Unions say that public sector is lagging in pay stakes

PUBLIC-sector workers are being made "scapegoats" for the financial crisis, according to union leaders who claim a pay gap is emerging between private and public workers.

A study by Incomes Data Services (IDS) showed that in the three months to the end of April, median settlements in the private sector were worth 3 per cent, while for public- sector workers it was zero.

TUC general secretary Brendan Barber said: "This shows that real pain is being inflicted on public-sector workers. With inflation running high, public- sector pay freezes amount to a harsh real-terms cut in wages.

"By forcing through pay cuts and seeking to increase pension contributions on top of heavy job losses, the UK government is making public servants the scapegoat for a financial crisis they played no part in causing."