economic growth, to drive productivity growth—solutions like the Consumer Data Right. The Consumer Data Right is so important in a digital economy, in a digital world. The former coalition government introduced the CDR, but the Assistant Treasurer, himself, on 7 June 2023, said about CDR:

The promise of CDR is great. As a competition policy, it has the potential to drive a better deal for consumers across a range of good and services, and drive productivity growth across a number of industries.

If we make CDR work it can democratise consumer data and lower the barriers to entry and mobility for financial services and wealth creation, so that services that were inaccessible to many people can now be available in their pockets.

And he's right. On one thing he's right. But that was 7 June 2023. Since that time, there has been no action from the Assistant Treasurer on the Consumer Data Right.

Well, there was a little bit of action; there was a statutory review of the Consumer Data Right, and that found that the CDR—I quote—'was a game changer'. So we've had a review but no action. The legislation for the CDR was introduced in late 2022 by the Assistant Treasurer. Then it went to a Senate committee, and it received bipartisan support. Since March 2023, it has been a permanent fixture on the Notice Papers. Deloitte found that the Australian economy would be $16.7 billion larger by 2043 if the Consumer Data Right were to expand beyond banking and the energy sector and approximately 46,800 additional jobs could be expected from the combined effect of greater competition and innovation from cross-sector data sharing.

So the Assistant Treasurer knows it's good. The independent data from Deloitte shows it's good. But for over 18 months this government has done nothing to bring this policy forward. It's done nothing to drive economic growth and productivity for the Australian people. They spin independent decisions, but they're not actually taking ownership.

We know that wage rises are crucial, particularly with the cost of living going up. I see those opposite cheer and talk about how, in the last three years, the minimum wage has gone up more than any other time. Well done! It's because inflation is going through the roof. The cost of living is out of control. It is the equivalent of burning down someone's house, taking them a casserole for dinner and saying: 'Sorry I burnt your house down. Here's a casserole. Please be thankful and grateful.' The reason the minimum wage has to go up so much is that inflation is continuing to grow and compound. It is homegrown, as the RBA governor said, and as the RBA analysis last week showed, the budget was expansionary, and an expansionary budget drives inflation. It puts pressure on all Australians and all household budgets, and all we get from those opposite is spin and politics and taking credit for an independent Fair Work Commission.

Carina Garland (Chisholm, Australian Labor Party) Share this | Link to this | Hansard source

I'm really pleased to hear that the previous speaker, the member for Casey, supports wage increases. It is a great shame though that those opposite didn't take that position when they were in government. I must say it's great to have the opportunity to contribute to this debate, and I thank the member for Spence for bringing this important issue to the attention of the House.

Since we came to government, minimum wage earners have had their wages increase by $7,451 following the Fair Work Commission's annual wage review decisions. This equates to a total increase of $143.30 every week. By increasing the minimum wage to $24.10 this year, Australia's lowest paid workers will earn an additional $1,721 per year, and that will make a great difference to some of the lowest paid workers in the country. The 3.75 per cent increase will directly and positively impact 2.6 million workers. We have consistently advocated for an increase to the minimum wage both before we were in government and since, unlike those opposite, who shamefully supported plans to suppress wages, and I think it's important that we don't forget that for one moment.

What we've seen here with the increase to the minimum wage is a real, definitive and absolute win for workers. Before the previous election, I remember standing with the now Prime Minister at a press conference when he was asked the question: did he support a wage increase for the lowest paid workers in the country? And he famously said, 'Absolutely.' He was criticised roundly by those opposite for making such a claim. I really do hope that they have had time in the last two-and-a-bit years to reflect on that shameful episode where they sought to see the lowest paid workers in this country, who helped get us through the very worst times in the pandemic, be set backwards. I really hope they have reflected on that dark chapter in their own history.

