CEOs don’t understand how angry workers feel about executive pay | Osmond Chiu

Are executives being rewarded for insecure work and wage theft? Sure looks like it $53,000. That’s how much the median wage in Australia is. In other words, for half the population that’s the most they’ll bring home in a year while trying to feed, clot…

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Superannuation reflect the gender pay gap | Greg Jericho

If we want to make sure women have enough to retire on, we have to focus on how much they’re paid while they’re working

Retirement income is one of the most discussed economic topics in Australian life, and one of the biggest issues is that women generally have much less to retire on. A paper delivered to the Australian Gender Economics Workshop in Perth on Friday by the Grattan Institute’s Brendan Coates asked about the best way to close the gender gap in retirement incomes. His answer highlights the distorted nature of the superannuation system and contains some broader policy implications regarding the impact of raising the superannuation guarantee from 9% to 12.5%.

Related: Paying women less than men is criminal. Is it time to make it illegal? | Lisa Annese

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Whoever wins the argument over wages growth will likely win the next election | Greg Jericho

Voters have a stark choice: Turnbull’s plea to be patient and let the market do its job or Shorten’s mantra that the system is broken

There is little danger this year of voters struggling to differentiate between the two major parties on economic matters. In speeches this week, the prime minister and opposition leader revealed two starkly opposed views on how the economy should be run. Both sides are gearing up for a fight of labour versus capital, and at its core is wages growth and how and when that should be achieved.

Since the Keating enterprise bargaining reforms, industrial relations has in some ways involved a bipartisan light touch. Essentially, both parties took the view that governments should play a minimal role and let the employers and unions negotiate in a spirit of good faith.

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Whoever wins the argument over wages growth will likely win the next election | Greg Jericho

Voters have a stark choice: Turnbull’s plea to be patient and let the market do its job or Shorten’s mantra that the system is broken

There is little danger this year of voters struggling to differentiate between the two major parties on economic matters. In speeches this week, the prime minister and opposition leader revealed two starkly opposed views on how the economy should be run. Both sides are gearing up for a fight of labour versus capital, and at its core is wages growth and how and when that should be achieved.

Since the Keating enterprise bargaining reforms, industrial relations has in some ways involved a bipartisan light touch. Essentially, both parties took the view that governments should play a minimal role and let the employers and unions negotiate in a spirit of good faith.

Continue reading…

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What hope for wage growth when the right to strike is curtailed? | Greg Jericho

Expect a big fight on industrial relations this year as job numbers grow but wages lie low

The disconnect between the current strong employment growth and the weak growth in household incomes remains the biggest issue for the coming political year, and it has emerged as the greatest weakness to the government’s economic argument.

One of the more absurd suggestions that did the rounds when the Rudd government introduced the Fair Work Act was that the new laws were swinging the pendulum too far in favour of unions.

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Penalty rate cuts followed by weakest consumer spending since 2008

McKell Institute report says ‘some correlation’ between the reductions in take-home pay on 1 July and the significant decline in consumer spending

The controversial cuts to Sunday and public holiday penalty rates on 1 July have been followed by the weakest three months of consumer spending since 2008.

A new report from the McKell Institute, a Labor-aligned thinktank, has analysed the impact of the Fair Work Commission’s decision in February to cut public holiday penalty rates, and begin phasing-in cuts to Sunday penalty rates, for some workers in the retail, hospitality, fast food and pharmacy sectors.

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Middle-income earners’ tax hit to pay for Coalition company cuts

Parliamentary Budget Office reveals path to surplus relies on tax burden shifting from business to individuals

The government’s plan to return the budget to surplus is heavily reliant on personal tax increases across every income bracket but hitting middle-income earners hardest, the Parliamentary Budget Office has revealed.

Middle income earners (with an average taxable income of $46,000) will experience the highest average tax increases of any income quintile, jumping 3.2 percentage points, from 14.9% to 18.2% over the next five years.

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Men still dominate managerial positions. The excuses are running out | Greg Jericho

Across all industries, even those with a majority female workforce, men make up the bulk of managers. Participation rates can’t account for the difference

New data from the Australian Bureau of Statistics reveals that management of Australian businesses is dominated by men to an extent that far outweighs the level of men and women in the total workforce. Given the increased number of women staying in the workforce through their 20s and 30s, the reasons for such a disparity are quickly fading.

One of the biggest changes in the labour force over the past 40 years has been the increased number of women at work. But while we currently have a higher percentage of women in the workforce than ever before, the latest gender figures on managers across industry shows that women remain massively underrepresented in positions of power.

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