Strikes continue in the UK. It is the largest strike wave in a decade and according to Rabobank economist Stefan Koopman, the strikers are right. “Inflation in the UK is over ten percent, but wages in the public sector are only growing by three percent.”
That means the average UK resident will lose around seven percent, according to Koopman. “And if you calculate that at a real income level, you come back to a level equal to 2003. In other words, twenty years of stagnation.”
According to Koopman, it’s a different story in the private sector, where wages are expected to rise. He says there’s an average increase of about seven percent. “So everyone can sense that it’s unfair and that it’s a struggle.”
National Health Service
In fact, the situation in the UK is so bad that NHS employees have to go to the food bank for food. “These are the working poor,” Koopman continues. ‘And you see that a lot in the UK. Even if you look at household savings, for example. If you take the average savings balance, it’s £3 to £5,000 a year. It’s not a lot, so people don’t have a big buffer.’
The government resists
And there doesn’t appear to be much change from the British government, which appears to be holding its own, according to correspondent Lia van Bekhoven. “Of course it depends on which group it is, but there is no negotiation when it comes to nursing staff,” she says. The reason is that the government does not want to grant a series of wage increases that push up inflation.
According to Van Bekhoven, this is due to the possible domino effect. “The fear is that if they target one sector, the other will too,” he continues. “So there is no direct consultation, because what the unions want is simple: a wage increase”.
Source: BNR
Sharon Rock is an author and journalist who writes for 24 News Globe. She has a passion for learning about different cultures and understanding the complexities of the world. With a talent for explaining complex global issues in an accessible and engaging way, Sharon has become a respected voice in the field of world news journalism.
