Annual Earnings At Standstill, Ons Pay Survey Reveals

[interestrateripoff]

http://www.guardian.co.uk/money/2010/dec/08/annual-earnings-standstill-ons-pay-survey

The median gross annual salary for full-time employees in the UK rose by just 0.3% to £25,879 in 2010, according to the latest Annual Survey of Hours and Earnings (Ashe), published today by the Office for National Statistics (ONS). Median gross full-time weekly earnings were £499, up 2.1% from 2009.

As the effect of the recession years begins to be seen on incomes, the Ashe data, based on a 1% sample of employee jobs drawn from HM Revenue & Customs PAYE records, shows that annual earnings have barely risen at all over the last 12 months, compared with a 2.6% rise in 2009 and a 4.7% increase in 2008. The Ashe data does not cover self-employed workers.

The median – a midpoint of a range of numbers – is considered a better measure of earnings than the average (the sum of a range of values divided by their number) as it avoids distortions caused by big salaries earned by a very small proportion of the workforce.

Median full-time weekly earnings for women rose by 3.1% to £439 in 2010, compared with £538 for men, up by 1.3%. From a total workforce of approximately 24.9m people, the data showed 88% of male employees working full-time and 12% part-time, with the comparable figures for female employees at 58% and 42% respectively.

The lowest 10% of earners earned up to a maximum of £14,008, while earnings for the highest 10% began at £51,620. The Ashe data does not reveal figures for individual percentiles, but the recent Hutton Review into Fair Pay exposed a further skewing of earnings at the high end, where the top 1% of earners have seen their pay soar against both the top 10% and the median salary.

So median wages are £25k and avg house prices are roughly £160k.

Doesn't look like house prices are going to be going up astronomically any time soon unless of course we get 50 year mortgages.

[Democorruptcy]

The median gross annual salary for full-time employees in the UK rose by just 0.3% to £25,879 in 2010, according to the latest Annual Survey of Hours and Earnings (Ashe), published today by the Office for National Statistics (ONS). Median gross full-time weekly earnings were £499, up 2.1% from 2009.

So median wages are £25k and avg house prices are roughly £160k.

Doesn't look like house prices are going to be going up astronomically any time soon unless of course we get 50 year mortgages.

OK I'll bite.

Why is the annual +0.3% but the weekly +2.1%

Edited December 8, 2010 by Redhat Sly

[Georgia O'Keeffe]

OK I'll bite.

Why is the annual +0.3% but the weekly +2.1%

Its private / public groupings

The annual increases of 0.3% is in the private sector, the real wealth producers ie the public sector are seeing weekly increases of 2.1% in line with their value as it should be.

[Killer Bunny]

So 4.2% real cut vis a vis RPI... Nothing to worry about.

[Democorruptcy]

Its private / public groupings

The annual increases of 0.3% is in the private sector, the real wealth producers ie the public sector are seeing weekly increases of 2.1% in line with their value as it should be.

Thank you

So public sector aren't "employees".

[rantnrave]

Doesn't look like house prices are going to be going up astronomically any time soon unless of course we get 50 year mortgages.

I'll say it first... l i a r s l o a n s

One reason we got into this mess in the first place.

[Reck B]

So 4.2% real cut vis a vis RPI... Nothing to worry about.

Well I'm not sure about you, but given all this extra disposable income I'm off out to buy stuff for xmas.

iPads all round.

[longtomsilver]

My wife got a two year pay deal this year 5% 2010 and 5.25%. She had to sign a new clause in her contract that stated she'd be willing to relocate to any of the companies offices in EMEA stick and carrot springs to mind.

On the otherhand. I have been told that my job is no longer safe and a consultation period is to start in the new year. Chuffed to bits as it means i'll get 3months payoff and can sign on the dole for six months. I had intended to leave anyway

[zilly]

Those who think inflation will stabilise house prices are deluded.

Price inflation without wage inflation means people have less money to spend, and certainly no way of saving for a deposit.

10% gas price rise next year isn't it?

Makes me wonder how much more people can take in the UK.

[Panda]

Wages wages wages, the very most imnportant factor in our HPC equation.................................

Next interest rates

http://www.zerohedge.com/article/mortgage-rates-go-parabolic

only way is up.....................

Wages either stagnant or falling

Unmployment rising, jobs available poorly paid,

VAT up

NI up

40% tax threshold down

Food up

Energy up

Living cost just f00kin up........................

House selling prices, well, it ain't rocket science........................

