New quarterly ABS data released today show wages are not keeping up with inflation, as yet another bank, NAB, announces a quarterly profit of $2.1 billion.
While wages rose 0.8% in the December quarter and 3.4% over the year, inflation climbed even faster at 3.8% - meaning workers' pay packets are going backwards in real terms.
Government decisions are driving this real reduction in wages - with the housing crisis spurred on by handouts to wealthy property investors, a 5% deposit scheme debacle that is fuelling house price rises, and government approval of a 4.4% rise to healthcare premiums, the biggest in eight years.
While the big banks' rake in the profits of a housing crisis spurred on by Labor's policies, working Australians struggle to afford soaring rents and rising mortgages, let alone get into the housing market.
The Greens say Labor needs to start making policies for renters, first home buyers and mortgage holders instead of working for the banks and property hoarders.
As stated by Greens spokesperson for finance, workplace relations, employment and housing Senator Barbara Pocock:
"Working people are seeing their real wages go backwards, while interest rates rise and Labor lets the cost of housing and healthcare surge out of control.
"Working Australians have had enough. They're fed up with seeing the banks and wealthy property investors profit from a housing crisis out of control, while wages aren't keeping up and workers are going backwards.
"The cost of living and housing crisis are being felt across the country. When national rents have risen 2.5 times faster than wages over the past five years, working households fall further behind through no fault of their own.
"The big banks are profiting off rising house prices and increased mortgages, while homeowners and renters pay the price of rising inflation. How is that fair?
"Amid rising cost-of-living pressures, renters are having to fork out more than one-third of their income just to keep a roof over their heads. That's the definition of housing stress.
"Labor's policies - such as the 5% deposit scheme and the $181b tax breaks for property hoarders - are adding fuel to the fire, driving up house prices while the banks take all the profit.
"Labor must reform the tax concessions that are fuelling house prices and turbocharging inequality. Scrapping the CGT discount is an opportunity for this government to change course and help fix, rather than fuel, the housing crisis.
"Without tackling the root causes of the housing crisis - which are the tax breaks for wealthy property hoarders and the lack of social and affordable housing - house prices will continue to spike, banks will continue to rake in the profits and workers will be thrown into more and more stress."
