Private sector pay deals now pitched at 2.4% - XpertHR

PAY DATA

Private sector pay deals now pitched at 2.4% - XpertHR

Pay awards across the private sector were running at a median 2.4% in the second quarter of 2012, according to the latest data from XpertHR. But the divergence between settlements in the public and private sectors remains – pay awards in the public sector continue to be stuck at zero.

Key settlement data for Q2

• 14.6% of all settlements in the private sector resulted in a pay freeze.
• The most common pay award was 2%, awarded in 18.3% of the basic pay settlements.
• 3% was also popular, accounting for 17.9% of basic pay awards.

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Outlook for manufacturing

Looking to pay award levels for the remainder of the year, a forthcoming survey of the British manufacturing sector from XpertHR will show that:

• Manufacturers are predicting pay awards of just 2.5% in the year ahead. This compares with a median 2.6% increase recorded by XpertHR in the sector over the past year.
• Pay awards in the services sector have been consistently lower – over the past year, the median pay award in the services sector has stood at just 2%.

A final word

"With the busy April pay round now behind us, we can look forward to how pay settlement levels will shape up over the remainder of the year. However, with the third quarter of negative economic growth now confirmed, and the labour market remaining weak, there is no sign of any upward movement in pay settlement levels over the coming months." - Sheila Attwood, XpertHR Pay and Benefits editor. 

Want to know more?

XpertHR, formerly known an Industrial Relations Services (IRS), is the “UK's most comprehensive online source of legal compliance, good practice and benchmarking information made available to HR professionals as a single subscription service”. It offers detailed statistics and analysis of recent pay settlements across the UK. XpertHR collects details of pay settlements for around 1,500 employee groups each year. Its database contains more than 28,000 settlements. For more information visit www.xperthr.co.uk.