Australian workers have been hard done by and tax reforms in the budget only begin to return some fairness

At a time when real wages are falling, the government has finally acknowledged that wage earners have been hard done by in the tax system, writes Greg Jericho. Photograph: Asanka Ratnayake/Getty Images

Wages are growing at a much slower pace than inflation, according to the latest data. This fits the story of the budget: that those earning a living off wages have been left behind by those who make their money through investments and tax minimisation schemes such as discretionary trusts.

So I have some good news for the governor of the Reserve Bank, Michele Bullock. She can relax. Because, as has been the case for roughly 35 years, there is no evidence of a wage-price spiral.