Groceries. Petrol. Rent. Prices are going up and there is no sign of them slowing.
But this is exactly how big business like it. They are the ones who landed us in this mess in the first place.
We know it as Greedflation.
No excuse for Corporate Greed
Research from The Australia Institute shows that corporate profits are driving price increases in Australia.
Greedflation is when huge corporations use their costs as an excuse to increase prices, while also passing on costs to customers rather than absorbing them.
Labour costs only explain 18 per cent of the increase to inflation whereas profits account for 69 per cent above the RBA target.
“Empirical evidence shows excess corporate profits are the main culprit driving inflation, not workers’ wages.”
– Dr Jim Stanford, Director at the Australia Institute’s Centre for Future Work
What the numbers reveal
While you are paying around eight per cent more for items like fruit, dairy, petrol and power bills, the big corporations selling you those essential goods have raked in billions this year.
It’s BHP’s second-highest profit since 2011.
Wesfarmers owns Bunnings, Officeworks, Kmart, Target and others.
Meanwhile, Apple workers face real wage cuts.
And Coles posted a tidy $1,050,000,000.
In Australia, profits increased by 28.5 per cent.
How much did your wages increase?
The way to win against Greedflation
When faced with such unfairness and greed, collective action works. Workers in unions have taken on huge companies – like Qantas, Amazon, Country Road, Esso – and come out on top.
While corporate giants rake in the profits that cause inflation to soar, union members are showing up to ensure no worker is left behind.
From community and service workers to technicians and trades, workers in unions continue to negotiate higher pay in ways that ensure all members get a fair wage.
Still not convinced?
Check out these Greedflation examples.
Working 60-hour weeks with no overtime pay and only a 2.5% pay rise? It’s not on.
Huge delays, lost bags and cancelled flights. They’re all a result of Qantas CEO Alan Joyce putting profit before people.
When the pandemic first hit in 2020, the standing of our universities looked bleak. But now our tertiary institutions have bounced back. They’re raking in millions in profits yet still stealing wages from workers.
Denying teenaged workers ten-minute paid breaks is cruel. Now, McDonald’s now face a nationwide union-led court case.
The freelance journalists who bring you stories across titles such as The Sydney Morning Herald and The Age have not had their rates of pay increase in 20 years. Yet Nine Publishing have just had their profits increase by 53 per cent.
Chevron, Shell and BP have had record-breaking profits yet have paid little to no tax. And that hasn’t stopped them making you pay extra for petrol and energy.