2023 PAY IMPLEMENTATION DATE TO BE 1ST JANUARY
TO INCREASE THE VALUE OF THE 2022 SETTLEMENT
TO PROVIDE AN EARLY BOOST TO SALARIES IN 2023
Since our last pay round was implemented, the UK’s GDP (Gross Domestic Product) has fallen, and with further falls predicted could see a recession on the cards later this year. Regardless of political opinion, Brexit, Covid- 19, the Russian invasion of Ukraine and supply chain disruption has had a massive impact on prices of goods and services that we consume on a daily basis.
Political decisions such as the National Insurance increase and the increase of the energy price cap have meant that even before buying our food and clothing, there is already less money in our pockets than the equivalent time last year. Tax changes in April normally mean a slight increase in take-home pay for workers but the National Insurance increase wiped out most of this in 2022. The energy price cap increase means that for someone on the ‘typical use’ of an energy tariff now pays nearly £2,000 a year, compared to just under £1,300 previously. It’s estimated that by April 2023 when this pay round would typically be due to be implemented this figure could be over £4,400 a year*.
*As of print date: 08 September, 2022
There are many tips going around at the minute on how to manage your money better, and while you can cut out some of your nonessential outgoings but we shouldn’t have to struggle when our employer is making billions of pounds. Ultimately, what colleagues need is pounds in their pockets. A 15-month pay deal would see colleagues receiving their pay rise in January instead of April (subject to acceptance), which last year would have resulted in an additional £250 for our lowest paid colleagues.
Whilst proposing a January implementation this year, we are not proposing a permanent move to a January implementation date as that is not something that our members have told us they need right now. This pay round will be focused on short-term solutions that redirect money from where it is not needed to where it is essential.