Demand for skilled workers to push up salaries
Matthew Pinto-Chilcott of Consensus HR comments: “With the current strikes taking place, when writing this blog, is it hardly surprising that Demand for skilled workers to push up salaries ? This latest article from The Times discusses that it is predicted that private sector employers will get a 5% increase in 2023, compared to the public section getting 2%. Has your business started to look at what your pay review for the year and what you can afford? Has your business carried out any salary reviews within your area of business to see what the current rate of pay is? Whether this be high, median or low in relation to your competitors? In order to keep top talent, pay is one of the main drivers along with all the other areas of HR such as training and develoment, reward, culture etc.”
NEWS ARTICLE:- Demand for skilled workers to push up salaries
Demand for skilled workers is likely to push up salaries this year. A poll from the Chartered Institute of Personnel and Development (CIPD) shows that more than half of British businesses expect to increase salaries to “stay competitive.” The CIPD’s quarterly employment report shows that, on average, employers expect pay to increase by 5% in 2023. While it is predicted that private sector workers will get a 5% rise, public sector workers are expected to receive an increase of 2%. Although seven in ten firms want to hire new staff in the next three months, almost 60% said the workers they were looking for are proving hard to find. To address this, half of businesses have sought to improve the skills of existing staff, while a third have chosen to increase employees’ duties. Some 43% have increased the pay they are offering to lure applicants. Jon Boys, the institute’s senior labour economist, said: “Skills and labour remain scarce in the face of a labour market that continues to be surprisingly buoyant, given the economic backdrop of rising inflation and the associated cost of living crisis.”
The Daily Mail
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