Pay pressures ‘not a major worry’

UK COMPANIES do not believe that workplace disputes or pay pressures will hit their chances of growth this year, according to new research.

A survey of 200 firms by the EEF manufacturers organisation (formerly the Engineering Employers’ Federation) showed only one in 20 worried about pay, while virtually none mentioned disputes as a potential problem. Shortages of raw materials, the financial crisis and access to finance were bigger problems for manufacturers, the study said.

A separate survey of 76 pay settlements showed an average rise of 2.4 per cent in the final quarter of 2011, with one in six involving a wage freeze.