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2015 Average Earnings Still 14.9% Down On 2008

Friday, November 20, 2015

Official ONS Data Show Real Value Of Average Earnings For All Employees In UK For April 2015 Still 14.9% Below Level For April 2008

The drop is greatest in London at – 24.5% and smallest in North East at -6%, with drop for Scotland at -9.3%, for Northern Ireland -9.8% and for Wales -12.2% according to analysis by GMB.

GMB publish a comparison between average earnings data for April 2015 and equivalent figures for April 2008 for the UK and 12 regions. See notes to editors for Annual Survey of Hours and Earnings (ASHE), 2015 Provisional Results - main points- released by ONS on 18th November, and the GMB analysis by region of ASHE data for 2008 compared to 2015.

Paul Kenny GMB General Secretary said "The real value of average pay for all employees is still 14.9% below the level in 2008.

The average pay of £26,137 in April 2008 has increased by £1,470 to £27, 607 in April 2015. That is an increase of 5.6 % while the inflation rate between April 2008 and April 2015 is 20.6%.

ONS itself commented that adjusted for inflation weekly earnings in 2015 increased by 1.9% compared to 2014. This is the first increase since 2008, and is due to a combination of growth in average earnings and a low level of inflation.

The drop since 2008 is greatest in London at – 24.5% and smallest in the North East at -6%. The drop in Scotland is -9.3%, in Northern Ireland it is -9.8% and in Wales it is -12.2%. See notes to editors 2 for details for all 12 regions.

As well as impacting on household budgets it will also be depressing the tax take to the Exchequer there by contributing to the deficit in public finances."

End

 

Contact: Kamaljeet Jandu 07956 237178 or Lisa Johnson 07900392 228 or Martin Smith 07974 251722 or GMB Press Office 07921 28988 or 07974 251 823.

Notes to editors

1 Copy of ONS press release - 18 November 2015

Annual Survey of Hours and Earnings, 2015 Provisional Results - Main points

• In April 2015 median gross weekly earnings for full-time employees were £528, up 1.8% from £518 in 2014. This follows an annual growth of 0.2% between 2013 and 2014. Growth has been slower since the economic downturn, averaging around 1.5% per year between 2009 and 2015.

• Adjusted for inflation, weekly earnings increased by 1.9% compared to 2014. This is the first increase since 2008, and is due to a combination of growth in average earnings and a low level of inflation.

• For the year ending 5 April 2015 median gross annual earnings for full-time employees were £27,600, an increase of 1.6% from the previous year.

• The gender pay gap for median earnings of full-time employees decreased to 9.4%, from 9.6% in 2014. This is the lowest since the survey began in 1997, although the gap has changed relatively little over the last 4 years. A similar trend is seen when full-time and part-time employees are combined, although the gap is unchanged from 2014, at 19.2%.

• In April 2015 the bottom 10% of full-time employees earned less than £297 per week. At the other end of the distribution, the top 10% of full-time employees earned more than £1,035. Since 1997, earnings at the 90th percentile have remained consistently at around 3.5 times earnings at the 10th percentile.

• Median gross weekly earnings for full-time employees increased by 1.8% in the public sector, and by 1.6% in the private sector. Private sector earnings have remained consistently at around 85% of public sector earnings since 2009.

2 GMB analysis by region of ASHE data 2008 compared to 2015.

2008-2015 Annual Survey of Hours and Earnings - residence based

 

 

 

Source: Annual Survey of Hours and Earnings, Office for National

Statistics. Crown Copyright Reserved

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Mean gross annual (£) - all employees

 

 

 

 

 

2008

2015

change

% change

drop in real value

of earnings between

April 2008 & April 2015*

 

 

 

 

 

 

 

 

United Kingdom

26,137

27,607

1,470

5.6

-14.9

 

Great Britain

26,351

27,759

1,408

5.3

-15.2

 

England

26,864

28,103

1,239

4.6

-16.0

 

 

 

 

 

 

 

 

 

 

 

 

 

 

rank

 

 

 

 

 

 

1

London

37,759

36,258

-1,501

-4.0

-24.5

2

South East

29,944

31,140

1,196

4.0

-16.6

3

East Midlands

24,128

25,105

977

4.0

-16.5

4

Yorkshire and The Humber

23,227

24,197

970

4.2

-16.4

5

North West

23,522

25,141

1,619

6.9

-13.7

6

South West

23,406

25,179

1,773

7.6

-13.0

7

East

27,385

29,573

2,188

8.0

-12.6

8

West Midlands

23,035

24,886

1,851

8.0

-12.5

9

Wales

21,944

23,770

1,826

8.3

-12.2

10

Northern Ireland

21,333

23,635

2,302

10.8

-9.8

11

Scotland

23,934

26,626

2,692

11.2

-9.3

12

North East

21,463

24,580

3,117

14.5

-6.0

                   

 

*inflation rate between April 2008 and April 2015 is 20.6%

 

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