From the TUC

Steve Bundred’s call to freeze public sector pay

05 Jul 2009, by in Labour market, Public services

The Chief Executive of the Audit Commission, Steve Bundred, has called for a freeze in public sector pay. He makes no exception. Those on the lowest pay and those who earned £212,000 in the year to March 2008 (not including £36,000 contribution to a pension scheme with a transfer value of £916,000)  should be treated the same.

I’ve read the article carefully, but I can’t find the bit that calls for those earning more than £100,000 a year to make their contribution to closing the deficit by paying more tax.

2 Responses to Steve Bundred’s call to freeze public sector pay

  1. Charlie Marks
    Jul 5th 2009, 11:19 pm

    That’d be a polticial matter Nigel, whereas cutting the wages of doctors, soldiers, teachers and police officers is a purely administrative matter (!)

    There’d be no problem if pay was frozen for public sector employees earning substantially more than the average private sector worker – but there’s no economic logic to cutting the wages of ordinary workers. With the economy contracting, it makes no sense for the government to take an action which would result in spending power being lowered, and hence, demand being taken out of the economy.

  2. Not just another drop in the ocean « The Local Government Officer
    Jul 6th 2009, 1:14 pm

    […] Leave a Comment Duncan criticises the economics of the proposed public sector pay freeze. Nigel criticises the equity. I’m inclined to criticise the […]