Once a year, Pay and Benefits Bulletin takes stock of the world of pay bargaining. In this special issue, we present the findings of our research.

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Pay & Benefits Bulletin
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  THE EDITOR'S MESSAGE Issue 697  
  PAY FORECASTS FOR 2009
Sheila Attwood, Editor

Once a year, Pay and Benefits Bulletin takes stock of the world of pay bargaining. In this special issue, we present the findings of our research.

We start with the results of our survey of 268 private sector employers, which contains their predictions for pay rises over the coming year. It also looks at the key pressures employers expect will influence how they set their 2009 pay rises.

Our comprehensive review of pay settlement patterns over the past year includes an investigation into how settlements are linked with inflation levels and a special review of performance-related pay.

We also look at the economic measures of most interest to pay setters - inflation, the labour market and earnings growth - and review the predictions of key commentators for the year ahead.

Other useful resources in this issue include:

All of these resources, and details of how IRS collects pay settlement data, can be found on the homepage of the October issue of Pay Intelligence.

The next edition of Pay and Benefits Bulletin will include our sector-by-sector review of pay trends in 2008 and the outlook for pay awards in 2009.

XpertHR Sheila Attwood
Editor,
Pay and Benefits Bulletin

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  PAY PROSPECTS

Pay prospects survey: 2009 pay rises to be worth 3.5%

Our survey of private sector employers investigates: the key pressures on pay settlements in the coming year; predictions on actual pay awards due to be made in 2009; and other reward strategies used to enhance the total reward offering to employees. This in-depth analysis is complemented by a summary of the key findings.

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Economic outlook: High inflation and slow growth

We examine the current widespread economic uncertainty and the ongoing deterioration of credit conditions, and look at forecasts for the key economic indicators of interest to pay setters.

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RELATED ARTICLES ON XPERTHR

Pay Intelligence October 2008

Pay prospects survey: 2007

Economic outlook: May 2008

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  ANNUAL REVIEW

Annual review of pay trends 2008: Pay awards lag behind inflation

In the past year, 3.5% has become established as the new benchmark for pay awards. This replaces the previous benchmark level of 3%, which persisted for an unprecedented period of stability between April 2003 and November 2006. We examine the pattern of pay awards and how they link to inflation. This article also includes our monthly analysis of pay trends with a review of pay awards in the three months to the end of September 2008.

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Performance pay budgets increase by 3.75% in 2007/08

One in six employees has at least part of their annual pay increase determined by performance, according to our analysis of 2007/08 performance-based pay awards.

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Pay bargaining calendar 2007

Pay negotiators concentrate their efforts at particular times of year, but when are these? We look at the spread of pay awards through the year and identify the peak months.

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The IRS pay databank: FAQs

The Pay and Benefits Bulletin team collects more than 1,400 pay deals each year, on which our monthly analyses are based. This article gives you all the information you need on how we compile and analyse the data.

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RELATED ARTICLES ON XPERTHR

Guide to IRS pay statistics

Annual review 2007

Manufacturing pay 2008

Retail sector pay 2008

Finance sector pay 2008

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  DATAFILE

Statistics and forecasts

The datafile contains the most recent inflation, earnings and labour market statistics, pay settlement data and inflation and earnings forecasts. For this issue only, forecasts for inflation and earnings can be found in the economic outlook.

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Economic indicators

Statutory rates

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  MORE FROM IRS...

From the blog

Launched and run by the editorial team that produces XpertHR and the IRS e-journals, the Employment Intelligence blog is regularly updated with news, comment and links to the latest employment developments. Recent posts include:

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Coming soon…

The next edition of Pay and Benefits Bulletin will provide a sector-by-sector review of pay trends in 2008 and an outlook for the year ahead.

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