Pay settlements back up to 3%

Pay settlement figures are rising according to an analysis of figures from the Labour Research Department’s Payline database.

The median increase of 3.0% for three months to January, as published in Fact Service’s sister publication Workplace Report, is the highest rise since the first half of 2011. With inflation under the Retail Prices Index falling to 3.9%, the gap between pay and prices is down to 0.9 percentage points.

The rise is also 3.0% in the private sector, but only 2.0% in the public sector.

Workplace Report said hourly-paid workers at Ford look certain to agree a 6% rise, while the rises at two other car manufacturers — Jaguar Land Rover and Rolls-Royce — were 6.1% and 5.5% respectively.

Under existing long-term deals, Nissan’s January increase was 3.5%, while workers at Leyland Trucks and radiator manufacturer Calsonic Kansei UK got 3%.

Vauxhall settled on 5% last September, but there are now concerns about the prospects for GM Europe, of which the company is a part, after the division reported large losses last year.

Details of recent pay settlements can be accessed by following the link below.

www.lrd.org.uk/index.php?pagid=18