Tenth of manufacturers still wary of upping pay
Monday 25 March 2013
More than one in ten manufacturing firms are still hitting staff with a pay freeze amid lingering nerves over the UK's weak recovery, according to new figures.
The EEF manufacturers' organisation's latest survey – encompassing 207 companies employing more than 34,000 staff – showed average settlements of 2.3 per cent in the three months to February. But 22 firms – 11 per cent – kept salaries where they were.
The findings underline the absence of upward pressure on wages despite inflation of 2.8 per cent, more than twice as high as the average growth in pay across the economy as a whole.
Manufacturers in particular are under pressure as the UK struggles to avoid a triple-dip recession. The sector accounts for around 11 per cent of the nation's output but shrank 1.5 per cent in January, the biggest slide since a Jubilee-affected June last year.
Lee Hopley, EEF chief economist, said: "The main bargaining period for manufacturing companies is passing with no evidence of pay pressures despite the increase in the cost of living. These figures continue to suggest a cautious outlook for many companies who are bearing down on their internal costs, particularly those that continue to operate pay freezes."
- 1 Stephen Fry explains what he would say if he was 'confronted by God'
- 2 Venezuela Expo Tattoo 2015: Extreme body art from 'Vampire Woman' to 109mm earlobes
- 4 Ball pool for adults opens in London
- 5 Rashida Jones speaks out against male-centric porn saying 'women should have sex and feel good about it'
Stephen Fry explains what he would say if he was 'confronted by God'
9 reasons Greece's experiment with the radical left is doomed to failure
Have we reached 'peak food'? Shortages loom as global production rates slow
British grandmother Lindsay Sandiford faces execution by firing squad in Indonesia
Liberal Democrat minister defends comments suggesting immigration causes pub closures
Hard line on immigration could cost Tories the election
iJobs Money & Business
£40000 - £50000 per annum: Recruitment Genius: This is an exciting opportunity...
£30000 - £35000 per annum + Benefits: Ashdown Group: Marketing Manager - Marke...
£13000 per annum: Recruitment Genius: This Pension Specialist was established ...
£23000 - £26000 per annum + Benefits: Ashdown Group: Market Research Executive...