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NSW private and public sector union members are rallying outside parliament to protest against the government's wages policy, saying it will leave workers worse off as inflation takes flight.
The rally coincides with Treasurer Matt Kean preparing to deliver the Perrottet government's first budget at midday on Tuesday.
Premier Dominic Perrottet has already flagged that public sector workers can expect a three per cent wage rise in the budget this year.
Unions NSW Secretary Mark Morey says with inflation running at 5.2 per cent, and predictions it could hit seven per cent by the end of the year, the government's pay offer will slash workers' real wages by thousands of dollars a year.
"We are losing skilled teachers, nurses, cleaners and we're going to have more pressure in NSW for services to be provided that we can't retain," he told Sydney radio 2GB on Tuesday.
"It's not much to ask and the government needs to act."