Take-home pay

The relative improvement in take-home pay at the end of 2013 compared with earlier in the year continued in December, according to the pay processor VocaLink.

Annual growth in its FTSE 350 Take Home Pay Index fell to 2.2% in the three months from 2.4 % for the period to November. However, it has been fairly stable and above 2.0% for seven consecutive months — a vast improvement on the first three months of the year when the rise was less than 1%.

In its sectoral indexes, take home pay growth in manufacturing was up slightly to 0.8% in December against 0.5% in November. Nevertheless, the rise is much lower than mid-2013 when there were rises of above 3%.

Despite slippage from a 2.7% rise in November to a 2.4% rise the following month, the growth rate in services is much stronger than in the other sectors.

As with manufacturing, public sector pay growth remains low at 0.5% in December against 0.3% in November.

The public sector was the only figure to be lower in December 2013 than at the start of the year — the other three figures were higher, particularly so in services.

http://www.vocalink.com/about-vocalink/news/press-releases-2014/public-sector-take-home-pay-growth-still-lagging-behind-other-sectors.aspx