Public sector pay awards 1 per cent lower than private sector

Private sector pay awards averaged 3.8 per cent in the three months to the end of May, according to UK information and research service Incomes Data Services.

The comparison for the public sector was 1 per cent lower. The figures include the 2.75 per cent award for the 1.2 million staff covered by the NHS Pay Review Body, which will be paid this month and backdated to 1 April 2008.

Ken Mulkearn, editor of IDS Pay Report, said: ‘Private sector wage deals continue to present a relatively strong picture and settlement levels there have maintained their lead on those in the public sector. Inflation - driven by external factors like food and fuel prices, labour market factors and affordability, as well as the extent of collective bargaining at private firms, are all part of the picture here.'

neil.durham@haymarket.com

Income Data Services research

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