In 2025 wages grew slower than inflation, which means that wages clearly are not the cause of rising prices. Not only have workers seen their purchasing power decline, but the RBA’s decision to raise interest rates has once again punished them for inflation that was not their fault.

Before I go any further, excuse me while I go to the calendar and mark off yet another three months without a wage breakout. It’s a ritual I have been able to do my entire working life.

There hasn’t been a wage breakout since I was in primary school, but do not worry, the RBA is still on the watch, ever on alert to raise interest rates in an effort to increase unemployment and lower wage growth.

Earlier this month the RBA raised interest rates because, as the minutes of the board meeting stated, “wages growth had also slowed only gradually, and unit labour costs growth remained high, supporting the view that the labour market remained a little tight”.

What this means is they believe too few people are unemployed (the labour market is tight) and as a result employers are having to keep offering better wages in order to entice people to work for them. This,........

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