The NSW Labor Party today in parliament voted against the Government’s wages policy, which would cost the NSW Budget $5.8 billion over the next four years and plunge the budget into deficit.
Treasury analysis shows that if Labor’s uncapped wage policy was set at increases of 4 per cent per year, NSW taxpayers will have to pay an additional $5.8 billion bill over the next four years - an average of $2,227.06 for every household.
NSW Treasurer Dominic Perrottet slammed Labor’s opposition to the policy, calling it a reckless and irresponsible decision that will hurt families across the state.
“Instead of doing the right thing and supporting the fair and responsible wages policy of the NSW Government, the Labor Opposition has decided to put politics before people and vote against this important policy,” Mr Perrottet said.
“We saw what happened last time Labor were in charge of wages policy. Employee costs rose from $13 billion in 1998-99 to $22.5 billion in 2007-08, nearly doubling the wages bill and blowing the budget.
“While the NSW Liberals & Nationals are committed to a fair wages policy that strikes the right balance, the careless economic approach of the Labor Party will take NSW backwards.”
NSW Labor leader Luke Foley recently failed to commit to the Government’s wages policy, which caps annual public sector wage increases at 2.5 percent, with higher increases permitted if they are offset by productivity savings.
“There is only one way for Labor to pay for this negligent blowout – hitting families with higher taxes, or cutting services like schools and hospitals,” Mr Perrottet said.
“The Labor Party is determined to undo the hard-fought economic record of this Government and take the state of NSW backwards.”
Treasury analysis shows that if Labor’s uncapped wage policy was set at increases of 4 per cent per year, NSW taxpayers will have to pay an additional $5.8 billion bill over the next four years - an average of $2,227.06 for every household.
NSW Treasurer Dominic Perrottet slammed Labor’s opposition to the policy, calling it a reckless and irresponsible decision that will hurt families across the state.
“Instead of doing the right thing and supporting the fair and responsible wages policy of the NSW Government, the Labor Opposition has decided to put politics before people and vote against this important policy,” Mr Perrottet said.
“We saw what happened last time Labor were in charge of wages policy. Employee costs rose from $13 billion in 1998-99 to $22.5 billion in 2007-08, nearly doubling the wages bill and blowing the budget.
“While the NSW Liberals & Nationals are committed to a fair wages policy that strikes the right balance, the careless economic approach of the Labor Party will take NSW backwards.”
NSW Labor leader Luke Foley recently failed to commit to the Government’s wages policy, which caps annual public sector wage increases at 2.5 percent, with higher increases permitted if they are offset by productivity savings.
“There is only one way for Labor to pay for this negligent blowout – hitting families with higher taxes, or cutting services like schools and hospitals,” Mr Perrottet said.
“The Labor Party is determined to undo the hard-fought economic record of this Government and take the state of NSW backwards.”