OECD figures reveal UK wages have
dropped over ten per cent to join
Greece at the bottom of table
Payroll – credit Matt Brown
Wages in the UK have dropped by
over 10 per cent in real terms since
the 2007/08 economic downturn,
according to a new report by the
Trade Union Congress (TUC).
The decline was equalled only by
Greece among the 34 countries in the
Organisation for Economic
Cooperation and Development
(OECD), with Portugal the only other
country to see a drop.
The figures come from the OECD’s
annual employment report earlier in
the month, which showed wage
growth had been “weak” across all
However real wages increased by an
average of 6.7 per cent across the
OECD between 2007 and 2015, while
in the UK they fell 10.4 per cent.
Germany saw an increase of 14 per
cent and French workers saw an 11
per cent rise.
TUC general secretary Frances
O’Grady said: “This analysis shows
why the government needs to invest in
large infrastructure projects to create
more decent, well-paid jobs. Other
countries have shown that it is
possible to increase employment and
living standards at the same time.”
A Treasury spokesman told The
Guardian the UK’s employment rate
had grown faster than any
other G7 country. “There is more to
do to build an economy and country
that works for everyone not just a
privileged few, and we are determined
to do exactly that,” he said.
Last week’s employment statistics
showed Scotland’s jobless rate
remains higher than that of the UK as
a whole, at 5.5 per cent compared
with 4.9 per cent across the UK.
There was also little sign of growth.
Commenting on the figures STUC
General Secretary Grahame
Smith said reversing George
Osborne’s economic model was a
“With GDP growth flat-lining in the
first quarter, the offshore sector
continuing to struggle and the impact
of Brexit uncertainty yet to be revealed
in official statistics, the STUC remains
of the view that 2016 will be a
particularly difficult year for the
Scottish economy. The further decline
in manufacturing output emphasises
once again that politicians at all levels
would be well advised to resist
hackneyed claims over industrial
rebalancing,” he said.