Workers finally set for pay rise parity

woman at work with pay rise

woman at work with pay riseParents have struggled to tackle inflation in recent times, with wage increases generally failing to keep up with rising prices.

But families have at last received some positive news, as research shows that the average pay deal has gone up by 3% in the last few months, compared to the 2011 rate of 2.5%.

Incomes Data Services (IDS) looked at 65 pay agreements in total and found that nearly a third of these saw wages go up by 4% or more. Just one in 20 forced workers to agree to a wage freeze.

The gap between the pay rises offered to people in the services sector and the manufacturing industry also appears to be closing, the study indicated.

Ken Mulkearn, of IDS, said: "It looks like 3% might be a floor for a significant portion of pay awards in manufacturing, and services could be following suit.

"It will be interesting to see whether the same trends on settlements continue into April, which is the key period for pay reviews in services.

"The fact that inflation is coming down might help ease the pressure on negotiators, though the pace and extent of the fall is impossible to predict."

While welcoming the figures, TUC general secretary Brendan Barber said a "long period of decent pay growth" is needed to really give households a boost.

Are you getting what you deserve from your workplace? If you legitimately think you should be entitled to more, check out this advice on how to ask for a pay rise.