We know that this wage increase decision is a win for women, for workers and for families, and it will help with cost-of-living relief. The increase of $143 per week delivers on our commitment to Australians to earn more and keep more of what they earn. We want to see strong and sustainable wages growth across the country because we see this as part of the solution to the cost-of-living challenge and not part of the problem, unlike those opposite. We believe that one of the best ways to deal with cost-of-living pressures is to ensure that workers earn enough to provide for their loved ones and can get ahead to have that bit of extra money to spend in their local communities and keep local economies alive. We've gone into fight for Australian workers. We recommended to the Fair Work Commission that they ensure real wages increase for low-paid workers rather than go backwards. It was our advocacy in 2022 that helped secure a 5.2 per cent pay rise for workers on the minimum wage. Last year we backed that up by supporting a record 8.6 per cent increase, and saw earlier this month a 3.75 per cent increase.

Apart from these increases in wages, we've also delivered cost-of-living relief across a number of areas, including ensuring that there will be a tax cut for every Australian taxpayer in just a week's time. We've delivered cheaper medicines. We're delivering energy bill relief and cheaper child care. We're strengthening Medicare and we're increasing support payments. We do not think low wages should be part of any government strategy, in terms of our economic policy. We are proudly and unapologetically in favour of workers earning more and keeping more of what they earn. We've heard from members of the shadow frontbench already that if low-paid workers got real wages growth it would be the worst thing for Australia. That is a shameful comment to make, and I do hope that those opposite reflect on the harm that statements like that can do.

In the two years since we've come to government, we've seen increases to the minimum wage. We're relieving cost-of-living pressures on families. We want people to earn more and keep more of what they earn, and we will not apologise for that.

Andrew Wallace (Fisher, Liberal National Party) Share this | Link to this | Hansard source

I want to acknowledge the front of the member for Spence. The member for Spence is many things, but I would have thought, after what we saw in the news last week, with Mr Setka coming out lambasting and threatening to hold Australians and Australian governments to ransom, that, like most people with any modicum of self-acknowledgment, the member for Spence would have quietly shelved this motion and said to the Chief Government Whip, 'Can we make this motion go away for a couple of weeks?' But no. This guy's got more front than Myer in Queen Street in Brisbane.

I find it quite amazing to see and hear what the CFMEU secretary, John Setka, came out with last week. It's on industrial relations. He came out and threatened—and called upon governments—that the CFMEU would black-ban their sites if Steven McBurney wasn't sacked as the chief umpire from the AFL. Those opposite want to come in here and start talking about industrial relations reform, and the member for Spence puffs up his chest and talks about what a great job they've done. And then, in the meantime, John Setka comes out and absolutely gives every reason to every Australian—28 million Australians—why this government is absolutely stuffing up industrial relations. It's because this government is beholden to the unions—we all know that!—particularly the CFMEU. The CFMEU donated how much to the Labor Party's coffers last year? Four million dollars. But because John Setka comes out and says, 'Prime Minister, you need to stay out of this; you need to clear out of this—you just let me have my say,' what we saw from the Prime Minister was: 'Yes, Mr Setka. Four million dollars is a lot of money, Mr Setka. Whatever you say goes, Mr Setka.' The rank hypocrisy of those members opposite, coming in here and trying to pump up their chests about industrial relations whilst the CFMEU—openly, outwardly and proudly—wants to hold 28 million Australians to ransom, and while those opposite still take their $4 million in political donations, is unbelievable. It takes a lot of front for the member for Spence to come in here and keep this motion on the Notice Paper.

What makes it even more interesting is that those members opposite want to talk about the great job that they are doing on cost of living for Australians. Every single person in the gallery right now—and anybody that might be listening to this on the radio or watching it on television or online—ask yourself this question: do you feel better off today than you did in May 2022? I don't think you will feel better off. Why is that? It is because gas is up, electricity is up and mortgages are up.

The average Australian family with a $750,000 mortgage—believe it or not $750,000 is an average mortgage now—is paying $24,000 a year more, after tax, than they were paying when we were in government. That's an extra $2,000 a month. What family can afford that? This lot talk about the importance of cost-of-living relief. Every single Australian family is subject to inflationary pressures. That is what we're seeing, with the cost of living going up and up on everything, and this lot, this government, is trying to pump up its chest and say what a good job it's doing.

