A decision by the Remuneration Tribunal to give public office holders a 4.3% pay rise from 1 July 2008 sets the benchmark for what low paid working Australians should at least expect from the forthcoming Fair Pay Commission minimum wage case decision says the ACTU.
The latest decision of the Remuneration Tribunal will add more than $5,000 a year to the pay packet of Professor Ian Harper, the part-time head of the Fair Pay Commission, lifting it to $124,990 a year.
The Tribunal sets the pay for federal politicians and holders of public offices including the Fair Pay Commission, the body set up under the former Howard Govt’s Work Choices IR laws to lower minimum wages.
Over the past two years the head of the Fair Pay Commission has enjoyed a pay rise of 53% while ACTU research shows that the pay of more than a million workers on awards has gone backwards under Work Choices by up to $2,000 a year in real terms.
Commenting on reports of the pay rise, Jeff Lawrence, ACTU Secretary, said today:
“It would be a very bad deal and totally hypocritical if low paid workers don’t get at least a 4.3% increase in minimum wages this year.
“These are people working hard in cafes, shops, restaurants, bars, in property services as well as in health and community services who help keep our economy going.
“For the average skilled worker that is reliant on minimum wages an increase of 4.3% would amount to around $26.50 a week – this is actually higher than the ACTU pay claim of $26 a week.
“More and more families are having their income eaten away in petrol, groceries and housing costs.
“Families are really feeling the pinch and low paid workers are desperate for a decent pay rise.
“Workers are struggling to pay the bills and put petrol in the tank to get to work. They need a $26 a week pay rise.”Unions are seeking a $26 a week pay rise for the low paid this year. This would raise the current Federal Minimum Wage from $522.12 to $548.12 a week (up to $14.42 an hour).
The Rudd Government’s recent post-budget submission to the Fair Pay Commission also supports an ‘appropriate’ pay rise. A Fair Pay Commission’s decision on the minimum wage claim is expected in early July.
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