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

Today I want to talk about the significant progress the Albanese Labor government has made in supporting low-paid workers and ensuring fair wages for all Australians. From the very beginning, this government has made a clear commitment to advocate on behalf of low-paid workers, and the results have been nothing short of outstanding. Over three consecutive Fair Work Commission annual wage reviews, we have seen a remarkable $5.30-per-hour increase in the earnings of full-time award workers. To put it into perspective, that's an extra $200 per week or $10,400 per year. This is a direct result of our government standing up for those who need it most. For full-time minimum wage workers, the increase has been even more substantial. We have overseen a $3.77 per hour boost to the minimum wage, translating to an extra $143 per week or $7,451 per year before tax. This means that, in just over two years, the annual salary for a full-time minimum wage worker has risen from just under $40,000 to just under $48,000.

This is what happens when you have a government that goes in to bat for low-paid workers. When you show up at the commission and advocate for people who are doing it tough, you get results, and we've achieved these wage increases while keeping unemployment at record lows and working to moderate inflation. We understand that people are under pressure, and pay rises are a tangible way that the government is helping. Just imagine how much harder things would be for families if the Liberals had their way and these pay rises never happened. It is worth noting that it took the coalition an entire decade in office to achieve the same increase in the minimum wage that we have delivered in just one term. Why? It's because the previous Liberal and National government never once argued for a rise in the minimum wage. They wanted to keep wages low, and unfortunately that's one of the few promises they actually delivered on. The Liberals want Australians to work longer for less. Labor, on the other hand, wants workers to earn more and keep more of what they earn.

The wage increases we've seen are a direct result of the advocacy from the Albanese Labor government, but our work doesn't stop there. Our industrial relations changes are also delivering incredible results, with nearly half a million more workers now covered by enterprise agreements and with award workers benefiting from $10,000 pay rises. Our secure jobs, better pay laws are fixing the bargaining system. Just look at the numbers. The Fair Work Commission approved 1,022 enterprise agreements in the first quarter of 2024 alone, covering nearly 365,000 employees—the highest number of employees covered by newly approved agreements in over a decade. Furthermore, the Albanese Labor government has just committed to funding a 15 per cent pay increase for childcare workers over the next two years, fulfilling a commitment to better address the wage inequity for workers in this crucial sector. This initiative has received widespread support from businesses, academics, unions and industry groups alike. For an average worker receiving the award rate, the boost will mean an extra $103 per week being paid by the end of the year, increasing to $155 a week by December 2025. This move is another example of the Albanese Labor government's dedication to ensuring that workers in essential yet historically underpaid sectors receive the recognition and compensation they deserve.

The Liberals voted against our secure jobs, better pay legislation, claiming that our laws would close down Australia, but they were sorely mistaken. Our laws have revitalised the bargaining system, meaning employers and employees are back at the table, negotiating agreements on both sides. As a result, employers are seeing better productivity, workers are getting better pay rises and industrial action has plummeted. In fact, the number of days lost to industrial action was seven times higher in the last quarter of the Morrison government than it is now. On the other hand, the coalition's economic policy was built on low wages. In their final submission to the Annual wage review, they even had a section titled, 'The importance of low-paid work'. They're upfront about wanting to keep wages low and [inaudible] that have now been made. But Labor is different. We are helping Australians with the cost of living. From July 1, we are delivering tax cuts for every Australian taxpayer, $300 in energy bill relief for households, a freeze on the cost of PBS medicines, more funding to build homes and much more. We have already delivered cheaper child care, fee-free TAFE and the biggest investment ever in the expanding of bulk-billing. All this is part of a longer-term economic plan to help Australians right now, bring down inflation and plan for a future made in Australia. We know there's more to do, and that is why we'll keep working hard every single day to deliver for every Australian.

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

Here we go again—just another Labor motion taking credit for the sun coming up. It's just nonsense—this whole motion and notion that somehow Labor is there for the low-paid worker. Ask someone like Bruce Billson.

Hon. Members:

Honourable members interjecting—

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

I hear the scoffing. Bruce Billson is a friend of the worker and small business. No-one should criticise the role he plays as the Australian Small Business and Family Enterprise Ombudsman. He quite correctly pointed out in a report called Energising enterprise, released on 8 August, 14 steps to improve small and family business, which, I might add, employs some 2.5 million people and generates nearly $600 billion of economic activity. We know that almost 98 per cent of businesses in Australia are small. Small business provides jobs for 5.36 million people, or 42 per cent of the private workforce. What ASBFEO does is ensure those small businesses can employ more people. At the end of the day, that's the name of the game.

