Wages growth fails to pick up as stagnating pay defies budget forecasts

Wage growth remains stuck around historically low levels, with workers receiving annual pay increases averaging 2.3 per cent. 

The ABS wage price index rose 0.5pc in the March quarter, below analysts forecasts centred on 0.6pc. 

Annual wage growth was stuck at 2.3pc for the third quarter in a row. 

ABC's Peter Ryan says stagnating wages contradict budget projections that wages growth will eventually return to 3.25pc.