Employees in the manufacturing sector are seeing some of the best gains from Britain’s economic recovery according to the latest data.
EEF released data showing pay rises at manufacturing firms are running at an above inflation 2.6%. Up from 2.4% last year and higher than in other parts of the economy.
The group’s survey of 331 manufacturing firms also found that the number of pay deferments and wage freezes fell again.
Lee Hopley, chief economist at EEF said: “After many challenging years, manufacturers are also now literally paying their employees back for their support to keep jobs and businesses going”
“Manufacturing pay continues to run ahead of the wider economy with signs that the pressure on household budgets, at least for employees in industry, is starting to unwind.”
In comparison, the Office for National Statistics reported at the beginning of August that average pay rose across the workforce by 0.6% year on year in the three months to June, the lowest annual growth rate since records began in 2011. And that total pay, contracted by 0.2%.
