Concern over economy as public sector slips further ahead on pay

From: The Scotsman | Date: January 1, 2005| Author: | Copyright information

SALARY increases in the public sector under Labour are outstripping those in private business, prompting warnings that Scotland's economy will suffer as a result.

Figures from the Scottish Executive show that, between 1999 and 2004, average wages in the public sector rose from GBP 19,670 to GBP 23,650, up 20 per cent. Over the same period, salaries in the private sector rose by only 18 per cent, and the average wage still lags behind at GBP 20,000.

The Executive insists the salaries paid to public sector workers are in line with Treasury guidelines.

However, David Bell, an economics ...

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