UK employers see slight fall in pay awards

Peak growth: People walk past shops with the London financial district in the background. Nearly all employers in the UK have noted pressure to increase pay deals, with the majority citing inflation, labour shortages and the need to offer competitive pay. — Reuters

LONDON: British employers expect pay settlements over 2023 as a whole to average 5%, down slightly from the 32-year high of 6% recorded during the three months to the end of February, new industry data show.

“Our forecast indicates that pay awards may have reached their peak and will settle throughout the course of the year,” said Sheila Attwood, senior content manager at XpertHR.