Socialist Worker

Millions face a pay freeze

Issue No. 2207

Millions of public sector workers will see their pay frozen. Around 4.3 million public sector workers earning over £21,000 face an effective pay cut.

The consumer price index (which ignores housing costs) is currently rising at 3.4 percent. This means over two years a public sector worker on £22,000 would see their pay cut in real terms by nearly 7 percent.

The more realistic retail price index is at 5.1 percent – so the pay cut is over 10 percent.

The 1.7 million public sector workers who are paid less than £21,000 will get a lump sum of £250 a year – which amounts to a pay rise of just 1.2 percent if you earn exactly £21,000.

Yet since this is lower than both measures of inflation, it is also a pay cut.

If you enjoy Socialist Worker, please consider giving to our annual appeal to make sure we can maintain and develop our online and print versions of Socialist Worker. Go here for details and to donate.

Mobile users! Don't forget to add Socialist Worker to your home screen.