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A "technical perfect storm" has decoupled wage growth from hiring demand, and if left unaddressed it will potentially have dire consequences for employers, an academic says.
Australia's downward trend of wage growth isn't abating and hasn't changed this year, says Edith Cowan University School of Business Law associate professor of management, Ben Farr-Wharton.
He says many factors are driving the trend, and the first is that "the public sector has been really reluctant to go much beyond inflation, in terms of the pay rises they are giving post-COVID".
Even with current industrial action making it likely that the public sector will increase pay to what might be considered a "fair" level, this is unlikely to be a "huge boost"...
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