[Democorruptcy]

No. Most people have this all wrong. You expect them to behave like "Public Servants" as if they were your own slaves. The fact is you exist merely to feed them. Gottit?

I just meant "employees" as a way to differentiate between private and public from that article.

Not being part of the public sector I know my role in life. It is to pay more for decreasing services to protect their massive pay and pensions. QE has locked their pay and pensions in.

[rantnrave]

Those who think inflation will stabilise house prices are deluded.

Price inflation without wage inflation means people have less money to spend, and certainly no way of saving for a deposit.

10% gas price rise next year isn't it?

Makes me wonder how much more people can take in the UK.

Spot on.

[pilchardthecat]

Wonder what it's like net... after all the various tax credits and what not are added in

[Georgia O'Keeffe]

Wonder what it's like net... after all the various tax credits and what not are added in

£4,687,525 and 44p

[Normal]

So median wages are £25k and avg house prices are roughly £160k.

Male full-time, median £28,091 which is -0.6% on the year.

Male full-time, mean * £35,814 which is +0.5% on the year.

Female full-time, median £22,490 which is +1.7% on the year.

Female full-time, mean £26,467 which is +1.9% on the year.

So, the "gender gap" is closing.

* as used by Halifax on their Price-Earnings ratio. Note that their last release had this figure estimated at £36613.

Some revision clearly needed!

[northwestsmith2]

http://www.guardian.co.uk/money/2010/dec/08/annual-earnings-standstill-ons-pay-survey

So median wages are £25k and avg house prices are roughly £160k.

Doesn't look like house prices are going to be going up astronomically any time soon unless of course we get 50 year mortgages.

HSBC will do a 160K house , 20K deposit 4.99% fixed for two years then variable. Repayment.

Half (49.5%) the median FTE net income will be going to the bank. £185pw mortgage, £185pw to live on.

It's very close to still being better off on benefits especially with kids and a partner who isn't working, having to

save up 20K in cash would be impossible without help from family/parents.

Edited December 8, 2010 by northwestsmith2

[rantnrave]

Imagine a world where train fares increases etc were all linked to the rise of average wages rather than RPI...

[leicestersq]

This doesnt look good for state finances either.

The only way tax receipts are going up is if wages go up. Remember the plan for the Tories was to pare down the deficit by raising more tax as incomes rose.

Well incomes dont appear to be playing the game. Which is a bit of a pity because pensions are going to be linked to RPI or wages, whichever is the higher. Given that wages are lagging, then they will get an RPI increase, and given that there will be more of them claiming more, that deficit is going to get bigger.

I wonder what the after tax figures are for full time employees? I havent done the maths, but it looks to me that they are going down. More incentive for more people to join the rock and roll and claim their free house.

I cant see the yield on the ten year bond falling anytime soon.

[fellow]

Wages wages wages, the very most imnportant factor in our HPC equation.................................

Next interest rates

http://www.zerohedge.com/article/mortgage-rates-go-parabolic

only way is up.....................

Wages either stagnant or falling

Unmployment rising, jobs available poorly paid,

VAT up

NI up

40% tax threshold down

Food up

Energy up

Living cost just f00kin up........................

House selling prices, well, it ain't rocket science........................

Benefits down

Savings down

Credit down

Sentiment down

[wonderpup]

Remember the plan for the Tories was to pare down the deficit by raising more tax as incomes rose.

Are these the same Tories who believe in 'flexible' labour as the route to a competitive economy?

[ccc]

As others have said, and as many of us have been saying for years - wage inflation is key. You don't pay your mortgage/rent with the price of tomatoes. You pay it with your wages.

IMO for those sitting on a wad of cash: low/negative wage inflation + high (Generally cost push) inflation = seriously good news re. house prices.

The only big potential spanner in the works is if the monetary system completely collapses. Whilst that is a possibility - not really something worth worrying about.

[MrPin]

Are these the same Tories who believe in 'flexible' labour as the route to a competitive economy?

Yes, I think that is correct! Flexible capital will go where the market needs, and flexible labour might just ****** off elsewhere for a better deal! I don't think that's what they had in mind!

[council dweller]

Surely if you factor in the massive increase in P-T workers it would show a minus?

Seems to me that this must be covered up otherwise it's game over.

What to do?

[Executive Sadman]

Im surprised theyre that high, i thought the median was £17-18k, and the mean around £25k.

What the mean now? Anyone know?

[Executive Sadman]

nm, saw Haras post.