Yet go out and ask those people who work for small businesses—not necessarily the people who run the small business but those who work for it—and are they any better off now than they were prior to May 2022? You'll get a resounding 'no'. Look at some of the figures those low-paid and other workers are confronting. Food has gone up by 11 per cent and housing by 15 per cent. That's if you get a house or find rent. Electricity has gone up by 22 per cent. We heard the Prime Minister on no fewer than 97 occasions prior to the election talking about a $275 cut to power bills. Where did that go? Yes, Labor say, 'Well, we're doing $300,' because they picked a figure that was just slightly over $275 and then introduced it two long years after they came into power. I can see those opposite smiling because they know it's the truth; they know what I'm saying is correct.

Honourable members interjecting—

Gas has gone up by 25 per cent and health by 11 per cent. That's important, because, if you actually get health right, you have the people far happier than they are now. Education has increased by 11 per cent and financial services and insurance by 11 per cent. That's if you can get it, because some insurers aren't that prepared to always pay for services in those flood zones. And Labor comes in with one of these motions saying, 'The sun is shining, all is fantastic, everybody is happy, and the birds are shrill in the trees.' But it's not right, because people have far less disposable income now than when the coalition was in government. We hear the Treasurer so often talk, and all the talking points just do my head in sometimes. They'll come in and go, 'Oh, the Liberal Party—a trillion dollars worth of debt!' It's not just the Liberal Party; it was actually a coalition helped by the Nationals. What we did—

An honourable member interjecting—

Just listen. This is important. What we did during COVID was save people's lives. That's why a lot of money was spent.

Yes, Member for Corangamite, it was. It was saving people's lives. But for that assistance, people would have lost their jobs. There would have been soup kitchen and unemployment queues longer than there were in the Great Depression. Homelessness, let alone the health outcomes for the nation, would have been terrible. We saved people's lives.

Nobody in this room was in those meetings that I attended when the Chief Medical Officer said, 'We will lose tens of thousands of people within weeks if something isn't done.' We did it. We should be acknowledged for that—instead of you coming in with these silly notions and silly motions talking about how good you are and puffing out your chests out and saying: 'Well, aren't we good? Low-paid workers are being looked after.' They're not being looked after! They have far less money than they had prior to May 2022. Shame on you all.

Libby Coker (Corangamite, Australian Labor Party) Share this | Link to this | Hansard source

Did you know, Deputy Speaker Archer, that 2.6 million low-paid workers have now received their third consecutive pay rise since the Albanese government came to office? This means an hourly average increase of $5.30 for all full-time award workers. That's an extra $200 a week or $10,400 a year, before tax. Significantly, we've seen a $3.77 per hour increase to the minimum wage. All in all, our government's decision to advocate on behalf of low-paid workers in three consecutive Fair Work Commission annual wage reviews has delivered astounding results. For a full-time minimum wage worker, that's an extra $143 a week or $7,451 a year, before tax. A full-time minimum wage worker's annual salary has gone from $40,175 to $47,627 in just over two years. This is part of our government's plan to ensure that people earn more and keep more of what they earn.

We've delivered these wage increases while keeping unemployment at record lows, and we're delivering much-needed cost-of-living support without impacting inflation. We know that people throughout our communities are under pressure, and pay rises are a tangible way that government is helping. Just imagine how catastrophic the cost of living would be if those opposite had blocked our tax cuts or these pay rises. It took the coalition an entire wasted decade in office to lift the minimum wage by as much as we have in our first term—in just our first two years of government. That's because the previous coalition government never argued for a rise to the minimum wage. They wanted to keep wages low. It's in their DNA. The fact of the matter is that the Leader of the Opposition wants Australians to work longer for less. In contrast, Labor wants workers to earn more and keep more of what they earn. The Fair Work Commission's decision to increase wages for low-paid workers and, in particular, for women working in feminised sectors, including aged care and early learning, was a direct result of advocacy by the Albanese Labor government.

