Australia's minimum wage to rise 3.5 percent, no inflation pressure seen – Reuters

Reuters reports the latest headlines from the Fair Work Commission, Australia’s labor regulator, stating that it has raised the national minimum wage by 3.5 percent from July 1.

The increase is almost double the current industry rate but half what unions had lobbied for.

Australia’s industrial relations umpire said Reserve Bank of Australia (RBA) research had convinced the commission that “modest and regular minimum wage increases” did not reduce employment levels.

RBA Governor Philip Lowe recently said average annual wages needed to rise by 3.5 percent to achieve average inflation of 2.5 percent, the mid-point of the bank’s target.