1 00:00:03,840 --> 00:00:07,040 Speaker 1: It's Friday, the twentieth of June twenty twenty five. Welcome 2 00:00:07,080 --> 00:00:09,399 Speaker 1: to the Fast five Business News by Fear and Greed, 3 00:00:09,400 --> 00:00:11,119 Speaker 1: where we give you the top five business stories you 4 00:00:11,200 --> 00:00:13,480 Speaker 1: need to know in just five minutes. I'm Michael Thompson 5 00:00:13,520 --> 00:00:14,840 Speaker 1: and good morning Sean Aylmer. 6 00:00:14,920 --> 00:00:16,280 Speaker 2: Good morning, Michael Sewan. 7 00:00:16,360 --> 00:00:18,680 Speaker 1: Five stories to race through in five minutes. Let's get 8 00:00:18,680 --> 00:00:22,080 Speaker 1: cracking with story number one. The Australian economy shed workers 9 00:00:22,320 --> 00:00:25,000 Speaker 1: last month, adding to the argument for lower interest rates, 10 00:00:25,200 --> 00:00:27,760 Speaker 1: even though the unemployment rate actually remains at four point 11 00:00:27,840 --> 00:00:28,640 Speaker 1: one percent. 12 00:00:28,440 --> 00:00:30,920 Speaker 2: So twenty five hundred fewer workers last month. So that 13 00:00:31,000 --> 00:00:33,279 Speaker 2: did follow a boom April when eighty eight thousand new 14 00:00:33,320 --> 00:00:37,159 Speaker 2: jobs were created. The Bureau of Statistics data released yesterday 15 00:00:37,159 --> 00:00:40,080 Speaker 2: shows a big drop in part time jobs, almost but 16 00:00:40,120 --> 00:00:42,519 Speaker 2: not quite, off set by a rise in full time employment, 17 00:00:42,600 --> 00:00:46,720 Speaker 2: so ours work actually rose. The consensus among economists is 18 00:00:46,720 --> 00:00:48,919 Speaker 2: that the labor market is still strong. The unemployment rate 19 00:00:49,120 --> 00:00:51,240 Speaker 2: has been at four point one percent for five months. 20 00:00:51,320 --> 00:00:54,600 Speaker 2: That's relatively low. The overall participation rate remains at a 21 00:00:54,640 --> 00:00:57,840 Speaker 2: near record. In fact, female participation rate is at a record. 22 00:00:58,240 --> 00:01:01,440 Speaker 2: Forward indicators, though things like Moment Survey's Job ads suggest 23 00:01:01,640 --> 00:01:04,559 Speaker 2: that the labor market is weakening, though there's little wage 24 00:01:04,560 --> 00:01:09,480 Speaker 2: inflation in the system, significantly the non market sectors you think, health, education, 25 00:01:09,600 --> 00:01:13,080 Speaker 2: public service, the stuff that the government funds. Well, seven 26 00:01:13,120 --> 00:01:15,120 Speaker 2: to ten jobs over the last twelve months have come 27 00:01:15,120 --> 00:01:19,200 Speaker 2: from that sector, but it's slowing now. Growth in the 28 00:01:19,240 --> 00:01:24,200 Speaker 2: market sector private sector in this sense, have been weak, 29 00:01:24,520 --> 00:01:26,559 Speaker 2: up just one percent in the twelve months to March. 30 00:01:26,600 --> 00:01:29,480 Speaker 2: All that points to a slow down in the labor market. 31 00:01:29,640 --> 00:01:32,679 Speaker 1: Okay, in that case, what's the Reserve Bank going to do? 32 00:01:32,680 --> 00:01:33,840 Speaker 1: What's it mean for interest rates? 33 00:01:33,920 --> 00:01:36,320 Speaker 2: Well, markets have still priced in an eighty percent chance 34 00:01:36,319 --> 00:01:38,959 Speaker 2: of a rate cut next month. The economy is struggling, 35 00:01:39,080 --> 00:01:42,160 Speaker 2: growing at less than two percent per year, plenty of 36 00:01:42,240 --> 00:01:44,839 Speaker 2: external threats from the Middle East through to Donald Trump's tariffs. 