Pay freeze for 16 million employees in 2010

Kirsty Ayre, partner at Pinsent Masons, comments on the contractual position on pay freezes and pay reviews.

More than half of the UK’s workforce – 16 million workers – do not expect a pay rise in 2010, a survey has found.

Research carried out by YouGov also found that a further nine million workers expect a pay rise, but think it will be below the level of inflation.

Of those expecting a pay rise, civil servants, teachers and nurses expect the smallest increase.

And according to the findings, one-third of UK consumers think they will be worse off in 2010 than in 2009, the BBC reports.

Ann Robinson, of utilities comparison company uSwitch which commissioned the survey, said: “The government is toying with measures such as raising taxes to reduce the public deficit, which will have a direct impact on personal finances.

“When coupled with lower than anticipated salary increases, it can only mean we are in for a bumpy ride.”

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