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gruffydd

Boe's Worst Fears Come True - Higher Ir's Here We Come

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Still waiting to hear of any rises at my company, as we are basically a service, we are having to hold the price to clients to remain competative, which means no rise for us. So the bosses say.

Rises are for Fat cats, politicians and public workers only these days :angry:

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Still waiting to hear of any rises at my company, as we are basically a service, we are having to hold the price to clients to remain competative, which means no rise for us. So the bosses say.

Rises are for Fat cats, politicians and public workers only these days :angry:

Sadly I must agree. Wage rises in from my employer (a FTSE100 company) will range from 0-4.2%.

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Well I am a public sector worker who got 2.5%, which has only just been agreed for last year. So in effect, after taking account of inflation, I got zilch. Lay off public sector workers!

Indeed, in the public sector your pay is inversely proportional to your actual worth, getting rid of a few (hundred thousand) useless jobs in public sector would work wonders.

I would guess they're already running out of fictional job titles as things stand.

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Guest Bart of Darkness
Lay off public sector workers!

Keep the "doers", get rid of the layers of pointless administrative fuff (i.e. those advertised in The Gruniad).

Of course, the opposite usually happens. :(

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"Lay off the Public workers"

Hear Hear! i happen to be one too, and most of us work hard to help people. Of course if you are talking about the pointless layers of management we have then yes, a lot of dead wood could be got rid of there.

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Well I am a public sector worker who got 2.5%, which has only just been agreed for last year. So in effect, after taking account of inflation, I got zilch. Lay off public sector workers!

At least you'll gat a decent Pension - paid for by the Taxpayer. I believe 25% of Council Tax is earmarked for so called Public sector workers. :rolleyes:

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Just a quick question, but what is the effect on the economy of people taking second jobs, or garage mechanics doing cash in hand jobs on the side? More and more people i know are looking for an additional income because one job doesnt give them enough to get by/live comfortably...

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my wife is one of those public sector workers you lot all go on about. She got about 15% this year. This is mainly because were she works they have big problems with staff retention. Everyone leaves to work in the private sector where pay is better.

On the other hand, in my company pay rises range from 0% to 0% this year. :(

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Well I'm in the private sector and have just received about 6%. :D

Before you get too smug it depends what your base was! If it's say 30k thats only about £20 a week extra after tax!

Not exactly going to change your life.

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At least you'll gat a decent Pension - paid for by the Taxpayer. I believe 25% of Council Tax is earmarked for so called Public sector workers. :rolleyes:

The exact figure is 6% of council tax goes to public sector pensions.

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Still waiting to hear of any rises at my company, as we are basically a service, we are having to hold the price to clients to remain competative, which means no rise for us. So the bosses say.

Rises are for Fat cats, politicians and public workers only these days :angry:

Spot on, wage push inflation means that the companies in the uk have to charge more for their serivices then in foreign countries. These are foreign countries that we are already struggling to compete with.

with jobs heading abroad the only way we can compete is with a devalued pound, which is all higher wages will give us.

As our companies struggle in harder markets with higher salaries outsourcing of jobs and for services and goods abroad will accelerate.

the MPC were not joking that higher wages would lead to higher IR's here.

They have no other choice.

wage push inflation was the engine that bought all previous booms to 1989 back to affordable levels. That it did so whilst bringing the country into extended periods of recession is a lesson not easily forgot.

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Before you get too smug it depends what your base was! If it's say 30k thats only about £20 a week extra after tax!

Not exactly going to change your life.

And certainly won't change your life when it'll all be sucked up by higher gas/electricity/council tax etc.

If you take the CPI measure and drop all non-essentials out I wonder what the figure would be?

Has anybody got any data on average consumption of mandatory stuff: Food / Energy / Taxes etc.

And also inflation in these areas...

might be interesting to see.

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The MPC have stated that if Wages increase by over 2.5% across the board they will raise IR's

Meaning...?

Well

We are lagging the USA already...

Which way for IR's now..?

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I'm starting to see more wage pressures emerge in Australia too. Queensland train drivers on strike a week or two ago, Tasmanian bus drivers on strike next week, refrigeration tradesmen locally getting nearly 20% according to one I spoke to, public service wage rises above the CPI measure of inflation. Bit by bit it's happening.

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wage push inflation was the engine that bought all previous booms to 1989 back to affordable levels. That it did so whilst bringing the country into extended periods of recession is a lesson not easily forgot.

Wage inflation is the one kind of inflation the BoE can't easily hide. The problem is that by the time wages start to inflate it's far too late to do anything... rates have to go far higher to reduce wage inflation than they would have done to reduce price inflation, because for wages to rise they've had to let inflation build up for long enough for it to work through to general price inflation and piss off enough people that they start demanding pay rises.

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wage push inflation was the engine that bought all previous booms to 1989 back to affordable levels. That it did so whilst bringing the country into extended periods of recession is a lesson not easily forgot.

I wouldn't be so sure about that. I recall more than one <30yo friend saying "oh, you salary will always go up", as though this kind of thing is a painless solution for all concerned.

Edited by megaflop

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Personally, if I was planning to stay in the UK I'd be trying to find a job that paid at least 10k more, just to put me back to where I was 3-4 years ago in spending power... and that's not even including the insane cost of housing here.

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I wouldn't be so sure about that. I recall more than one <30yo friend saying "oh, you salary will always go up", as though this kind of thing is a painless solution for all concerned.

Yeah but do your friends realise that if their salary has gone up 2% one year, but inflation is 2.5% for that year, then they are actually having a pay cut in terms of what they can buy with their money?

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Indeed, in the public sector your pay is inversely proportional to your actual worth, getting rid of a few (hundred thousand) useless jobs in public sector would work wonders.

I would guess they're already running out of fictional job titles as things stand.

I am a diversity outreach housing development monitor monitor. Don't tell me I am not worth my £125,000 p/a. :o

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  • 301 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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