The Albanese Government has called upon the Fair Work Commission to deliver an above-inflation pay increase for approximately 2.7 million Australians, aiming to provide critical relief for award-reliant workers facing persistent cost-of-living pressures.
In a joint submission to the annual wage review, Treasurer Jim Chalmers and Minister for Employment and Workplace Relations Amanda Rishworth argued for an "economically sustainable" real wage increase.
While the Government stopped short of recommending a specific numerical figure, the submission emphasises that the outcome must remain consistent with the Reserve Bank of Australia’s target of returning underlying inflation to the 2% to 3% band by the 2026-27 financial year.
Minister Rishworth highlighted that low-paid workers—who represent roughly one-quarter of the national workforce—are most vulnerable to financial shocks, noting that a meaningful lift in the minimum wage is a vital lever in narrowing the gender pay gap.
Treasurer Chalmers reinforced this position, stating that while the government is focused on responsible economic management, the mounting pressure of fuel prices and household bills necessitates a wage boost that doesn't slip behind the inflation curve.
The latest push follows a series of Labor-backed recommendations since 2022 that have seen the minimum wage rise by a cumulative $175.40 per week.
The Government maintains that this wage strategy, paired with upcoming tax cuts and cheaper medicines, forms a holistic "cost-of-living" package designed to support the country's most financially exposed households without re-igniting an inflationary spiral.