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REPEAT: MNI DATA: UK Aug Pay Awards Rebound: XpertHR

MNI (London)
Repeats Story Initially Transmitted at 23:01 GMT Sep 26/19:01 EST Sep 26
--UK June-August Pay Median Pay Deals 2.5% 
By Jai Lakhani
     LONDON (MNI) - UK median pay deals rebounded to 2.5% in the three months
through August after falling to 2.3% in the July period, a survey by XpertHR
found. 
     The median pay award across the whole economy was 2.5% between June and
August, with the middle half of pay awards (the interquartile range) worth
between 2.0% and 3.0%.
     The three months to August represents the end of the key pay bargaining
months. More than 7 in 10 pay settlements recorded on XpertHR's pay databank are
effected in the first four months of each calendar year. 
     --PERFORMANCE RELATED PAY SLIGHTLY HIGHER
     Based on a sample of 289 pay deals, organisations that operate
performance-related pay increased their paybill by a median 2.6% to fund these
awards. 
     On a sector basis, pay awards in the manufacturing/production sector were
strong at 2.5% in the three months up to August, but weaker than the three
months up to July where it was 2.9%. The services sector median pay award of
2.0% remained unchanged from the three months to July but down 0.5pp from the
June rolling three months. 
     "As the key pay bargaining months of the year are now behind us, we can
confirm that 2.5% is the headline pay award for the 2017/2018 pay bargaining
year. This marks half a percentage point uplift on the same period a year ago,"
said Shelia Atwood, XpertHR pay and benefits editor Shelia Atwood. 
     The Bank of England Monetary Policy Committee's central forecast is for a
pick-up in earnings growth this year. However, the August inflation report
projections were revised down from the BOE's May projections. Headline average
weekly earnings growth were revised down from a forecast rise of 2.75% by the
end of 2018 to 2.5%.  
--MNI London Bureau; +44 203 865 3828; email: jai.lakhani@marketnews.com
--MNI London Bureau; tel: +44 203-586-2225; email: les.commons@marketnews.com
MNI London Bureau | +44 203-865-3812 | les.commons@marketnews.com
MNI London Bureau | +44 203-865-3812 | les.commons@marketnews.com

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