Press Conference, Adelaide
AMANDA RISHWORTH, MINISTER FOR EMPLOYMENT AND WORKPLACE RELATIONS: Tuesday, those workers relying on the minimum wage and the award in this country will get a real wage increase. Workers like the workers behind me, Cayla and Div, one working in retail, one working in early childhood education. They are frontline services, and they deserve a real wage increase, and that's exactly what our Government put forward in our submission to the minimum wage annual review. We made it very clear that we thought that these workers deserved a real wage increase, particularly to ensure that they don't fall behind, but they can also actually get ahead, and on Tuesday, that will happen. From the 1st of July we will see a 3.5 per cent increase to the minimum and award wages. For someone on ordinary hours on the minimum wage, that will be an extra $1700. This is ensuring that these workers get the pay that they deserve. Of course, on the 1st of July, also, the superannuation guarantee will increase to 12 per cent, meaning these workers will not just get a wage increase now, but will be putting more away for their retirement. This is absolutely fundamental to our Government's commitment to get wages moving. Our Government wants people to earn more and keep more of what they earn, and this minimum wage increase to both the minimum wage and award workers is so critical to that. I'll now ask Cayla to add what it means to her, and then we'll hear from Div.
CAYLA HUMPHRIES: The increase means a lot to me. It means that young people like myself are able to put away money for a future that we dream to have, which is like having our own home, having a nice car, and being able to live comfortably without having to sacrifice everything that we enjoy to be able to hopefully have our dreams to stay.
JOURNALIST: Cayla, can we get your first and last name to start, is that okay?
CAYLA HUMPHRIES: Yeah. My name is Cayla HUMPHRIES, and I work at Bras and Things.
JOURNALIST: How have you been finding the current wage at the moment?
CAYLA HUMPHRIES: It's hard. Not being able to put away money for savings is quite upsetting, especially because I do dream of having my own home one day, and over the years it's been like, that dream is going to be impossible. So, to be able to have that increase, it makes me and others way more motivated to work, to be able to achieve that dream someday.
JOURNALIST: And has it been getting tougher, I guess, with inflation? Have you noticed it over the last couple years?
CAYLA HUMPHRIES: Absolutely. I've had to make lots of sacrifices to be able to make ends meet, which is quite upsetting. I haven't been able to enjoy the things that I usually enjoy, to be able to make sure that I'm able to pay my bills. So, being able to have this increase means that I will be able to now do the things that I enjoy.
JOURNALIST: And it's not a huge increase, but how will it help you?
CAYLA HUMPHRIES: It's not a huge increase, but it means that I'm able to easily put away more savings, which means a lot for me and a lot for other people, including my friends.
JOURNALIST: How long have you been waiting for this?
CAYLA HUMPHRIES: A very long time. I've been working for a few years now and it can be quite upsetting. Working oh so much and not being able to put much in my savings. It can be quite demotivating. I like to make sure that I am able to put away money for my future. So, being able to have this means a lot to me, means that I won't have to work oh so hard to be able to have that money aside.
JOURNALIST: And just quickly, how many hours a week do you work?
CAYLA HUMPHRIES: I work around 30 hours a week.
JOURNALIST: And how much would you earn?
CAYLA HUMPHRIES: I would be earning over $1000, which means that I'd be able to put away a couple hundred in savings per week. So, over the course of the year I'll have an amount of savings, which means that in five to ten years’ time I know that I can absolutely own my own house and live comfortably.
JOURNALIST: How much were you earning before the raise?
CAYLA HUMPHRIES: Before the raise I was earning $32 an hour.
JOURNALIST: Thank you.
AMANDA RISHWORTH: Div’s just going to make some comments as well.
DIVYANSH: As an ECC worker, this 3.5 per cent minimum wage increase means a lot to us. We've already been very underpaid in society at large and it finally feels like we're getting that appreciation, and especially when this wage rises above the inflation rate, fees like we’re [indistinct] needs to meet which will really help with the rent and increasing prices of groceries and just cost of living in general.
JOURNALIST: When you get that pay cheque each week, how has that I guess changed for your standard of living over the past couple of years?
DIVYANSH: Over the past couple of years that has been really hard. I’ve thought of leaving the profession because of that, but I'm really passionate about working with children and I feel like this would definitely add to me staying in the profession of care.
JOURNALIST: Yeah. Okay, so you're obviously looking forward to the increase?
DIVYANSH: Yes, definitely, I'm looking forward to that and I'm really glad that it is an above inflation rate wage increase which is a real increase.
JOURNALIST: What is it that you do for work?
DIVYANSH: I'm an early childhood teacher.
JOURNALIST: Okay. How long have you been doing that for?
DIVYANSH: I've been doing for about six years.
JOURNALIST: Yeah, and what's the difference in pay that you'll see with this change? Like what were you earning, say a week?
DIVYANSH: We will be earning around $150 more, which would really help with the cost of groceries and really make a dent in the cost of living.
AMANDA RISHWORTH: I think it's important to add that in addition, of course, to supporting this minimum wage increase, our Government's election commitment was to protect the safety net. And that's why as a top priority, we plan to legislate penalty rates in awards to protect them from being eroded. Penalty rates are a really critical part of the award system. Ensuring that workers that work on a Sunday here in Rundle Mall, that rely on our safety net, rely on the award system, get that pay. And so, one of the first pieces of priority legislation that we will introduce into the Parliament is ensuring that penalty rates in awards are protected. And I'll go to questions.
JOURNALIST: Minister, do you plan to legislate the right to work from home in this time at all?
AMANDA RISHWORTH: Our priority has been to focus on the things we took to the election. We took to the election a clear promise that we would put in a submission to the Fair Work Commission backing an increase, a real wage increase to the minimum wage. We also said that we would protect penalty rates in awards, and we would legislate for that. We also indicated that we would ban non-compete clauses. These are clauses that stop a hairdresser from potentially moving to another salon and getting a pay increase. These are clauses that stop a disability worker working for two companies to ensure that they can put together a 38 hour working week. These clauses are holding workers back and are putting downward pressure on wages and conditions. So, we've said we will ban that. We have also said that we will legislate to stop an employer from cancelling paid parental leave that they pay in the event of a stillborn death or the death of an early child. That is our priority at the moment. We will continue to consider other issues that come along. Employers, employees, unions will put ideas to us, we will consider them. But our first focus is delivering on our commitments. Putting a submission into the minimum wage was one of those for a real wage increase. We will continue to roll out our election commitments over the next few months.
JOURNALIST: So, just to confirm, there is no plans to legislate right to work from home at this stage.
AMANDA RISHWORTH: As I said, our focus is legislating on what we took to the election. Any other ideas, as I said, different ideas come up. We will consider that in the normal course of events, but our focus is legislating on the things that we took to the election.
JOURNALIST: On another topic, just about defence spending, NATO countries have agreed to increase their defence spending. Does Australia risk alienating our US allies if we don't do the same?
AMANDA RISHWORTH: Well, first, I would say that Australia, under our Government, has significantly increased our defence spending. We are set to spend an extra $57 billion over the decade. This is a record amount of spending on defence in Australia's history, in peacetime. And so, in terms of going forward, we are, of course, spending record amounts for peacetime. We are also, of course, acquiring new capability for our ADF. And I need to be really clear that the US has acknowledged our Government's increase in spending. In terms of future discussions with the US, we are a close friend of the US. We'll continue to have those conversations. But in comments made by the United States, they recognise our Government's increase in spending, which has been significant since we came to office.
AMANDA RISHWORTH: Thanks everyone.