23 October 2017
Figures requested by the GMB union have revealed that public sector workers’ wages have fallen below those of their private sector counterparts.
The public sector traditionally pays a higher average wage than the private sector, and this so-called “premium” is often called upon to rationalise austerity measures.
But with public sector workers earning an average of 0.6% less than their private sector peers in similar roles, the GMB has argued the 1% pay rise cap should be lifted.
The Institute of Employment Rights recommends that pay rises across all sectors are agreed through sectoral collective bargaining processes, as is the case across much of Europe.
This system would see trade unions and employers’ associations negotiate at industry level for minimum labour standards across their sector, which can be built upon at enterprise level.
Our experts – 15 leading lawyers and academics, who authored our Manifesto for Labour Law – propose that collective agreements should cover all aspects of the employment relationship and labour strategy, including wages, conditions of work, apprenticeships, training and dispute resolution procedures.