Our approach to workforce relations is delivering incredible results, with nearly half a million more workers covered by enterprise agreements. Contrary to the coalition's scare campaign, the Albanese government's secure jobs, better pay laws are helping to fix the bargaining system. For example, the Fair Work Commission approved 1,022 enterprise agreements in the first quarter of 2024. Agreements approved in the March quarter of 2024 covered more than 364,000 employees, the highest number of employees covered by newly approved agreements in more than a decade. We had 2.14 million people covered by current enterprise agreements in the March quarter of 2024, around 480,000 more people than when we came to office, despite the coalition's fearmongering, saying our laws would close down Australia.

However, things are different. We are open for business. Workers have received a pay rise, taxpayers have received tax cuts, parents are receiving more paid parental leave, and jobs are more secure. That is what decent enterprise agreements deliver.

We know Australians are under pressure right now, and that's why Labor is focused on helping all Australians with the cost of living. We're delivering a freeze on the cost of PBS medicines for every Australian, more funding to build more homes in every part of the country and energy price relief for small businesses and every single household. We're supporting students with fee-free TAFE and HECS relief, and we've secured the biggest investment ever in expanding bulk-billing.

For small business, our government is delivering $641 million in targeted supports as part of this year's budget. This includes a further targeted 12 months of the $20,000 instant asset relief and $10 million to provide additional support for small business. This is part of our plan to provide more support for small-business owners as we continue to secure better wages for workers. In closing, I'm proud to be a member of the Albanese Labor government, a government that's committed to supporting workers with better wages, better conditions and a better future.

Brian Mitchell (Lyons, Australian Labor Party) Share this | Link to this | Hansard source

What a big surprise—only one member of the coalition has spoken on a motion before this House on low-paid workers. Nobody else has bothered to turn up to speak on this very important matter affecting millions of Australians. Shame on those opposite!

We in the Albanese Labor government know that Australians are doing it tough. The Albanese Labor government is working hard every single day to ensure that hardworking Australians, including students and pensioners, are all getting cost-of-living relief through this tough time. In the past few weeks we have seen global stock market volatility due to a drop in US job growth and tech earnings, and we've seen Japanese interest rates affecting Asian markets, which in turn has affected the Australian dollar. Some things are out of our hands; we are a small boat on global seas. But there are things we can control, and we are getting on with that job.

On 1 July, there were six reasons for hardworking Australians to celebrate. On 1 July, every Australian taxpayer received a tax cut, with almost 11 million Australians receiving a bigger tax cut than they would have under the Liberal's stage 3 plan. I'm pleased to say that something like 90 per cent of Tasmanian workers received a bigger tax cut than they would have under the Liberals. On 1 July, every household received $300 in energy bill relief.

On 1 July, there was an increase to superannuation from 11 per cent to 11.5 per cent, and that will increase to 12 per cent next year. These incremental increases, which come after a long period of nothing happening under the Liberal Party in government, will go a huge way towards helping workers retire with thousands more so that they can enjoy a dignified secure retirement, which is what superannuation was designed for.

On 1 July, the Labor government improved Paid Parental Leave. We've increased PPL to 26 weeks by July 2026. We've removed the dad and partner pay in favour of an expanded gender neutral and flexible scheme, and we've expanded eligibility to access the scheme. On 1 July, we expanded and strengthened our cheaper medicines policy, freezing PBS co-payments for five years for healthcare cardholders and pensioners, saving Australians millions of dollars.

On 1 July, 2.6 million Australian workers received a pay rise, including those on the minimum wage. That's 20 per cent—one in five—of the Australian workforce. Australians can now compare their pay slips from this financial year to one from June and they can see the difference that Labor's cost-of-living measures are making to the everyday cost of living. For the average Australian working family, it can mean a saving over the year of the cost of a monthly mortgage repayment. We're talking, sometimes, in the order of hundreds of dollars extra in people's pay packets, which means thousands of dollars over the year.

I'm pleased to say that our Labor government has granted aged-care workers a 15 per cent pay rise, and, just last week, we announced that early childhood educators will get a staged 15 per cent pay rise too. This retains and attracts new employees and gives carers and parents the ability to work more hours in these critical industries, which, for too long, have attracted such low rates of pay.

Becoming a family carer of the old or an educator of the young is, of course, a big part of life. Having the peace of mind that your loved ones, young and old, are cared for or educated while you earn a living alleviates the financial family burden that comes with it. There's a lot more work to do. We recognise that on this side of the House. We know the job is not done. There's a lot more work to do as we finally balance these cost-of-living measures with responsible economic management.