Tracey Roberts (Pearce, Australian Labor Party) Share this | Link to this | Hansard source

I rise to support the motion moved by the hardworking member for Spence in relation to the Fair Work Commission's annual wage review handed down during 2024. I'm incredibly disappointed to hear those opposite being so negative and personally attacking the member for Spence for his motion. I have been in this chamber on a number of occasions and been very respectful and understanding of people's views, and I was very disappointed to hear that comment about the member for Spence. It's just not acceptable.

To begin, the Fair Work Commission, Australia's independent workplace relations tribunal, conducts an annual review to determine whether there should be an adjustment to the minimum wage rate and modern award minimum wage. This year's decision is particularly noteworthy given the economic challenges and uncertainties that we have been facing, including the post-pandemic recovery, inflationary pressures and global economic fluctuations. The 2024 decision means that 2.6 million low-paid workers on awards or the minimum wage will receive a pay rise of 3.75 per cent from 1 July 2024. That's not difficult to understand. Full-time workers on the minimum wage will receive an extra $33.10 per week or $1,721 per year.

Since the election of the Albanese Labor government the minimum wage has increased by $143.30 per week, or approximately $7,450 per year, which will mean a lot to those families. This government has delivered on its commitment for our people to earn more and keep more of what they earn. We're also delivering cost-of-living relief without adding to inflation, with inflation having been almost halved since the Albanese Labor government came to office. This is incredibly important.

Our recent budget provided a tax cut for every Australian taxpayer and more help with energy bills, rent and the cost of medicines. All 13.6 million Australian taxpayers will get a tax cut. In Western Australia the combined state and federal energy bill relief for Pearce households is $700. Across Australia, energy relief of $325 is available for one million small businesses. We have increased Commonwealth rent assistance for nearly one million households. We have provided up to $3 billion to make medicines cheaper, freezing the maximum cost of PBS prescriptions for everyone—a decision that is proving to be incredibly popular in my electorate. We have waived almost $3 billion in student debt, helping more than three million, mostly younger, Australians. We want a fairer deal for consumers at the supermarket checkout, superannuation to be paid on paid parental leave, more funding for emergency, food relief and financial support services and provisioning for higher wages for aged-care and childcare workers. We have also extended the freeze on deeming rates for 876,000 income support recipients.

The commission's decision reflects the need to support equitable wage growth and recognises the importance of ensuring that all workers benefit from economic progress and that wage disparity does not widen any further. But it appears that those opposite still cling to outdated views on wages policy, something that was very apparent at the start of this motion with the negative comments that were made. My mum always used to say to me, 'The truth hurts,' and clearly that is the case with those opposite.

It is not surprising to learn about the plans that the opposition revealed, in which they want Australians to work longer for less, and that is totally unacceptable. The Albanese Labor government has a budget that is responsible and restrained, that eases cost-of-living pressures and that invests in a future made in Australia. It is a budget that will build more homes for Australians, reform our universities, strengthen Medicare and the care economy and broaden opportunities in our society. I firmly believe that the commission's decision and the actions taken by our government reflect the need to support equitable wage growth so that all workers benefit from economic progress and that wage disparity does not widen further. Those workers, during the pandemic, gave everything they had to support our country. They did so willingly and they did it well. They were effective. So they should not be underestimated in what they can achieve, and they deserve the support of our government.

I stated earlier that the Albanese Labor government is delivering on its commitment for Australians to earn more and keep more of what they earn, whilst easing cost-of-living pressures and investing in our future, right around the country. I would like to reiterate my support for the motion provided by the member for Spence.

Mike Freelander (Macarthur, Australian Labor Party) Share this | Link to this | Hansard source

The time allotted for this debate has expired. The debate is adjourned, and the resumption of the debate will be made an order of the day for the next sitting.