The pressure's on for public sector pay

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A post-election government of any stripe will find it difficult to sustain public sector pay freezes because both private sector wages and inflation rates are now picking up, reports our sister site

A new report by the Labour Research Department (LRD), an independent research organisation that provides information to trade unions, found that a slight increase in the number of pay freezes among private sector companies in January had been followed by a drop.

Median wages for the three months to April were also beginning to rise slowly, the LRD said, which suggested that “the end of concessionary bargaining by unions may be in sight”.

It also indicated that the median pay increase for negotiated settlements was 2% across the board, with pay fr...

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