The Reserve Bank has forecast that headline inflation is expected to dip below three per cent in the next year due to the government's cost-of-living measures, so we are getting it right. Let's remember that when Labor came to government inflation had a six in front of it and low wages were an intended economic outcome. In 2019, a former Liberal minister was quoted as saying that under the Liberals low wages were 'a deliberate feature of our economic architecture'. Our government knows we've got work to do, and we're getting on with that job every single day.

Tania Lawrence (Hasluck, Australian Labor Party) Share this | Link to this | Hansard source

I think one thing that completely separates us from the coalition is our position on wage policy. There can be absolutely no other area in which the fact that the Labor government will always back workers is more stark. It's our priority; it always has been and always will be. We know that without ensuring workers have the right to fair pay and safe working conditions and the means to be able to organise to ensure they get their fair entitlements, this country will not be able to grow. It won't be productive, and we won't enjoy the success that we have to date. So I absolutely do thank the member for Lalor for this important motion.

We are completely proud of the fact that we have seen successive, consecutive wage rises for low-paid workers. This government has taken action across many portfolio areas to assist Australians during difficult times: energy bill relief, fee-free TAFE, tax cuts for all. I could go on, and I will: more bulk-billing in Hasluck and around the country—thanks to this government's policies—cheaper child care, cheaper medicines and rent assistance. These are making a difference to every person living in my electorate and across the country.

It is here, in wages policy, that, as I say, we unearth the true difference between the major parties and underscore the hypocrisy of each and every coalition member who stands in this place—or the other—and tries to speak coherently about the cost of living. Leaving aside the fact that the coalition would not have enacted energy bill relief, fee-free TAFE, tax cuts for all or more bulk-billing, it is this crucial area of wages policy, where the government has, from the very outset, supported the wage cases that have seen those three successive increases in the minimum wage, from which the coalition has been completely absent. Where were they for the nine years while wages flatlined and ordinary families were falling behind? Where they were and what they were doing, and failing to do, is well documented by the McKell Institute in a report from April 2022 by Edward Cavanough titled Stuck in Neutral: The Policy Architecture Driving Slow Wage Growth in Australia. Cavanough lists seven deliberate policy choices of the Morrison-Dutton government that he described as having constituted 'a coordinated program of wage suppression', these being: support for a reduction in penalty rates; overseeing a surge in work visas for low-paid temporary migrant workers; inaction on wage theft and underpayment; opposition to increases in minimum wages; public sector wage freezes; changes in the composition of the Fair Work Commission; and allowing a sharp expansion of the unregulated gig economy in which workers have little or no bargaining power.

It is salient indeed that the present government has taken and is taking action across every one of these policy areas. Average workers in Australia have nothing to thank the coalition for after nine years of policies deliberately designed to reduce wages growth. Average workers in Australia were simply worse off after the coalition years. They were in no fit state to face the pandemic when that hit, nor were they in a good position to face the cost-of-living crisis that has followed. If anyone wants to vote for the coalition in the election next year, they will need to find a reason other than their hip pocket, because the coalition let average Aussies down.

In contrast, real wages growth is back under Labor. People are now earning more under this government and, together with our tax cuts for all Australians, they are keeping more of what they earn. There are many reasons why people are earning more. Part of the story is wage growth itself. This is now recovering, after workers found their real purchasing power declining for years under the coalition. Other reasons for earning more include the government's childcare policies, allowing more people to work, and to work for longer hours, if they wish to; fee-free TAFE, allowing people to skill up without worrying about the cost; increases to parenting payments; and, of course, those tax cuts. We have managed this return to reasonable and sensible wages growth while bringing inflation down from the 6.1 per cent high left to us by the coalition. Indeed, our action across child care, rent and energy rebates has had an anti-inflationary effect at a time when this was dearly needed.

The coalition's reflex seems to be to squeeze ordinary people at every turn. Then they show up here and try to pretend that they are concerned about the cost of living. They simply cannot have it both ways. There's an election coming in less than a year. When it does, I hope and trust that the electors of Hasluck and those elsewhere recognise the true and demonstrated support of the Albanese Labor government for working people and that they hold firm against the empty slogans that the coalition has to offer.

Bridget Archer (Bass, Liberal Party) Share this | Link to this | Hansard source

There being no further speakers, the debate is adjourned and the resumption of the debate will be made an order of the day for the next sitting.