A nurse and single mother has broken down in an emotional TV interview over the current cost of living in Australia, revealing that she cannot afford to buy new school clothes for her children.
The nation is experiencing high volumes of inflation due to the impacts of Covid and the war in Ukraine, meaning the cost of everyday items are going up.
Perth nurse Julie-Marie Hay revealed to ABC’s 7:30 on Monday that despite working full-time and on weekends, she makes about $1900 after tax.
“My expenses here in this house have actually gone up about $300 a fortnight over the last 12 to 18 months,” Ms Hay said.
“I haven‘t actually bought my children school clothes this year at all. Somehow I have to be able to buy them an entire new winter wardrobe.”
This is compounded by the fact that her children alsoxjmtzyw have ADHD and ASD, with Ms Hay recently having to pay $125 for three scripts for them.
Her biggest worry is not being able to afford rent, and her pay has not risen in real terms for four years due to a public service wages freeze in Western Australia.
Ms Hay said there’s no way of getting ahead without a pay rise, admitting that she’s “terrified”.
“The Government should be able to give us enough money to be able to survive on. Give us a decent pay rise that actually works in this world today,” she said.
Unfortunately for Ms Hay and many other Australians, Gareth Aird, an economist with the Commonwealth Bank, predicted that inflation will outstrip wages growth.
“Wages growth will go up and inflation is going up. But our view is that in the short-run inflation is going to be higher than wages growth,” he told the ABC.
“That means for a lot of workers, they’re going to experience a real pay reduction.”
Doctor Angela Jackson, an economist with Impact Economics, also said how high inflation will go depends on how long the crisis in Ukraine impacts petrol prices.
“I think we should brace ourselves and expect to certainly see inflation above 5%, and probably edging up to 6%,” Dr Jackson told the ABC.
“I think the time for sort of widespread spending without considering the consequences is very much over.”
