Laura Sharman 12 May 2017

Public sector pay cap will ‘cost economy £16bn by 2020’

The 1% cap on public sector workers will cost the UK economy £16bn by 2020, new figures from GMB have revealed.

The analysis shows that the average public sector worker will be £3,300 worse off as their salaries will be kept below inflation.

GMB said a recent survey also showed that 75% of voters supported ending the cap, one of the proposals put forward in Labour’s draft manifesto.

Rehana Azam, GMB national secretary for public services, said: ‘These figures show the public sector pay squeeze is not only cruel and unnecessary – it’s completely self-defeating.

‘Each and every public sector worker – from paramedics and teaching assistants to cleaners and council officers - will be £3,000 out of pocket if this cap is allowed to continue.

'That’s money they need for food, bills and travel from them and their families. But it’s also pinching £16bn from our economy, suppressing growth, and jobs.’

SIGN UP
For your free daily news bulletin
Highways jobs

Senior/Principal Regeneration Officer

Fareham Borough Council
£45,465 - £55,379
Our town centre regeneration is moving from planning to delivery, and we're looking for someone who wants to help make regeneration happen. Fareham, Hampshire
Recuriter: Fareham Borough Council

Strategic Leads Divisional Reporting and Assurance

Tower Hamlets London Borough Council
£87,249 to £95,382
As a Strategic Lead, you will play a central role in the next phase of this journey. We are seeking an ambitious Tower Hamlets, London (Greater)
Recuriter: Tower Hamlets London Borough Council

Highways Asset Manager

City of York Council
Grade 11, Levels 1 to 4, £52,290 to £59,512 per annum
You will be experienced in working with active travel and highways assets York, North Yorkshire
Recuriter: City of York Council

Highways Asset Engineer

City of York Council
Grade 9, Levels 1 to 4, £39,473 to £44,263 per annum
Working as a key member of the Highways Asset team and reporting directly to the Highways Asset Manager York, North Yorkshire
Recuriter: City of York Council

Allocations Team Leader Housing

North Yorkshire Council
£39,481 to £44,253 pro rata, per annum
Would you like to play a key role in helping people access affordable housing across North Yorkshire? Richmond, North Yorkshire
Recuriter: North Yorkshire Council
Linkedin Banner