Poor pay deal based on RPI. Deflation, what deflation

fordy

Is anyone paying less for anything right now??

I only ask because I have just been offered a pay deal that uses the RPI as an excuse. 1% is generous, but they are saying they will review it next June and adjust pay to 2.5% above RPI, which in my head (please correct me if I'm wrong) could end up being a pay cut!!

RPI is only low because of mortgage payments, I cant afford a mortgage, Im not saving anything in that respect, rent is still going up as is council tax. Recently the weekly shop has risen steadily and so has petrol.

When is deflation actually going to deflate prices on the high street???

dopester

I saw an email the other week, for all staff. No pay rise for anyone in the company. First time in the company's 50 year history.

Deflation is kicking in. You might not personally be benefiting from some of the deflationary forces at the moment.

When it is next up for discussion, you can challenge your rent. Lots of supply out there, and would-be tenants negotiating lower rents. British Gas lowered our duel-fuel rate by around 8% earlier this month, and despite saying may have to raise it in the future... I see only further cuts.

ess0two

Earlier this year we agreed to 5%,and next year 2.5% plus whatever RPI is effectively 2.5% worse case scenario.

wolvoman

fordy wrote: »

Is anyone paying less for anything right now??

I only ask because I have just been offered a pay deal that uses the RPI as an excuse. 1% is generous, but they are saying they will review it next June and adjust pay to 2.5% above RPI, which in my head (please correct me if I'm wrong) could end up being a pay cut!!

RPI is only low because of mortgage payments, I cant afford a mortgage, Im not saving anything in that respect, rent is still going up as is council tax. Recently the weekly shop has risen steadily and so has petrol.

When is deflation actually going to deflate prices on the high street???

Rents are down quite a lot over the last 12 months. As is petrol and clothing. Many councils have frozen council tax this year. Food is still up, as is utilities but they will be down soon.

I'd say right now that anyone getting a pay freeze is effectively getting a pay rise.

fordy

My rent went up in april, petrol is back up to around £1 at least round here.

But if RPi is really low, say less than -3 that will be a pay cut right?

ILW

fordy wrote: »

My rent went up in april, petrol is back up to around £1 at least round here.

But if RPi is really low, say less than -3 that will be a pay cut right?

If there is someone willing to pay you more, take yourself elsewhere.

Being self employed I have never got my head round that fact that people think they are entitled to a pay rise every year. I will probably be enlightened though.

fordy

Nice attitude ILW, attack someone else.

When the company posts massive profit increases and pays the bosses massive bonuses then I think its a kick in the teeth to table a possible pay cut and blame it on the terribly flawed RPI.

And its a cost of living rise, which is why i asked the question, where is the deflation?

The fact the all the staff in here all contributed a hell of a lot more than the bosses to the increased profits means they are entitled to some recognition in the way of a pay rise.

dopester

fordy wrote: »

My rent went up in april, petrol is back up to around £1 at least round here.

But if RPi is really low, say less than -3 that will be a pay cut right?

Just be grateful to keep your job, is how I feel. Even with pay-cuts.

Don't somehow expect your employer to ride out these times easily, whilst demanding this and that. Try to be understanding for their point of view. Case elsewhere last year of half-the-team leaving after they were told no pay rise. Company most of them moved to, which paid more, shut down within 5 months. Few other jobs for them to get in that sector.

In the meantime the other company had replaced staff with equally creative and value bringing new staff, who were more grateful for the relatively high pay.

fordy

no demanding here, I expected a pay freeze, im grateful i have a job i just dont relish a possible pay cut while living costs continue to rise despite the "deflation".

again i ask the question, when is it going to get cheaper to live?

dopester

fordy wrote: »

Nice attitude ILW, attack someone else.

When the company posts massive profit increases and pays the bosses massive bonuses then I think its a kick in the teeth to table a possible pay cut and blame it on the terribly flawed RPI.

And its a cost of living rise, which is why i asked the question, where is the deflation?

The fact the all the staff in here all contributed a hell of a lot more than the bosses to the increased profits means they are entitled to some recognition in the way of a pay rise.

If you think you can run it better, start up a company of your own. As a shareholder of many a company, I expect value, and measures to be taken which reflect market circumstance. Not some profit-share between the staff. Don't like it... why not complain? A lot of other job hungry people out there. The deflation is kicking in - get used to it.

fordy

dopester wrote: »

The deflation is kicking in - get used to it.

Thats the point, im not seeing it.


MODS Close this thread please, im not getting an answer to my question.