The real pay of teachers and NHS staff has declined by 12% in 12 years
want? Fair pay! When do we want it? Now”. On January 18th thousands of striking nurses chanted this refrain on picket lines across England. Their walkout is set to last two days and another is planned in February if the government fails to meet their demands. The 465,000 members of the Royal College of Nursing, a trade union, are asking for a 5% pay rise above the rate of inflation for nurses working in the National Health Service .
The problem is the same as in the late 1980s: rising prices have eroded the real value of wages. Inflation peaked at an eye-watering rate of 11.1% in October, the highest for 40 years. Prices are now beginning to moderate thanks, in part, to cheaper energy. Data released by the Office for National Statistics on January 18th showed consumer prices rising at 10.5% a year in December.
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