Labor Lobbies Fair Work for Wage Increases in Cost-of-Living Election Battle

Labor has made a submission to a Fair Work review into wages, aimed at sweetening the vote from low earners.

Prime Minister Anthony Albanese speaks to the media at a doorstop during Lunar New Year celebrations at Eastwood Plaza in Sydney, Australia on Feb. 4, 2023. AAP Image/Bianca De Marchi

Cost of living appears to be the major battleground of the 2025 Australian election campaign, with yet another move aimed at cash-strapped Aussies.

As Prime Minister Anthony Albanese took his campaign to Victoria, he announced Labor had made a submission to the independent Fair Work Commission’s annual wages review to push for pay rises for workers on lower incomes.

“This campaign we will again be advocating for workers to get a pay rise to not only help them deal with the pressures of today, but to get ahead in the future,” he told media.

The government has, however, refrained from nominating specific a pay rise amount, saying the actual percentage was a decision for the commission—if an increase eventuates.

Workplace Minister Murray Watt told Sky News that in the past, the Fair Work Commission had awarded pay rises that were just above inflation wage rises for those on the lowest incomes.

Australia’s minimum income is around $47,000 (US$29,500) a year.

“So, we believe we can afford to see those workers receive a pay rise that is economically sustainable, but also allows them to keep up with the cost of living,” Watt said.

The move is similar to other calls Labor has made throughout its term.

In mid-2024, the Fair Work Commission increased both minimum and award wages by 3.75 percent, which lifted the minimum hourly rate to $24.10.

Labor says it has called for an “economically sustainable real wage increase” in 2025.

Labor has campaigned broadly to win over workers in its federal election campaign.

In March, the party pledged to ban non-compete clauses for workers earning less than $175,000 annually.

Under current laws, employers can ban workers from moving to a competitor, but opponents say those laws stunt career and wage growth.

Submission Will Please Minimum Wage Workers

Governance expert Rob Nicholls says that while the government can only make a submission to the independent Fair Work Commission on wages, the action will impress voters on smaller pay packets.

The Fair Work Commission takes submissions from numerous parties, meaning any pay rise arising from the review may or may not be influenced by any number of submissions.

One of the main organisations that regularly supplies submissions to the organisation’s wage reviews is the Australian Council of Social Services, which also advocates for improvement.

Submissions are also likely to arrive from unions.

“The Fair Work Commission considers all of these submissions and comes to its views,” Nicholls told The Epoch Times.

“So, a submission by the government is one of many.

“However, the optics of recommending a higher than inflation by the ALP (Australian Labor Party) are positive for voters who are paid at, or close to, the minimum wage.”