Organization: With the abolition of the junior wage standard, Australian retailers are facing wage inflation.

Jefferies stated that the Fair Work Commission in Australia has decided to abolish the junior wage rates for workers aged 18 to 20 by 2029, which could exacerbate wage inflation. Many retailers see this decision as bad news. Analyst Michael Simotas predicts that wage inflation will increase by an additional 50 basis points during the fiscal years 2027 to 2030. Due to existing enterprise agreements, some retailers will be less affected than others.