Australian Labor Government Pushes for Minimum Wage Increase Above Inflation

Unions want a 5 percent boost, while industry wants 3.5 percent, while the federal government wants the minimum wage to go up by more than inflation.

Australian dollar coins and banknotes in Melbourne, Australia on April 4, 2024. AAP Image/Joel Carrett

The federal Labor government is urging the Fair Work Commission (FWC) to raise the minimum wage at a rate higher than inflation, which is currently sitting at 3.7 percent.

The consumer price index (CPI) was 3.8 percent for 2025 and is expected to hit at least 4.2 percent by the middle of the year, depending on fuel prices.