57% of Irish businesses plan to increase their basic pay in 2015, according to an Ibec pay survey. This is up from 49% of businesses surveyed in 2014. The median pay increase is set to be 2%.
Ibec CEO Danny McCoy said, "Pay will increase for most in 2015, but not all. The economy is recovering strongly, but we have a long way to go. The economy in money terms is still about 6% below its pre-crisis peak and overall price levels are below where they were in summer 2008. This needs to be reflected in pay expectations. Many companies remain in survival mode and simply cannot afford pay rises."
He warned that pay demands must be moderate, adding; "If costs spiral and we lose our competitive edge we will pay for it in jobs."
42% of Irish businesses do not plan to make any changes to their basic pay, while 1% are to decrease pay.
© 2014 - Checkout Magazine by Jenny Whelan.