In the News
UK workers suffer biggest hit to real wages since records began

17th August 2022
For the majority of workers in the UK, wages are not keeping pace with prices.
This short video from Sky News is a handy clip to use when teaching about the difference between nominal and real wages.
Average real wages — which account for inflation — fell by 3% between April and June 2022 compared with the same period last year
But it is not simply a case of businesses being able to offer their employees a wage rise to compensate for the rising cost of living.
Many small and medium-sized enterprises are struggling to achieve an operating profit at a time of rising input costs.
These are indeed tough times for the economy. Stagflation has returned.
Soaring inflation means real wages are falling, in the biggest pay squeeze in decades.@JaneDodgeC4 looks at the strain on businesses and their workers from the skyrocketing cost of living crisis.https://t.co/LRjIlwlDAj
— Channel 4 News (@Channel4News) August 16, 2022
Here is the view from the head of the UK Trades Union Congress
“Why is it always working people who have to get their pay packets hammered whenever we’re in a crisis?”
— Channel 4 News (@Channel4News) August 16, 2022
TUC General Secretary Frances O'Grady criticises "soaring" dividends payments as real wages collapse in the cost of living crisis. pic.twitter.com/8irJEdywlg
You can find a video of the extended discussion here
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