When Is a Pay Rise Reported as A Pay Cut? When it refers to benefits!
In 2011 the average wage rose at a rate of 1.4% with public sector workers facing a pay freeze. During 2011 the annual inflation during the year was 5.2% so wages rose more slowly than RPI inflation. Benefits rose by the September RPI figure of 5.2%. When Is a Pay Rise Reported as A Pay Cut? When it refers to benefits! In the December 2012 Autumn Statement, George Osborne announced that benefits would rise by 1% in 2013 and for the following 2 years. This was greeted by a wave of responses claiming huge cuts, benefits being slashed, decimation of welfare and the like. Did we see any such howls of protest when wages were rising more slowly than prices but benefits were still being automatically uprated by inflation? Did workers shout about a 5.2% pay cut they faced? No I think not. Remember, benefits are NOT being cut. Welfare is NOT being slashed. Benefits are still rising and are not being cut. Wages in the NHS and local councils have been frozen without an annual incr...