CPI Falls to 0.5%

RUN_RABBIT_RUN

been on the cards for a couple of years now

i'm more interested in what's going to happen in the medium term and therefore how monetary policy will be set in the coming months

Crashy_Time

Blacklight wrote: »

I thought we were trying to inflate away all the debt? Oh dear, what's plan B?

There isn`t one, many an I.O borrower is facing big pain ahead.

Crashy_Time

Joeskeppi wrote: »

They all seem to be working on jobs that haven't had pay rises since 2007, might explain a lot.

Jon Davpis seems to have become fully illiterate as well, no idea what's he's trying to say.

Was your last pay rise a big one JoeDebty?

Graham_Devon

The letter Mark has written to the Chancellor is here, should anyone wish to view it's content....

http://www.telegraph.co.uk/finance/comment/jeremy-warner/11340632/Rejoice-inflation-is-sub-1pc.-This-is-what-Mark-said-to-George.html

Dear George,

As you know, the CPI inflation rate in December fell below 1pc, requiring me to write an open letter of explanation to you on why this has happened and what the Bank is planning to do to bring the rate back to the 2pc target.

First things first. I make no apologies for this inflation rate, which were it not for the heroic actions of the Bank of England in supporting demand through the darkest days of the crash would by now be much lower, and like the Eurozone, might even have turned negative. Any inflation in today’s deflationary world is a precious commodity, and by rights, you should be thanking the Bank of England for having managed to safeguard even a little bit of it. Others would kill for such a prize.

continues....

System

Crashy_Time wrote: »

Was your last pay rise a big one JoeDebty?

Yes thank you.

lisyloo

They all seem to be working on jobs that haven't had pay rises since 2007

I work in IT and also have a lot of friends in the same business.
Many of us haven't had payrises in that long and one of the major reasons is jobs being offshored to places like Bangalore where the staff are around 5-6 times cheaper than us.
Fortunately many of us are senior and already on middle incomes so able to manage whilst obviously not being overjoyed about the situation.

might explain a lot

I'm not sure what you mean by that.
Many of those left in IT jobs after outsourcing will be the staff that companies have chosen to keep and not the ones they decided to get rid of.

What are you deducing about people that haven't had a pay rise in a while?
I know I work with some very clever people in that situation.
They are not stupid people just because they chose an industry 30 years ago that is now globalised.

System

lisyloo wrote: »

What are you deducing about people that haven't had a pay rise in a while?

That they might spend a lot of their time on silly websites complaining that no one gets payrises ever.

I work in IT and actually manage people in Chennai myself. According to my compensation history I've had a 105% increase in salary since 2005. 33% since July 2011. If you work in IT and haven't had a payrise in 7 years it really is time to move on.

lisyloo

If you work in IT and haven't had a payrise in 7 years it really is time to move on.

I can understand why you'd say that.
I've asked colleagues many times why they don't move and the answers are generally around factors such as commutes, locations, flexibility e.g. people getting time to walk their dog or picking their child up from school.
Money isn't the most important thing to everyone, - some people prefer walking their dog to having a nasty commute.
In this case they should stop whinging about not getting a payrise and that's what I tell them. They can't have it both ways.

Well done on you meteroric rise BTW :-)

It does appear as though at least some of your increase in salary has come from career progression.
What the ONS figures normally show is the increase in salary for the same job role.
For some of the population e.g. factory workers, bus drivers etc, there simply is no career progression for doing the same role.

I believe what we should be discussing for the purposes of this thread are wages for the same roles and not any rises resulting from career progression i.e. doing a different role.

ruggedtoast

That was very creative Graham.

Well done.

jjlandlord

Joeskeppi wrote: »

I work in IT and actually manage people in Chennai myself. According to my compensation history I've had a 105% increase in salary since 2005. 33% since July 2011. If you work in IT and haven't had a payrise in 7 years it really is time to move on.

We've found one of the contestants for next year's The Apprentice!