Today: April 23, 2025
July 19, 2024
1 min read

UK wage growth slows to 5.7 per cent

The annual average regular earnings growth for the public sector remains strong at 6.4 per cent, and for the private sector, this is 5.6 per cent, according to the ONS…reports Asian Lite News

The United Kingdom’s (UK) latest labour market data continued to show signs of cooling, as annual wage growth has slowed to 5.7 per cent, said the Office for National Statistics (ONS) on Thursday.

According to the ONS, average earnings, both excluding and including bonuses, grew at an annual rate of 5.7 percent in March to May 2024. Annual growth in real terms, which was adjusted for inflation, for regular pay was 2.5 per cent, and for total pay was 2.2 per cent.

“Earnings growth in cash terms, while remaining relatively strong, is showing signs of slowing again. However, with inflation falling, in real terms it is at its highest rate in over two and a half years,” said Liz McKeown, Director of Economic Statistics of the ONS.

The annual average regular earnings growth for the public sector remains strong at 6.4 per cent, and for the private sector, this is 5.6 per cent, according to the ONS.

UK wage growth is still too hot to handle for the country’s monetary policymakers, the think tank Resolution Foundation noted.

“Rising real wages are good news for workers coming out of the cost-of-living crisis. But the Bank of England will be concerned that because these are not productivity-enhanced pay rises, they could turn out to be inflation-generating ones,” said Greg Thwaites, Research Director at the Resolution Foundation.

“The high-strength pay data, and low-quality jobs data, further complicate plans to cut interest rates,” Thwaites added.

Also on the datasheet, the UK unemployment rate was estimated at 4.4 per cent in the three months to May.

In April to June, the number of job vacancies in the UK decreased by 30,000 on the quarter to 889,000. “The total has now been falling for a full two years, though it remains above pre-pandemic levels,” said McKeown.

ALSO READ-Baltic countries to exit Moscow-controlled power grid

Previous Story

EU chief von der Leyen elected for second term

Next Story

European leaders discuss migration, Ukraine at UK summit

Latest from Europe

IMF warns of economic slowdown 

Georgieva said economies were being tested by a reboot of the global trading system — sparked in recent months by US tariffs and retaliation by China and the EU — that had

From Ashes to Agony to Glory

Manchester United staged a jaw-dropping 5-4 comeback against Lyon, scoring twice in stoppage time to reach the Europa League semi-finals in dramatic Old Trafford fashion. In a night that defied logic and

Looking back at VE Day 80 years ago

Ealing borough archivist Dr Jonathan Oates looks back to the original VE Day in 1945 It is the 80th anniversary of Victory in Europe (VE) Day. The early May bank holiday will

PSG Power Past Villa in Comeback

Head coach Luis Enrique hailed his side’s “personality and character” after they overturned a first-half deficit with three stunning goals, leaving them strong favourites to reach the semi-finals. Paris Saint-Germain produced a
Go toTop