U.K. Risks Recruitment Crisis If Pay Squeeze Not Eased, IFS Says
- U.K. should ease pay squeeze for high-skilled government staff
- Relaxing pay cap could run to billions of pounds, IFS says
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There is a strong case for relaxing the squeeze on pay for higher-skilled public-sector workers in the U.K., according to the Institute for Fiscal Studies.
Further restraint would take government pay to “historically low levels” relative to the private sector and risk damaging schools, hospitals and other public services by making it harder to recruit and retain high-quality staff, the London-based think tank said in a report published Wednesday.