Trends in the next two years: Are there pay pressure points?

摘要

There have long been a number of key factors that cause pay levels to increase. What we have seen in the years since the GFC is an unusual mix of minimal pressures in the workplace. Price inflation has been very low so this traditional issue has not arisen. Interest rates are also at moderate levels and hence mortgage repayments have also been lower than previously. The exchange rate has been high and combined with high milk prices we have been shielded from overseas inflation. There has been some further debate that perhaps there was a trade-off between jobs and pay in recent years as a result of the GFC. Hard to say really sounds more like a good theory, correlation without causation.