Australia’s government is supporting a wage boost for the country’s lowest-paid workers to prevent rising living costs from reducing their pay. The government is expected to state its case in a submission to the industrial umpire’s annual minimum wage update. Few are opposed to an increase given high inflation rates, but the opposition and business groups have called for moderation to avoid prolonging inflation. The government’s submission does not include a specific figure but recommends that “real wages of Australia’s low-paid workers do not go backwards.” Labor will not suggest automatic across-the-board wage increases in line with inflation but will consider other factors. Business group the Australian Chamber of Commerce and Industry is backing a 3.5% boost plus a 0.5% lift in the superannuation guarantee from July 1. The Chamber’s chief executive Andrew McKellar warned that a wage blowout might cause small businesses to cut hours or reduce headcount. The peak union group, the ACTU, is pushing for a 7% rise to minimum and award wages.