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

Administrative Support Assistant

Durham County Council
Grade 4 £25,583 - £26,824
Are you organised, proactive, and great at building relationships? Do you enjoy keeping things running smoothly behind the scenes? This is your chance Durham
Recuriter: Durham County Council

Positive Journeys Support

Durham County Council
Grade 5 - £26,403 - £28,598
We’re expanding our Positive Behavioural Support Team in County Durham and currently have one 26-hour over 4 days, 32.5 Hours at our Chester-le-street Barnard Castle
Recuriter: Durham County Council

Class Teacher- SENCO

Durham County Council
£32,916- £45,352
Class Teacher- SENCO M1-M6 + TLR2b (£5,869) £32,916- £45,352 (+£5,869) Permanent, Full Time Required to start September 2026   Framwellgate Moor Prima Durham
Recuriter: Durham County Council

Class Teacher

Durham County Council
£32,916
Classroom Teacher M1 (£32,916) Full time - Fixed Term contract until 31st August 2027 Required to start 1st September 2026 pending DBS clearance.   Th Durham
Recuriter: Durham County Council

Building Repairs and Minor Works Technician

Durham County Council
£30,024 to £33,699 p.a. Grade 7
An exciting opportunity has arisen for an office based role, Building Repairs & Minor Works Technicians, to join our existing Repairs and Maintenance Durham
Recuriter: Durham County Council
Linkedin Banner