19 September 2012

Gap narrows between public and private sector pay


Laura Sharman

The gap between public and private sector take home pay is now £62 - the closest it has been this year – according to the latest figures.

The VocaLink Take Home Pay Index shows that public sector workers still have the higher wage packets, taking home an average of £1,567 a month, compared to £1,505 in the private sector. However, the gap in real terms between pay is now less than half the difference from the start of the year, with pay freezes continuing to restrict wage growth.

Figures from the Office of National Statistics reveal that unemployment remains at 8.1%, about 2.59 million people.





Your comments

Presumably the 1.6M on JSA are excluded from the comparison! In management - no contest - a ratio of 10:1 is discernible in favour of the private sector. ?62 or 4% is probably within the statistical variability given the difficulties of comparison and weighting. Maintaining good pay and T&C's in the public sector is an important factor in resisting the tendency of the private sector to constantly attack wage costs to inflate profits. Study privatised public services.

Patrick Newman, ex local government, Stevenage , Added: Monday, 24 September 2012 11:36 AM

Which is why we in the Public Sector are fighting so hard for our pensions, Stephen. There's no reason why the private sector can't get just as organised - in fact I think membership of unions is growing - but calling for conditions to fall to the lowest common denominator out of pure spite is embarrassing, and a quintessentially English reaction our beloved tories take advantage of every cycle

Steven Chandler, Added: Friday, 21 September 2012 09:07 AM

It does depend on the sector. In Finance there's not so much difference between the two and even then it depends on the Council. Up to about ?50k Public is better for the seniority of post required. After that yes some of the big companies may pay more but there are a lot of FD's on ?50-70k with a lot more responsibility than in the Public domain. Receptions are better paid than Private going to the other extreme but one thing is definite the Private pensions if you've got one aren't as good.

Stephen Reimer, Added: Thursday, 20 September 2012 12:36 PM

I do like this one, it's nothing but a joke - the figures make no effort at comparing like for like. I work in Streetworks and have twice been offered work as reinstatement supervisor - by 2 of the worst private companies I've ever had the misfortune to have to deal with - and the lowest salary started at ?17,000 above my own. I'm far more qualified than most of these in the private sector, and my duties extend far beyond reinstating, but I want to work for the common good, as do my colleagues

Steven Chandler, Added: Wednesday, 19 September 2012 03:51 PM

Public Sector's professionals like Architects and Structrual Engineers are paid by far less than their colleagues in the Private Sector. For example, a Senior Structural Engieer in the Private Sector earns by far more money than a Structures Manager (2 levels higher) working in the Public Sector. If the difference, as claimed in report is only ?62 then surely we in the Public Sectors are entitles to an extra back-pay.

A. Ahmed, Added: Wednesday, 19 September 2012 03:31 PM

The web site for the Index clearly state that they use just the monthly salary paid and the number of receipients to calculate the figures, does not indicate if any consideration is taken of whether the roles are similar. Also adds that take home pay is down across all sectors. So Michael Dewar/J Smith/ANM (please delete ones which are not being used by LocalGov today)please check facts before making comments.

Cynic (experienced optimist), Added: Wednesday, 19 September 2012 01:39 PM

....and of course it must be really 'tough' having to spend all day finding negative things to say about the Public Sector. Try working in an organisation the Central Government is trying to destroy!

Tony Huby, Added: Wednesday, 19 September 2012 01:18 PM

Of course, the lowest paid private sector workers no longer work; lost their jobs thus the comparison is made against the remaining higher paid ones. Of course, on top of the bigger salary is the gold plated pensions, the extensive holidays, all these courses to attend our our expense, and your annual allowance for sick days. Gees life must be tough in the public sector.

Michael Dewar, Added: Wednesday, 19 September 2012 12:51 PM



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