Pay freezes more common since recession, expert says

An expert has claimed that some British businesses have used the continuing after-effects of the recent economic downturn as an excuse to keep staff salaries on hold.

Work Wise UK chief executive Phil Flaxton criticised "unscrupulous" employers which have taken advantage of the ongoing financial concerns to keep wage rises to an absolute minimum.

"I seem to come across more and more organisations where, since the recession started, there has been a complete pay freeze," he said. "It is a complex scenario, because wages are being frozen and putting a strain on poor income families."

However, Mr Flaxton added that many employees have willingly accepted flexible working arrangements to reduce the burden on their company and acknowledged that the current situation is challenging for workers and entrepreneurs alike.

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His comments came after research from the TUC claimed 5.3 million people earn a wage below the low pay threshold and warned of the impact clusters of low-paid jobs have on communities.

Posted by Hayley Edwards