Public sector workers confused over salary
Despite the fact that Alistair Darling confirmed there would be 1% cap on salary increases in the public sector, many public sector workers still appear to expect a "same again" salary increase in the New Year. In many ways this is a sector of the UK economy which has been removed from the pain of the UK economic downturn but is now starting to realise it is not "in a world of its own".
Quite why workers in the public sector appeal unwilling or unable to accept there will be a pay cap in 2010, and most likely in 2011, is uncertain, but unions certainly have role to play in this particular saga. There is no doubt that the unions are concerned about possible job losses and restricted pay rises and there is a high chance of strike action over the next 12 months if rumoured public sector investment cuts are instigated.
As we have mentioned on numerous occasions, the UK public sector has become bloated and in need of a major restructuring over the last decade. It has become a very secure employment unit for many people, the largest employer in the UK and continues to bleed UK taxpayers dry in the area of salaries and pension contributions. But will the UK government have the nerve to push through major changes?
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