New Wage & Labour Insights report finds wage growth lifting in a stable jobs market

Australia’s labour market remains resilient, with wages ticking higher and job growth steady, according to Commonwealth Bank’s inaugural Wage and Labour Insights report.

The report draws on de-identified salary flows from around 400,000 CBA accounts to provide an early snapshot of wages and employment trends, offering a timely view of shifting conditions at potential policy turning points ahead of official ABS data.

Wages growth ticks higher in November

The CBA Wage Insights showed a 0.8 per cent rise over the quarter and 3.2 per cent over the year, up from 3.1 per cent in October but still below the late-2024 peak of 4.1 per cent. 

CBA Head of Australian Economics Belinda Allen said the slight lift is notable in the current environment.

“The CBA Wage Insights series shows wage growth ticked a little higher in November after recent moderation. While wages growth has still eased over the past year, the slight tick up in November is worth watching, especially when combined with recent higher-than-expected inflation prints and Q3 25 GDP data showing the Australian economy has reached its speed limit. If wages continue to strengthen, the risk of rate hikes in 2026 will rise.” 

Western Australia continues to record the fastest wages growth at 4.2%, while the Northern Territory sits at 2.3%.

CBA Wage Insights (annual % change)

Labour Insights show 26,000 jobs added in November

The CBA Labour Insights estimates around 26,000 jobs were added in November, a slight increase compared with September and October. 

“November’s increase in jobs highlights a labour market that is neither overheating nor weakening. This balance is critical as we look ahead to how wage trends and inflation will shape policy decisions,” said Allen.

Allen noted that the RBA is paying close attention to labour-market dynamics.

“The RBA is closely watching dynamics in pricing and labour market activity. We expect the RBA to remain on hold from here but the data flow on inflation and the labour market will be critical.”

CBA Labour Insights (monthly, trend-adjusted)

Implications for the RBA

The mix of a modest pickup in wages, steady employment growth and recent upside inflation surprises supports a cautious on-hold stance from the RBA.

The early-read indicators in the new report will help detect turning points in labour-market momentum - whether signs of re-tightening that could add to inflation or softening that would support progress back to target.

“Labour market resilience is a key factor for the RBA. With jobs growth holding firm and wages edging higher, the case for keeping rates on hold remains strong while policymakers monitor inflation closely,” concluded Allen.

Read the full report here.

Future editions of the Wage and Labour Insights report will track emerging trends as Australia navigates a shifting economic landscape.