Driven by runaway inflation and the country’s severe labor shortage, the average private sector wage in the UK between March and May was 7.2% higher than in the same period a year earlier, according to the Office for National Statistics (ONS).
Despite these significant increases, British employees suffered between March and May a significant loss of purchasing power. And for good reason, inflation has reached levels not seen for 40 years across the Canal (9.1% in May).
As a result, the average salary without bonuses fell by 2.8% between March and May compared to last year, if we take into account the rise in prices, the BBC points out. This is the biggest drop ever recorded. However, when bonuses are included, the loss in purchasing power is more moderate: -0.9%.
Much lower ratings in the public
The situation is even more delicate for public service workers, whose wages only increased 1.5% in a year between March and May. That is why the government must announce a salary agreement for 2.5 million people who work in the public sector, including teachers, doctors, nurses and police officers.
The unions are demanding wage increases that at least offset inflation. But the government has already warned that the revaluation of public service agents will not be of the same magnitude, arguing that this would risk fueling the inflationary spiral a little more.
Source: BFM TV
