Real wages fell by record rate from april to june like british cost-of-life crisis took retention and inflation reduced the cost of salary, official numbers show.
When effect of rising prices are taken into account, payment taking into account bonuses declined 2.5 percent in Last quarter compared with year previously. Regular wages decreased by 3 percent, Management for This is reported by the National Statistics.
Wages have increased in cash terms but were dwarfed by rising costs for gas, electricity, fuel, food and other goods that pushed the general inflation rate up to 9.4%.
Private sector workers saw their salary rise 5.9% before inflation – more than three times as fast like their counterparts in in public sector who received a 1.8% increase.
Numbers set in government on well for further clashes with public employees, including nurses, doctors, lawyers and teachers who saw value of their incomes crumble year by adding to the pain of decade of the fall real wage.
Bonuses stay strong in June, the ONS said. with highly paid urban workers see the strongest growth.
Individual figures showed an increase in voltage on budget as the average household grocery bill increased by £533. in in past year, according to Kantar. AT rate of food price growth rose to 11.4 percent in four weeks until August 7, compared with 9.9 percent in previous month.
HE IS WITH director of economic statistics Darren Morgan said: “The number of people in work increased in in second quarter of 2022, while the main rates of unemployment and of people I don’t work and I don’t watch for there was little work changed.
“Meanwhile, total amount of hours worked every week, seems to have stabilized a bit below pre-pandemic level.
” real value of pay continues to fall. Excluding bonuses, it is still falling faster than at any time since the start of comparable records. in 2001″.
The fall in wages was the biggest since 1977, when the Queen celebrated her Silver Jubilee, according to the Resolution Foundation think tank.
Nai Cominetti, senior an economist at the Resolution Foundation, said: “The scale of this paycheck pain is even deeper than official the numbers also tell how to pay growth estimates are still artificially inflated by effects of dismissal scheme last year.
“This restriction happened despite high wages. growth and live work market, with payment calculations strengthened slightly, but by almost a million people moving workplaces in in last three months.
While wages were falling, the number of British workers on payrolls rose slightly, rising from 73,000 between June and July to 29.7 million, the ONS said.
There was also signs of fear of a recession was looming caused employers keep back on hire as number of fewer vacancies back from an all-time high. The number of vacancies fell by 19,800 between May and July to 1,274,400. first quarterly drop since summer 2020.
Despite the unprecedented drop in real income and signs of softer hiring, Chancellor Nadhim Zahavi said the numbers show the number of jobs in the UK. market was in “strong position”
He added: “This highlights sustainability of United Kingdom economy and fantastic enterprises who are creating new jobs across the country.
“Although simple solutions are cos-of- life load people are facing we provide help where we can.”
AT government is under increasing pressure to announce more support for households faced with average electricity bills of £3,600 by October when inflation is expected hit 13.3 percent.
Boris Johnson said there would be no further action. announced while his successor prime minister is announced next month.
Both candidates to replace him, Liz Truss and Rishi Sunak, called for an end to the silence. on “national emergency” of energy costs after Labor pledged to freeze bills.
Member of Parliament Jonathan Ashworth, Minister for Shadow Work and Pensions, in response to latest ONS Labor market statistics, said latest figures provided ‘further proof’ that the Tories had lost control of in economy.
“Because of tory failure on in the economy of the family face rapidly falling real salaries and rising energy bills. However, this zombie government offers no solutions. cost of life crisis.
Liberal Democrat Treasury spokeswoman Sarah Olney, MP, said: “Families are suffering from cost of a living disaster and yet the government can’t be anywhere found.
“This zombie government has no plan and is failing our country. People can’t wait any longer for conservatives to play out them horror show leadership competition.
