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Wage growth is higher in Australia. Could this regulatory fix help Kiwi workers catch up?

With inflation outpacing wage growth, NZ incomes are effectively going backwards. Australia’s collective bargaining rules could offer a remedy.

  • New Zealand's wage growth slowed to 2% YoY in June, below inflation's 4.1% increase.
  • Australia's wage growth stands at 3.2%, narrower gap with 3.8% inflation.
  • Australian Fair Work Act 2009 amendments enable compulsory arbitration in deadlocked negotiations.

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