Personnel Today
  • Home
    • All PT content
    • Advertise
  • Email sign-up
  • Topics
    • HR Practice
    • Employee relations
    • Equality, diversity and inclusion
    • Learning & training
    • Pay & benefits
    • Wellbeing
    • Recruitment & retention
    • HR strategy
    • HR Tech
    • The HR profession
    • Global
    • All HR topics
  • Legal
    • Case law
    • Commentary
    • Flexible working
    • Legal timetable
    • Shared parental leave
    • Redundancy
    • Maternity & Paternity
    • TUPE
    • Disciplinary and grievances
    • Employer’s guides
  • AWARDS
    • Personnel Today Awards
    • The RAD Awards
    • OHW Awards
  • Jobs
    • Find a job
    • Jobs by email
    • Careers advice
    • Post a job
  • XpertHR
    • Learn more
    • Products
    • Pricing
    • Free trial
    • Subscribe
    • XpertHR USA
  • Webinars
  • OHW+

Personnel Today

Register
Log in
Personnel Today
  • Home
    • All PT content
    • Advertise
  • Email sign-up
  • Topics
    • HR Practice
    • Employee relations
    • Equality, diversity and inclusion
    • Learning & training
    • Pay & benefits
    • Wellbeing
    • Recruitment & retention
    • HR strategy
    • HR Tech
    • The HR profession
    • Global
    • All HR topics
  • Legal
    • Case law
    • Commentary
    • Flexible working
    • Legal timetable
    • Shared parental leave
    • Redundancy
    • Maternity & Paternity
    • TUPE
    • Disciplinary and grievances
    • Employer’s guides
  • AWARDS
    • Personnel Today Awards
    • The RAD Awards
    • OHW Awards
  • Jobs
    • Find a job
    • Jobs by email
    • Careers advice
    • Post a job
  • XpertHR
    • Learn more
    • Products
    • Pricing
    • Free trial
    • Subscribe
    • XpertHR USA
  • Webinars
  • OHW+

Latest NewsPay & benefitsPay settlements

Average pay awards for 2017-18 pay bargaining revealed

by Ashleigh Webber 27 Sep 2018
by Ashleigh Webber 27 Sep 2018

The pay bargaining year has ended with pay awards averaging at 2.5%, despite a slight dip in the three months to July.

According to XpertHR, the median pay award returned to 2.5% for the three months to the end of August 2018.

Pay reviews

How to conduct a pay review

How to deal with a pay rise that coincides with an employee’s pregnancy or maternity leave

Yet, despite the increase, pay deals still trailed behind inflation and have done so for two years – the retail prices index increased to 3.5% in August.

The majority of employers had finished making pay awards for 2018 and were turning their attention to reviewing pay for 2019.

XpertHR’s analysis of 91 pay settlements effective between 1 June and 31 August 2018 discovered that 22% of employee groups received a 2% pay increase – the most common pay award.

Six in 10 pay deals (57.3%) were higher than what employees received a year ago, while only 20.6% were lower. Half of the pay deals struck were worth between 2% and 3%.

In the manufacturing and production sector, pay deals were worth 2.5% on average. In the services sector, employees received an average increase of 2%.

A sample of pay awards made in the 12 months to the end of August were also looked at. It found:

  • The median pay settlement was 2.5%, with half of all deals worth between 2% and 3% (based on 1,003 deals). This follows seven years where they hovered around the 2% mark;
  • Organisations with performance-related pay saw a 2.6% increase to their pay bill, on average (based on 289 pay deals);
  • The average value of pay awards in the private sector was 2.5%, compared with 2% in the public sector; and
  • Manufacturing and production firms awarded pay rises ahead of those in private sector services companies (2.6% versus 2.3%).

In July the government announced that more than one million public sector workers – including teachers, the armed forces and doctors – would receive pay increases of between 2% and 3.5%).

XpertHR pay and benefits editor Sheila Attwood said: “As the key pay bargaining months of the year are now behind us, we can confirm that 2.5% is the headline pay award for the 2017/18 pay bargaining year. This marks a half percentage point uplift on the same period a year ago.”

Ashleigh Webber
Ashleigh Webber

Ashleigh is editor at OHW+ and part of the Personnel Today editorial team. Prior to joining Personnel Today in 2018, she covered the road transport sector for Commercial Motor and Motor Transport.

previous post
Majority of staff with ‘minor’ illnesses don’t take a sick day
next post
What’s the role of HR in successful business transformation?

Leave a Comment Cancel Reply

Save my name, email, and website in this browser for the next time I comment.

You may also like

Wages fall 1.2% behind inflation as cost of...

17 May 2022

BBC awards pay increase as pension scheme review...

12 May 2022

Living Wage employers pass 10,000 mark

11 May 2022

Pay transparency: How organisations can break the taboo

5 May 2022

Post Office staff strike over below-inflation pay offer

3 May 2022

Gap between pay and inflation largest since 1984

27 Apr 2022

Union announces ballot for ‘biggest rail strike’

20 Apr 2022

Should organisations embrace pay transparency?

14 Apr 2022

Inflation in March 2022 rises to 7%

13 Apr 2022

ONS: record job vacancies in January to March...

12 Apr 2022
  • Apprenticeships are the solution to your recruitment problems PROMOTED | Apprenticeships have the pulling power...Read more
  • What it really means to be mentally fit PROMOTED | What is mental fitness...Read more
  • How music can help to ease anxiety at work PROMOTED | A lot has happened since March 2020, hasn’t it?...Read more
  • Why now is the time to plug the unhealthy gap PROMOTED | We’ve all heard the term ‘health is wealth’...Read more

Personnel Today Jobs
 

Search Jobs

PERSONNEL TODAY

About us
Contact us
Browse all HR topics
Email newsletters
Content feeds
Cookies policy
Privacy policy
Terms and conditions

JOBS

Personnel Today Jobs
Post a job
Why advertise with us?

EVENTS & PRODUCTS

The Personnel Today Awards
The RAD Awards
Employee Benefits
Forum for Expatriate Management
OHW+
Whatmedia

ADVERTISING & PR

Advertising opportunities
Features list 2022

  • Facebook
  • Twitter
  • Instagram
  • Linkedin


© 2011 - 2022 DVV Media International Ltd

Personnel Today
  • Home
    • All PT content
    • Advertise
  • Email sign-up
  • Topics
    • HR Practice
    • Employee relations
    • Equality, diversity and inclusion
    • Learning & training
    • Pay & benefits
    • Wellbeing
    • Recruitment & retention
    • HR strategy
    • HR Tech
    • The HR profession
    • Global
    • All HR topics
  • Legal
    • Case law
    • Commentary
    • Flexible working
    • Legal timetable
    • Shared parental leave
    • Redundancy
    • Maternity & Paternity
    • TUPE
    • Disciplinary and grievances
    • Employer’s guides
  • AWARDS
    • Personnel Today Awards
    • The RAD Awards
    • OHW Awards
  • Jobs
    • Find a job
    • Jobs by email
    • Careers advice
    • Post a job
  • XpertHR
    • Learn more
    • Products
    • Pricing
    • Free trial
    • Subscribe
    • XpertHR USA
  • Webinars
  • OHW+