Varun Ghosh (WA, Australian Labor Party) Share this | Link to this | Hansard source

My question is to the Minister for Finance and Minister for Women, Senator Gallagher. Labor wants Australians to earn more and keep more of what they earn. As part of our focus on cost-of-living support for all Australians, the Albanese Labor government has prioritised wages growth at every opportunity. Minister, how is the government getting wages moving in the right direction, and why can the Australian people always count on Labor to prioritise pay rises?

Katy Gallagher (ACT, Australian Labor Party, Minister for the Public Service) Share this | Link to this | Hansard source

I thank Senator Ghosh for that question and for focusing on wages of Australian workers and the plans that the Albanese government have been putting in place to make sure we get wages moving again after a decade of wage stagnation and a decade of economic policy that sought to keep wages growth low. Creating good, secure, permanent jobs is fundamental to our government's economic plan, and it's central to householders being able to deal with many of the cost-of-living pressures they're currently experiencing.

Under the Labor government, workers are earning more, with four consecutive quarters of annual real wages growth, and keeping more of what they earn, with our tax cuts for every single taxpayer. Over the past two years, the government has argued for an increase to the minimum wage three times. At every opportunity we've had, we have argued for a wage increase through the minimum wage increase process. We've supported and funded increases for aged-care workers and early childhood educators, and we've seen average wage growth almost double compared to the wages growth that was seen under the former Liberal government. Wages are growing; inflation is falling. Wages have grown in both the public and private sectors, and wages in the private sector have actually grown faster than public sector wages. A million jobs have been created, more jobs than had been created in any previous parliamentary term, and we've seen a record number of women working, including working full time, with more choices available to them. Since we came to government, the average full-time worker is now earning an extra $159 per week, and we have the smallest gender pay gap on record. But we know that there is more to do.

Sue Lines (President) Share this | Link to this | Hansard source

Senator Ghosh, first supplementary?

Varun Ghosh (WA, Australian Labor Party) Share this | Link to this | Hansard source

I'm aware, Senator Gallagher, that as Minister for Women you've made women's economic equality a core imperative of the government. Today the Workplace Gender Equality Agency announced that we have again broken the pay gap record, narrowing the gap to 21.1 per cent down from 21.7 per cent last year. How have the Albanese government's policies contributed to this important achievement in addressing women's economic inequality, and what does it mean for Australian women?

Katy Gallagher (ACT, Australian Labor Party, Minister for the Public Service) Share this | Link to this | Hansard source

I thank Senator Ghosh for that question and for focusing on the narrowing gender pay gap. It is a really important report today. Australia's gender equality scorecard reports that the latest gender pay gap data shows that the gender pay gap in total remuneration has narrowed to 21.1 per cent, down from 21.7 per cent. The report from WGEA itself says:

The main driver of the decrease in the gender pay gap in 2023-24 was the increase of wages for lower paid workers; in particular, Aged Care Residential Services, where women make up—

the vast majority of employees. Isn't that amazing? Where you have large groups of working women in low-paid industries, if you try to address their pay levels and raise them to appropriate standards, you see a closing of the gender pay gap—amazing! It never happened under those opposite, who never prioritised women's wages and never prioritised feminised industries. (Time expired)

Sue Lines (President) Share this | Link to this | Hansard source

Senator Ghosh, second supplementary?

Varun Ghosh (WA, Australian Labor Party) Share this | Link to this | Hansard source

Wage growth is back as a priority of the Australian government after a decade of wage suppression by the Liberals and Nationals. Minister, how can Australians give themselves the best chance to achieve future pay rises?

Katy Gallagher (ACT, Australian Labor Party, Minister for the Public Service) Share this | Link to this | Hansard source

I thank Senator Ghosh for that question. They've simply got to look at the record of achievement on a gender pay gap that was stagnating, wages that were stagnating—negative wages growth. Over here we have, in the space of two years, women's average weekly earnings have increased by $173.80 a week since May '22. That is almost $200 a week because of the policy of arguing for wage increases for low-paid workers. I know you hate it. I know you hate it, but facts speak for themselves. In those feminised industries, where you have a government that prioritises workers and their wages, not only will those workers get the right wages and a better deal, you will also see systemic change in the gender pay gap. It's something that those opposite never prioritised and something that we have as a central feature of our economic plan.