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Wage Rises Back To Normal

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There was a talking head from the BCC on Sky News this morning, saying that 3%+ pay rises should be back later this year. If this happens, is that it for any more house price falls? At present, we have asking prices going up, and that is with between 0% and 1% pay rises, so what will happen when pay rises substantially?

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Where is the demand coming from (other than Cameron and Osborne) that will drive this pay inflation? Public sector is in for another 5+ years of austerity, private sector isn't a charity.

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Unless the government uses "the recovery" as an excuse to award public sector pay rises and applies pressure to big private companies like multi-nationals to award pay rises.

How they avoid interest rate rises under those circumstances is another question.

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There was a talking head from the BCC on Sky News this morning, saying that 3%+ pay rises should be back later this year. If this happens, is that it for any more house price falls? At present, we have asking prices going up, and that is with between 0% and 1% pay rises, so what will happen when pay rises substantially?

The head of the BCC is a City sock-puppet and bankster shill. His forecasts of recovery are no more to be trusted than George Osborne's. In reality the UK is spectacularly bankrupt, its national debt set to breach 100% of GDP in this parliament and carry on rising to 120-130% within the decade, becoming increasingly costly to finance in the process. Ultimately it will become impossible to service and the country will be left with no alternative but to default.

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Wage raises at 3% and interest rates at 0.5%.

http://www.theguardian.com/uk-news/2014/mar/10/rise-zero-hours-contracts

The scale of the use of zero-hours contracts has been revealed after a revision of official figures showed that nearly 583,000 employees – more than double the government's estimate – were forced to sign up to the controversial conditions last year.

A "rising tide of insecurity" in the job market since the last election was allowing employers to turn a "once marginal and niche element of the labour market" into the norm, Labour claimed on Sunday evening.

Still you can have 10% wage increases means feck all if everyone is working zero hours in the week!

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Unless the government uses "the recovery" as an excuse to award public sector pay rises and applies pressure to big private companies like multi-nationals to award pay rises.

How they avoid interest rate rises under those circumstances is another question.

I see Osborne using public sector pay rises as the next pre-election bribe. He seriously is just as good as Brown was.

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Ooohh ohhh - I know the answer to this one!!!!

It's Bankers code for we are devaluing the pound another 25%..

But seriously, as if employers are going to hike wages 3% and then lose sales to overseas competitors because their prices are too high.

Who ever the BCC are they are not credible and have no idea how a globalization works.

Could the government afford a 3% pay rise by hiking tax rates or are they expecting to get more tax from "hard-working" families?

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Google has the real answer

http://www.britishchambers.org.uk/press-office/press-releases/bcc-proposed-minimum-wage-increase-is-a-reasonable-compromise.html

BCC: Proposed minimum wage increase is a reasonable compromise

Executive Director of Policy, Dr Adam Marshall comments on the 3% increase in the National Minimum Wage, revealed by Vince Cable today.

Responding to Vince Cable’s comments to MPs, where he revealed that the Low Pay Commission has recommended a 3% increase in the National Minimum Wage from October 2014, Dr Adam Marshall, Executive Director of Policy at the British Chambers of Commerce, said:

“The Low Pay Commission has to tread a careful balance, recommending changes to the minimum wage that help low-paid employees without undermining employers’ ability to generate jobs and growth.

Now, those minimum wage jobs in retail outlets, supermarkets etc. are primarily going to cause internal inflation - for example you groceries get more expensive. There fore demand should reduce to compensate?

Manufactures employing on the minimum wage are going to become 3% less competitive, add in the compulsory pension contributions then it doesn't look good for exporters - another 20% off the pound would help make this policy 'look' good on paper. I suppose the pound will eventually go to zero value anyhow, so why not just shave more off this year, though difficult to do when you are in a supposed recover.

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There was a talking head from the BCC on Sky News this morning, saying that 3%+ pay rises should be back later this year. If this happens, is that it for any more house price falls? At present, we have asking prices going up, and that is with between 0% and 1% pay rises, so what will happen when pay rises substantially?

What does it matter when British banks are pumping money out like Willy Wonka under the same covenants which governed Stalin?

Yes it will end badly, but when....?

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There was a talking head from the BCC on Sky News this morning, saying that 3%+ pay rises should be back later this year. If this happens, is that it for any more house price falls? At present, we have asking prices going up, and that is with between 0% and 1% pay rises, so what will happen when pay rises substantially?

Millions of public sector workers pay frozen for the next few years, manufacturing workers having to compete with low wage countries to survive, large wage increases are a long way off. <_<

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