Australia's wages surprise on the low side

Total hourly wage rates ex bonuses (WPI) in Australia rose just 0.5% in Q1, below the market's expectation for a 0.6% print. This matches the last record soft print of 0.5% in September quarter 2009.

Following three quarterly prints of 0.6%, the 0.5%qtr has seen the annual pace ease back to 2.3%yr, from 2.5%yr. This is a new record low for the annual pace of the WPI which started in the September quarter of 1997.

More surprising was the very benign print from private sector wages, rising just 0.4%qtr following on from a 0.6%qtr in each of the previous three quarters.  At 0.42%qtr at two decimals places it is only just pipped at the post for a record low by the 0.40%qtr print in September 2009. 
But the annual pace has hit a record low of 2.2%yr in 2015Q1. Private sector wage inflation had a recent peak of 4.0%yr in 2011Q1 and has been moderating ever since.