"Australia’s Q4 2024 Wage Price Index Rises 0.7%, Slowest Growth Since 2022"

"Australia’s Q4 2024 Wage Price Index Rises 0.7%, Slowest Growth Since 2022"

On February 19, 2025, the Australian Bureau of Statistics (ABS) released the Wage Price Index (WPI) report for Q4 2024. The data showed that seasonally adjusted wages increased by 0.7% quarter-over-quarter and 3.2% year-over-year.

This quarterly wage growth was the slowest since Q1 2022. The private sector wages grew by 0.7%, while the public sector saw a 0.6% increase. On an annual basis, private sector wages rose by 3.3%, marking the lowest growth since Q2 2022, while public sector wages increased by 2.8%, the lowest since Q4 2022.

Sectors with the Highest Wage Growth (Q4 2024):
- Information, media, and telecommunications: +1.4%
- Manufacturing: +1.0%
- Transport, postal, and warehousing: +0.9%

Sectors with the Lowest Wage Growth:
- Accommodation and food services: +0.1%
- Administrative and support services: +0.3%
- Rental, hiring, and real estate services: +0.5%.

Wage Growth by State/Territory:
- Highest quarterly wage growth: Northern Territory (+1.1%)
- Lowest quarterly wage growth: Tasmania and Australian Capital Territory (+0.5%)
- Highest annual wage growth: Tasmania (+3.9%)
- Lowest annual wage growth: New South Wales (+2.9%).

The slowdown in wage growth this quarter suggests a moderating labor market, which could influence the Reserve Bank of Australia’s future monetary policy decisions.