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Flatlining wages

Average pay still ÂŁ13 a week lower than a decade ago
Ryan Fletcher, Wednesday, August 22nd, 2018


Average wages are still ÂŁ13 a week lower than 10 years ago, according to new analysis from an economic think tank.

 

Research from the Resolution Foundation shows average earnings in real terms are still ÂŁ13 a week less than in 2008.

 

In a troubling analysis of the labour market, the foundation said that with 800,000 people employed on zero-hour contracts insecure work is still “widespread”.

 

Resolution Foundation senior economic analyst Stephen Clarke said, “While employment is at a record high, Britain is still some way off full employment and too much work remains low paid and insecure.

 

“Steps to provide advance notice of shifts and a right to a regular contract for those working regular hours on a zero hour contract would also help those in work who have precious little job security.”

 

Clarke also called for more support for people with disabilities and ill-health to access employment.

 

He said, “Policies to achieve this could include a new right to return to work after a period of ill-health.

 

“With fewer than half of people with a disability or ill-health currently in work, targeted support for these groups holds the key to achieving further employment progress.”

 

TUC general secretary Frances O’Grady said the government was ignoring flatlining wages.

 

She said, “It’s taking wages longer to recover from this crash than it did after the Great Depression.

 

“The Government is turning a blind eye to Britain’s living standards crisis. Ministers must get wages rising faster now.”

 

Unite has long called for a substantive increase in the minimum wage to offset stagnating pay packets.

 

Unite assistant general secretary Steve Turner said increasing the minimum wage is one of a number of policies the government could enact “to prevent the economy and people’s living standards from plummeting”.

 

He added, “These include ending the freeze on working age benefits and the real cuts to public sector pay.

 

“Most importantly of all, we need public investment to create jobs and stimulate the economy and an end to the Tories’ counter-productive reign of austerity.”

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