37 00:01:44,840 --> 00:01:46,959 Speaker 2: That conundrum for the Reserve Bank is it a strong 38 00:01:47,040 --> 00:01:50,440 Speaker 2: labor market normally pushes wage inflation into the economy. Doesn't 39 00:01:50,480 --> 00:01:53,040 Speaker 2: look to be doing that. It also normally occurs when 40 00:01:53,080 --> 00:01:55,400 Speaker 2: the economy is growing faster than it is now, So 41 00:01:55,520 --> 00:01:57,160 Speaker 2: Michelle Bullock and the board have to weigh all that 42 00:01:57,240 --> 00:01:59,880 Speaker 2: up against weak economic growth and decide what to do next. 43 00:01:59,720 --> 00:02:02,120 Speaker 1: On Okay, moving on to story Number two now and 44 00:02:02,200 --> 00:02:05,440 Speaker 1: the nation's top CEOs earn about fifty five times the 45 00:02:05,480 --> 00:02:08,160 Speaker 1: pay of an average worker. And while it's getting cheaper 46 00:02:08,240 --> 00:02:10,520 Speaker 1: to dump the boss of an ASX listed company, the 47 00:02:10,560 --> 00:02:13,320 Speaker 1: heads of smaller companies are actually catching up to the 48 00:02:13,320 --> 00:02:15,400 Speaker 1: big caps, at least in terms of remuneration. 49 00:02:15,600 --> 00:02:18,399 Speaker 2: That's some of the key findings from Industries Research Group 50 00:02:18,440 --> 00:02:22,480 Speaker 2: the Australian Council of Superannuation Investors. Realized pay think take 51 00:02:22,560 --> 00:02:25,639 Speaker 2: home pay over the last decade has actually flattened. It 52 00:02:25,760 --> 00:02:28,200 Speaker 2: was four point one five million dollars last financial year, 53 00:02:28,480 --> 00:02:31,320 Speaker 2: but it was four million ten years ago. That's actually 54 00:02:31,320 --> 00:02:33,440 Speaker 2: not that much of a rise. It's now fifty five 55 00:02:33,480 --> 00:02:36,320 Speaker 2: times average pay, down from seventy seven times a decade ago. 56 00:02:36,800 --> 00:02:39,680 Speaker 2: AX one hundred CEO termination payments are at the lowest 57 00:02:39,720 --> 00:02:44,080 Speaker 2: in fifteen years. The smaller company pay is increasing. In fact, 58 00:02:44,400 --> 00:02:48,160 Speaker 2: the second highest paid CEO of an Australian company, the 59 00:02:48,240 --> 00:02:52,760 Speaker 2: highest Australian based CEO, a guy called Victor Herrero from 60 00:02:52,960 --> 00:02:56,800 Speaker 2: global jewelry chain Levisa. He took home thirty nine point 61 00:02:56,840 --> 00:03:00,480 Speaker 2: five to five million dollars. Not bad. Umber One was 62 00:03:00,480 --> 00:03:02,320 Speaker 2: actually the head of News Corpus, New York based a 63 00:03:02,360 --> 00:03:05,600 Speaker 2: guy called Robert Thompson. Another one worth noting CBA boss 64 00:03:05,639 --> 00:03:08,520 Speaker 2: Matt Common. He comes in at eighteen with realized pay 65 00:03:08,560 --> 00:03:09,320 Speaker 2: of nine million. 66 00:03:09,520 --> 00:03:11,200 Speaker 1: Story number three sewan a bit of good news for 67 00:03:11,200 --> 00:03:14,079 Speaker 1: the rest of us here. Superannuation funds are closing in 68 00:03:14,160 --> 00:03:17,519 Speaker 1: on another strong financial year. The Median Growth Fund set 69 00:03:17,560 --> 00:03:18,880 Speaker 1: to return around nine percent. 70 00:03:19,080 --> 00:03:21,400 Speaker 2: That would make three years in a rail of outsized returns, 71 00:03:21,400 --> 00:03:23,919 Speaker 2: according to chant West, and super funds and our almost 72 00:03:23,919 --> 00:03:28,040 Speaker 2: guaranteed to record their fourteenth positive year in sixteen. The 73 00:03:28,160 --> 00:03:31,000 Speaker 2: financial year result is helped by a surge in equity 74 00:03:31,000 --> 00:03:33,840 Speaker 2: markets in May continued into early during at least the 75 00:03:33,880 --> 00:03:36,840 Speaker 2: strong Ozsie dollar well the stronger Rossie dollar in recent 76 00:03:36,840 --> 00:03:39,760 Speaker 2: weeks has also contributed to the outcome. Since the introduction 77 00:03:39,800 --> 00:03:43,720 Speaker 2: of compulsory super the Median Growth Fund sixty to eighty percent. 78 00:03:43,880 --> 00:03:47,920 Speaker 2: In growth assets like equities, it's returned eight percent. Per annum. 79 00:03:48,520 --> 00:03:51,200 Speaker 2: Fation has been about two point seven percent, which means 80 00:03:51,240 --> 00:03:53,760 Speaker 2: you're getting a real return of five point three percent. 