Construction sector nets greatest pay increases

Construction industry pay rises have been the highest in the private sector
for the third consecutive year.

According to the IRS Private Sector Pay in Perspective, 2001/02
survey, the construction sector is also the only sector to see a year-on-year
increase in pay deals.

It was the only sector to gain an increase in the median basic
pay award.

In the year ending 31 August 2002, private sector pay awards as
a whole edged downwards – from 3 per cent in September 2001 to 2.5 per cent by
the end of the bargaining year.

According to David Carr, pay and benefits editor for IRS
Employment Review, the downward drift in settlements reflects a combination of
sluggish economic growth, weak corporate profitability and a benign
inflationary environment.

The overall private sector median for the period was 2.5 per
cent, compared to 3.1 per cent in the 2000-2001 wage round.

Carr said: "Pay awards in the 2001-2002 bargaining year
were highest in the construction sector, where the median deal was 5 per cent,
up from 4.5 per cent a year ago. Significantly, construction is the only sector
where the median settlement this year exceeds that of 2000-2001.

"At the foot of the settlement league table lies
publishing and broadcasting. The sector has been heavily affected by the
downturn in advertising revenue and pay deals have slumped."  

www.irsemploymentreview.com

Business sector (no. of settlements)                            2001/02
Median Pay Award               2000/01 Median
Pay Award                

Call centres (105)                                                         3%
                                                      3.1%

Chemicals (93)                                                             3%
                                                      3.1%

Construction (15)                                                         5%
                                                      4.5%

Electricity, gas and water (44)                                       2.5%
                                                   3.1%

Engineering and metals (86)                                          2.6%
                                                   3%

Finance (74)                                                                 3.5%
                                                   4%

Food, drink and tobacco (51)                                       2.8%
                                                   3%

General manufacturing (43)                                           2.6%
                                                   3.0%

General services (110)                                                  2.6%
                                                   3.2%

Hotels and catering (29)                                                2.5%
                                                   3.0%

Paper and printing (34)                                                 2.5%
                                                   3.0%

Publishing and broadcasting (33)                                   2.2%
                                                   3.0%

Retail and wholesale (65)                                              2.5%
                                                   2.9%

Textiles (22)                                                                 2.3%
                                                   2.5%

Transport and communication (90)                                2.6%
                                                   3.3
%

Voluntary sector (77)                                                    2.5%
                                                   n/s

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