Victoria’s budget forecasts years of wage stagnation for workers. But what do you expect when its biggest employer is cutting wages growth?

Victorian Treasurer Tim Pallas (Image: AAP/James Ross)

What remarkable sophistry governments engage in when it comes to discussing wages. And not just Coalition governments.

Last week’s federal budget predicted that even a fall in unemployment to levels not seen since the days before social media wouldn’t shift the dial on wages growth out of the doldrums — and casually blamed state government wage caps along the way. Nothing about the wages cap of the nation’s biggest employer, the Commonwealth public service.

At least Josh Frydenberg and his Treasury minions acknowledged a role for public sector wages policy in affecting wages growth. The Victorian government and its treasurer Tim Pallas would have us believe that wages growth floats free of any connection with what that state’s biggest employer does.

Read more about the Victorian state budget and what it means for wages…

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