Median pay 7.5%, RPI still rising

The median pay rise achieved in unionised workplaces in the three months to August was 7.5%, according to LRD Payline. This figure was for workers on the lowest rate of pay, while other grades got 7.3%. This puts the growth in wages above the government - preferred measure of CPI inflation which is at 6.7%, but still behind the union-preferred RPI measure, which is up slightly at 9.1%.

The latest official earnings figures also show regular pay (excluding bonuses) went up by 7.8% over the year to July. However, while wages are gaining ground on inflation, it is not consistent across the economy nor enough to end the current wage squeeze. In Average Weekly Earnings, the private sector sees a drop to 7.9% (down from 8.3%) while in the public sector workers achieved 7.2%.