By James Glynn
SYDNEY--Australian wages grew less than expected in the first quarter, adding to expectations that wage demand is peaking, supporting a gradual moderation of inflation pressures over the coming year.
The wage price index rose 0.8% on quarter in the first three months of the year, and by 4.1% from a year earlier, the Australian Bureau of Statistics said Wednesday.
It was the first time that annual wage growth has fallen since mid-2020, the data showed. However, the first-quarter growth rate was below the consensus forecast of a 1.0% rise on quarter.
The annual rate of wage growth followed a 4.2% rise in the final quarter of last year, but it remained well above the growth of 3.8% in the same quarter last year, the ABS said.
The last time annual wage growth exceeded 4.0% for three consecutive quarters was back in 2009, the ABS added.
Public sector annual wage growth was 3.8%, well below the 4.3% growth rate in the prior quarter.
Private sector wages grew at a faster pace than those in the public sector through the quarter, with the private sector recording an 0.8% growth compared with 0.5% for the public sector.
Write to James Glynn at james.glynn@wsj.com
(END) Dow Jones Newswires
05-14-24 2226ET
