Public sector wages boom, private sector wages bust

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There has never been a better time to be in the sheltered workshop of Australia’s public service.

While thousands of jobs were lost across the private sector economy following COVID-19 shutdowns, those working in Australia’s public sector enjoyed unrivaled job security alongside further growth in wages and salaries.

In fact, last week’s ABS national accounts release for the December quarter of 2020 showed that the gap between public sector and private sector incomes has never been wider.

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About the author
Leith van Onselen is Chief Economist at the MB Fund and MB Super. He is also a co-founder of MacroBusiness. Leith has previously worked at the Australian Treasury, Victorian Treasury and Goldman Sachs.