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Private sector wages rise while public sector faces pay freeze

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While office workers in the public sector face pay freezes, those employed by private firms received a 2.6 per cent increase in the three months up to September.

This means the pay gap between the two sectors is continuing to rise as the economic downturn continues to affect staff across the country.

Despite this the information which was released by Incomes Data Services (IDS)shows that even the increases fell short of the level of inflation.

An increase in the national minimum wage has not improved the situation and unions are saying unless it is increased again to at least counteract inflation and to above £8 it will not be a living wage.

Ken Mulkearn, editor of IDS Pay Report, said: “Our own figures on pay settlement levels appear to reflect official statistics on average weekly earnings from the ONS which also show a gap between the private and public sectors.”