Real wages continue to fall in the UK
David Blanchflower and Stephen Machin
Real wages continue to fall - in the UK and elsewhere - yet despite this striking feature of the labour market, some commentators anticipate resurgent pay growth in the near future. This report, the first in a new series of CEP Real Wages Updates, argues that the absence of any improvement in the country's productivity performance - together with evidence that nominal wage growth is flatlining and real wage growth is falling - make it highly unlikely that wage growth is about to explode upwards.
7 October 2015 Paper Number CEPRWU001