Business News Asia
The Office for National Statistics (ONS) announced that the UK’s wages, including bonuses, rose 6.4% in September-November year on year. This marks the largest increase since records began in 2001, with the exception of the lockdown period and government support measures. Wages excluding bonuses also saw an increase of 6.4% year-on-year during this period.
Economists predict that wages with and without bonuses for September and November rose 6.2% and 6.3%, respectively, year on year. However, when adjusted for inflation, it was found that wages fell 2.6% in September-November year on year.
The UK is currently facing economic uncertainty and a cost-of-living crisis, largely due to the impacts of the ongoing pandemic. Despite this, the UK unemployment rate for September-November was 3.7%, which is in line with expectations that it will be near the lowest level in nearly 50 years.
The strong growth in wages is a positive indicator for the UK economy, but it must be noted that the inflation rate and the ongoing uncertainty caused by the pandemic may continue to pose a challenge for the UK’s workforce. The government and economists will be monitoring the situation closely to ensure that the UK’s economic recovery remains on track.