Pay awards lagging inflation

Although the latest data from XpertHR shows that median basic pay grew by 4% in the three months to April 2022 – the highest figure since 1992 – this does mean that wage growth is still falling behind the soaring rate of inflation.

Commenting on the figures, XpertHR pay and benefits editor Sheila Attwood said, “The deepening gulf between pay and inflation continues to pose financial challenges to UK employees struggling to keep up with the rising cost of living. Where businesses cannot afford to track wage rises with inflation, employers should consider other support and incentives. From a business perspective this will help with the recruitment and retention of top talent, but more importantly, it ensures staff will receive the support they need to get them through this challenging period.”