81 00:03:54,160 --> 00:03:57,080 Speaker 2: That's a good outcome. The moral of the story, according 82 00:03:57,120 --> 00:04:01,480 Speaker 2: to chant West, stay patient, don't get distracted by term noise, okay. 83 00:04:01,480 --> 00:04:05,800 Speaker 1: Story number four Australia's universities have performed pretty poorly in 84 00:04:05,840 --> 00:04:09,320 Speaker 1: the latest rankings of global unis. The highest ranked University 85 00:04:09,320 --> 00:04:11,960 Speaker 1: of Melbourne dropped seven places to number nineteen. 86 00:04:12,120 --> 00:04:15,040 Speaker 2: That's according to the QS World University Rankings. Number two 87 00:04:15,120 --> 00:04:17,440 Speaker 2: in Australia now is the University of New South Wales. 88 00:04:17,480 --> 00:04:19,760 Speaker 2: It went from nineteen to twenty. The Union of Sydney 89 00:04:19,800 --> 00:04:22,720 Speaker 2: went from eighteen to twenty five, coming in at number three. 90 00:04:23,040 --> 00:04:26,000 Speaker 2: The rankings consider millions of academic papers and commentary from 91 00:04:26,040 --> 00:04:29,159 Speaker 2: one hundred and twenty seven thousand academics across fifteen hundred 92 00:04:29,240 --> 00:04:32,280 Speaker 2: universities in one hundred and six countries. Imagine rankling all 93 00:04:32,279 --> 00:04:35,360 Speaker 2: those academics have Royal Twenty five of Australia's thirty six 94 00:04:35,520 --> 00:04:38,440 Speaker 2: ranked universities dropped places, whilst theven moved up. The top 95 00:04:38,480 --> 00:04:41,440 Speaker 2: ranked universities dominated by the US and UK MIT in 96 00:04:41,480 --> 00:04:44,960 Speaker 2: the US Imperial College London, Stanford in the US, Oxford, 97 00:04:45,120 --> 00:04:46,640 Speaker 2: Harvard and Cambridge Okay. 98 00:04:46,720 --> 00:04:49,080 Speaker 1: Last one story number five. Donald Trump has made his 99 00:04:49,160 --> 00:04:53,280 Speaker 1: most explicit comments yet about possible US military action against Iran. 100 00:04:53,680 --> 00:04:56,400 Speaker 1: He said that the next week would be quote very 101 00:04:56,440 --> 00:04:59,440 Speaker 1: big in determining the course of the war between Israel 102 00:04:59,560 --> 00:05:00,719 Speaker 1: and the isl i Republic. 103 00:05:00,800 --> 00:05:04,280 Speaker 2: He was speaking after Iran Supreme Leader Ayatola Ali Kamani 104 00:05:04,520 --> 00:05:08,200 Speaker 2: warned to Washington of areparol damage if he's intervened. Trump 105 00:05:08,240 --> 00:05:11,920 Speaker 2: suggested Tehran wanted to negotiate, but had left it perilously late, 106 00:05:12,080 --> 00:05:14,080 Speaker 2: according to the Financial Time. The President said, and I 107 00:05:14,160 --> 00:05:15,840 Speaker 2: quote I may do it, I may not do it. 108 00:05:16,040 --> 00:05:18,799 Speaker 2: I mean nobody knows what I'm going to do and quote. 109 00:05:19,000 --> 00:05:21,560 Speaker 2: Trump later met with advisers in the White House Situation Room, 110 00:05:21,680 --> 00:05:24,200 Speaker 2: second such meeting in as many days, as he weighed 111 00:05:24,279 --> 00:05:28,120 Speaker 2: authorizing military action against Teyhran. Iran fired a barrage of 112 00:05:28,120 --> 00:05:31,800 Speaker 2: missiles at Israel yesterday, hitting several targets, including a hospital. 113 00:05:32,040 --> 00:05:34,279 Speaker 1: Okay, there we go to the top five business stories 114 00:05:34,279 --> 00:05:36,359 Speaker 1: in five minutes. Thank you Sean, Thank you Michael. It 115 00:05:36,400 --> 00:05:39,160 Speaker 1: is Friday, the twentieth of June twenty twenty five. Make 116 00:05:39,200 --> 00:05:41,480 Speaker 1: sure you're following the podcast and please join us online 117 00:05:41,480 --> 00:05:44,880 Speaker 1: on LinkedIn, Instagram, ex TikTok, and Facebook. I'm Michael Thompson. 118 00:05:44,880 --> 00:05:46,800 Speaker 1: And that was fear and greed. Have a great day.