UK Wage Growth to Remain Low says CIPD

Pay rises will remain subdued over the next year, despite Britain’s robust recovery and complaints from business leaders of acute skills shortages, according to a survey of employers.

Wages will increase by an average of 2% over the next year as UK employers continue to recruit the workers they need without significantly hiking wages.

The survey by the Chartered Institute of Personnel & Development found that the number of applicants per vacancy remained steady over the past year, with average applications for jobs running at 25 for each low-skilled role, 15 for medium-skilled roles and eight for highly skilled roles.

The CIPD said this response showed employers still had the whip hand in the labour market, with most businesses seeing a steady flow of suitable candidates when they advertise jobs.

Only a limited number of industries were hit by skills shortages and many of those were putting more resources into training their existing staff or employing apprentices to fill the gaps.

via The Guardian

Alfonso Esparza

Alfonso Esparza

Senior Currency Analyst at Market Pulse
Alfonso Esparza specializes in macro forex strategies for North American and major currency pairs. Upon joining OANDA in 2007, Alfonso Esparza established the MarketPulseFX blog and he has since written extensively about central banks and global economic and political trends. Alfonso has also worked as a professional currency trader focused on North America and emerging markets. He holds a finance degree from the Monterrey Institute of Technology and Higher Education (ITESM) and an MBA with a specialization on financial engineering and marketing from the University of Toronto.
Alfonso Esparza