In
the three months to 31 August 2003, basic pay settlements have stayed around 3
per cent, according to the independent
IRS Pay Databank from the Industrial Relations Services (IRS).
IRS
researchers have collated the details of 49 basic pay awards with effective
dates in June, July and August 2003, covering just over 240,000 employees.
At
3 per cent, the IRS headline measure (the mid point in the range of basic
awards) has now remained unchanged for five successive quarters – the longest
period of settlement stability since November 2001.
Other
key findings include:
–
Half of basic awards are between 2.5 per cent and 3.4 per cent
–
Public sector deals continue to outstrip those in the private sector, with the
median basic settlement in the 12 months to August 2003 of 3.5 per cent,
compared with 3 per cent in the private sector.
–
The 3 per cent private sector benchmark is replicated across both manufacturing
and service sector companies. The median basic award in the service sector has
been pitched at 3 per cent in each of the eight rolling quarters to August.
Among manufacturers, awards have focused on 3 per cent in each of the last five
months.
IRS
Pay and Benefits Bulletin Editor, David Carr that with inflation averaging 3
per cent this year, there had been little or no growth in actual incomes and
that situation was unlikely to change in the coming months..
He
said: “With nominal earnings growth forecast to pick up only slowly, an upturn
in the pace of real income growth is more likely to stem from the effects of
falling inflation.”
