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GMB on Regional Pay

Tuesday 10th January 2012

 

THE PROPOSAL TO MOVE TO REGIONAL PAY FOR PUBLIC SECTOR WORKERS IS JUST SHORT CHANGING REGIONAL ECONOMIES SAYS GMB

Living standards have already dropped by between 9.1 % and 2.3% in different regions since the general election and these proposals will make things worse for the ordinary working people as issue is discussed in Commons

GMB commented on the debate in the House of Commons that took place today (10th Jan) on government proposals to introduce regional pay for public sector workers sponsored by Jonathan Edwards Plaid Cymru MP.

Paul Kenny, GMB General Secretary said, “The proposal to move to regional pay for public sector workers is just short changing regional economies. Cutting workers’ pay will not create a single job in any region and will lead to further falls in demands for goods and services in regions facing the pay cuts implied in this proposal .

Living standards have already dropped by between 9.1 % and 2.3% in different regions (see figures in notes to editors below) since the general election and these proposals will make things worse for the ordinary working people.

It is a couldn’t care less attitude from a couldn’t care less government. Two thirds of the economy is consumer driven and Osborne must be the only person who does not get it. Squeezing wages, pay freezes and cutting jobs will not restart the economy. Using the IMF measures his cuts will reduce real private consumption by 4% and GDP by 3.4% over the next few years.

End

Contact: Kamaljeet Jandu, GMB National Equality Officer on 0 7956 237178 or Brian Strutton, GMB National Secretary for Public Services on 07860 606137 or Martin Smith, GMB National Officer on 07974 251722 or GMB Press Office: Steve Pryle on 07921 289880 or Rose Conroy on 07974 251823.

Notes to editors

Fall in living standards for full time workers by region april 2007 to november 2011

   

Mean gross annual (£) - full-time

   
   

2007

£

2011

£

Change

£

Drop in real value of earnings from April 2007  to November 2011*

%

 

United Kingdom

30,015

32,837

2,822

-5.9

 

England

30,852

33,661

2,809

-6.2

rank

         

1

North West

27,179

28,848

1,669

-9.1

2

South West

27,570

29,564

1,994

-8.0

3

West Midlands

26,703

28,743

2,040

-7.6

4

East

32,134

34,691

2,557

-7.3

5

Yorkshire and The Humber

26,368

28,527

2,159

-7.1

6

East Midlands

27,308

29,565

2,257

-7.0

7

Wales

25,184

27,346

2,162

-6.7

8

London

42,226

46,284

4,058

-5.7

9

South East

34,514

37,904

3,390

-5.5

10

Northern Ireland

24,694

27,334

2,640

-4.6

11

Scotland

27,114

30,140

3,026

-4.1

12

North East

24,278

27,433

3,155

-2.3

 

Notes on above figures:

1             2007-2011 Annual Survey of Hours and Earnings - residence based Source: Table 7.7a, Annual Survey of Hours and Earnings, Office for National Statistics. Crown Copyright Reserved

 

2             In the analysis GMB looks at the figure for annual average gross earnings of full time workers in each region/area from official ASHE data for April 2007 from ONS before the recession kicked in. This figure is compared with the figure for annual average gross earnings for the same region/area from ASHE for April 2011.  The changes shown in annual average earnings between these two periods, plus an uprating for wage increases to September 2011, are measured against inflation over the same period to calculate the real change in the value of these earnings.

 

3             Between April 2007 and November 2011 inflation has been 16.1%, of which half (7.65%) has taken place since April 2010.

 

 

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