Wages increase by 0.6 per cent, 0.9 per cent behind inflation September 17, 2014 The gap between wages and consumer price inflation is still stubbornly wide, official figures published this morning showed. Earnings not including bonuses were up 0.7 per cent over the 12 months to the end of July, but inflation is almost a percentage point higher at 1.5 (1.6 during July). Unemployment data was also out this [...]
UK unemployment falls to 6.2 per cent – its lowest since 2008 September 17, 2014 The UK's headline unemployment rate fell to 6.2 per cent in the three months to the end of July – its lowest level since 2008. The figure was roughly in line with expectations, having fallen steadily as the economy recovers, although wages are yet to catch up. There are still 2 million unemployed and 30.6 [...]
UK employment rises by second fastest rate in the EU (after Hungary) September 12, 2014 The United Kingdom enjoyed the EU's second largest rise in employment in the 12 months to July, with the annualised rate up 2.7 per cent (seasonally adjusted). Only Hungary – at 3.1 per cent year on year – saw a faster rise. Eurostat released figures for employment rates across the European Union today, showing second [...]
Carney: Low wages have brought surge in new jobs September 9, 2014 UNEMPLOYMENT has dived thanks to low wages, Bank of England governor Mark Carney said yesterday, arguing that poor pay growth had had some positive effects in the UK. But as joblessness has fallen rapidly, pay is likely to start rising at last as firms have to compete for staff once more. “Although the adjustment has [...]
Forget bonus caps: Why real executive pay reform must tackle short-termism September 9, 2014 EXECUTIVE pay is a high-profile topic which almost everyone has an opinion about, and many believe the entire system is broken. But despite being well-intentioned, many suggested reforms may not be targeting the elements of pay that are most critical for shareholder value and society. Much of the debate is on what I call a [...]
Mark Carney to discuss wages in speech at Trades Union Congress September 9, 2014 Mark Carney will discuss his plans for real wages in an address to the Trades Union Congress (TUC) later today. The prospect of an interest rate rise continues to shadow the governor, and members of the TUC are expected to tell Carney to reject a hike until real wages show signs of strengthening. The Canadian [...]
EU bonus cap troubles: UK gave out the world’s biggest bonuses in 2013 September 8, 2014 UK banks could face with action from the European Commission if they attempt to sidestep the new EU bonus cap coming in this year. The new rule, which will apply to bonuses awarded from 2014 onwards, caps bankers' bonuses at a year's basic salary. If shareholders agree, this can be increased to double their [...]
City firms pay higher wages as labour market hots up September 7, 2014 City firms are on an employment drive as the economic recovery takes hold, according to recruiters Morgan McKinley. Growing demand for staff means finance businesses are paying higher salaries to attract the best workers. Vacancies were 18 per cent higher in August compared to the same month last year and salaries for new jobs grew [...]
Europe vows to stop bank bonus cap avoidance September 7, 2014 The European Union’s chief financial services officer pledged last night to stop banks from sidestepping the bloc’s cap on bonuses. Michel Barnier said that the EU’s probe into allowances that some banks have started to pay staff must wrap up by the end of September. Already banks including Barclays, HSBC and RBS have implemented systems [...]
EU bonus cap: UK’s challenge reaches final stage in court September 7, 2014 The UK's challenge to the European Union's bonus cap plan will be heard in the European Court of Justice tomorrow. This will be the final stage in the case opened by the UK Treasury last September. The new rule, which is supposed to be imposed on all bonuses awarded from 2014 onwards, caps bankers' [...]