Pay and prices

Labour Research Department three monthly pay figures

Percentage increases on lowest basic rates (by agreements covered)

For the three months up to and including: this payround

AUG 99-

FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC JAN JAN 00

All agreements

3.3 3.3 3.0 3.0 3.0 3.0 3.0 3.0 3.0 3.0 3.0 3.0 3.0

Private sector

3.3 3.3 3.0 3.0 3.0 2.9 3.0 2.8 3.0 3.0 3.0 2.9 3.0

Public sector

3.8 3.0 3.0 3.0 3.3 3.5 3.2 3.0 3.1 3.2 3.1 3.0 3.0

Manual

3.2 3.2 3.0 3.0 3.0 2.9 3.0 3.0 3.0 3.0 3.1 2.7 3.0

Non-manual

3.5 3.3 3.0 3.0 3.0 3.0 3.0 3.0 3.0 3.0 2.5 3.0 3.0

All industries

3.2 3.2 3.0 3.0 3.0 2.6 2.8 2.8 3.0 2.8 2.5 2.6 2.5

All services

3.8 3.4 3.0 3.0 3.3 3.3 3.0 3.0 3.1 3.0 3.1 3.0 3.0

For the 12 months up to and including:

FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC JAN

by agreements

3.4 3.4 3.2 3.1 3.0 3.0 3.0 3.0 3.0 3.0 3.0 3.0

by workers covered

3.7 3.7 3.3 3.3 3.6 3.5 3.5 3.5 3.5 3.5 3.5

Note to table: The figures show median (midpoint) pay settlements among all the agreements monitored through the LRD pay and conditions database. Separate figures showing the weighted median, (by number of workers covered) appear in the 12-monthly table.

Prices 1999-2000

retail % in- price index crease Jan 87=100 on year ago 1999

January 163.4 2.4

February 163.7 2.1

March 164.1 2.1

April 165.2 1.6

May 165.6 1.3

June 165.6 1.3

July 165.1 1.3

August 165.5 1.1

September 166.2 1.1

October 166.5 1.2

November 166.7 1.4

December 169.3 1.8

2000

January 166.6 2.0

Earnings 1998-99

average % increase earnings on index year ago 1995=100 1998

December 115.6 4.2

1999

January 116.4 4.6

February 117.2 5.0

March 117.8 4.9

April 117.2 4.0

May 117.8 4.1

June 119.0 5.2

July 118.9 4.4

August 119.6 4.9

September 119.8 4.6

October 120.7 5.1

November 120.9 5.1

December 122.6 6.2

Other pay analysts

Confederation of British Industry (manufacturing) 2.7%

Industrial Relations Services 2.5%

Incomes Data Services (most settlements) 2.0%-3.9%

Average earnings increases by sector

Production 4.3% Manufacturing 4.6% Services 5.2%

Latest figures for full-time weekly earnings

all workers £405.30 all female £332.50

all male £447.40 all manual £317.90

all non-manual £449.30 female manual £226.10

female non-manual £352.90 male manual £339.50

male non-manual £531.80

Source: New Earnings Survey 1999 projected to July 1999; Labour Market Trends, December 1999

Prices - underlying increase and forecasts

underlying rate for January 2.1%

Forecasts 4th quarter 2000 4th quarter 2001

RPI/underlying rate RPI/underlying rate

Average 2.9 2.2 2.3 2.4

Oxford Economic Forecasting 3.6 2.3 2.5 2.2

NIESR 4.2 2.3 2.8 2.3