Australia’s wage growth remains solid. But now the recovery needs to be sustained

‘The figures also point to just how tough it is going to be to recover the lost value of our wages over the past four years.’ Composite: Getty images/Guardian design

Labor swept to victory on 3 May after a campaign dominated by concerns about the cost of living. But the latest wage and home lending data should impress upon the government that, in three years, they may not be so lucky.

First the good news – wage growth remains solid. In the March quarter of this year, overall wages grew 0.9%, and for the past year wages were up 3.4%. That is a good result. We should celebrate wage growth and not submit to the spin of business groups who preach bankruptcy and recession whenever wages rise.