Resolution Foundation says expected inflation rise will quickly see off any genuine terms pay growth unless productivity increases significantlyBritain’s long-awaited pay recovery this year will quickly evaporate in 2016 unless productivity significantly improves,a main thinktank has warned.
The Resolution Foundation said genuine-terms pay growth could slack to less than 1% by the end of next year, from around 2.5% at present. That would be its worst-case scenario with productivity growth failing to pick up and inflation taking off more than expected. Related: Weak growth in UK manufacturing poses Bank of England dilemma Continue reading...
Source: theguardian.com