6345.0 - Labour Price Index, Australia, Sep 2011 Quality Declaration 
Previous ISSUE Released at 11:30 AM (CANBERRA TIME) 16/11/2011   
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COMMENTARY


WAGE PRICE INDEXES

Australia/Sector (trend)

In the September quarter 2011, the Private, Public and All sectors wage price index rose 0.8%.

The Public sector rise of 3.6% through the year to the September quarter 2011 was again below that of the Private sector (3.7%). This is the third quarter in a row that the rise through the year for the Public sector was below that of the Private sector.


State/Territory (original)

Queensland recorded the largest quarterly All sectors rise (1.5%) while Victoria recorded the smallest (1.0%). Only Western Australia and Tasmania recorded a larger quarterly rise in the September quarter 2011 than in the September quarter 2010 while South Australia remained constant. Rises through the year ranged from 2.9% for the Australian Capital Territory to 4.0% for Western Australia.

In the Private sector, Tasmania recorded the largest quarterly rise of 1.8% while Victoria recorded the smallest (1.1%). Rises through the year in the Private sector ranged from 3.4% for South Australia to 4.3% for the Northern Territory.

In the Public sector, in the September quarter 2011, quarterly rises were smaller than in the September quarter 2010 in all states and territories, with the exception of South Australia, Western Australia and Tasmania. This was mainly due to delays in the commencement of new enterprise agreements in many jurisdictions.

The largest quarterly rise of all states and territories in the Public sector was recorded by Queensland (1.6%) while Victoria recorded the smallest (0.6%). Tasmania (4.4%) recorded the largest rise through the year to the September quarter 2011 and the Australian Capital Territory recorded the smallest (2.5%).


Industry (original)

WPI - ANNUAL AND QUARTERLY CHANGES: ORIGINAL, Total hourly rates of pay excluding bonuses-Industry, September quarter 2011
Graph: WPI—ANNUAL AND QUARTERLY CHANGES: ORIGINAL, Total hourly rates of pay excluding bonuses—Industry, September quarter 2011


In the September quarter 2011, the largest quarterly rise for All sectors of 2.2% was recorded by Accommodation and food services and Other services. For both these industries the September quarter 2011 quarterly rise was the largest since the commencement of the series. The smallest rise for the September quarter 2011 was recorded by Mining (0.5%). The All sectors through the year rises ranged from 2.8% for Public administration and safety to 4.5% for Other services.

Other services recorded the largest quarterly rise in the Private sector of 2.3%. The smallest rise was recorded by Mining with 0.5%.

In the Public sector, Professional, scientific and technical services (2.3%) had the largest quarterly rise and Health care and social assistance had the smallest (0.6%).


NON-WAGE PRICE INDEXES

Annual and public holiday leave

The rise from the previous financial year for All sectors in 2010-11 was 4.0%. Changes to the annual and public holiday leave indexes reflect the rate of wages growth and any changes in public holiday or annual leave entitlements. In 2010-11 there were no changes in public holiday entitlements in any state or territory compared to 2009-10.


Superannuation

The rise from the previous financial year for All sectors in 2010-11 was 4.0% compared with 3.4% for 2009-10. There were no changes to superannuation legislation in 2010-11 so changes in this index mostly reflected increases in wages.


Payroll tax

The rise from the previous financial year for All sectors in 2010-11 was 3.2%. Western Australia recorded the largest rise of 11.6% and New South Wales recorded a fall of 0.3% from the previous financial year.


Workers' compensation

The rise from the previous financial year for All sectors in 2010-11 was 2.5%. Queensland recorded the largest rise from the previous financial year (21.9%) while both South Australia (-12.3%) and Western Australia (-12.2%) recorded falls.


LABOUR PRICE INDEX

The rise from the previous financial year for All sectors in 2010-11 was 4.0%. This was larger than the rise from the previous financial year for the wage price index (3.8%).