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The Daily Telegraph:
To revive annual pay rises, the Coalition needs a supply-side revolution

11 December 2013

This is extremely important data, first revealed in a groundbreaking paper by Joao Paulo Pessoa and John Van Reenen of the London School of Economics. But whereas labour's share of GDP has remained constant, pension costs and employers' national insurance (inevitably borne by workers, not businesses) have gobbled up a much greater share of total compensation, increasing from 13pc to 17pc since 2002, and leaving much less for actual wages and salaries.

This article was published in The Daily Telegraph on December 11, 2013
Link to article here

Related publications
Wage growth and productivity growth: the myth and reality of 'decoupling', Joao Paulo Pessoa and John Van Reenen. Article in CentrePiece Volume 18, Issue 2, Autumn 2013
'Decoupling of Wage Growth and Productivity Growth? Myth and Reality', Joao Paulo Pessoa and John Van Reenen, Centre for Economic Performance Discussion Paper No.1246, October 2013

Related links
Joao Paulo Pessoa webpage
John Van Reenen webpage
Productivity and Innovation Programme webpage

Read more... The Daily Telegraph