SOARING INFLATION HITS LOW PAID WORKERS’ WAGES

RMT helpline 0800 376 3706 :: february 2022 :: RMTnews 8 Workers on the National Minimum Wage and the Real Living Wage are more than £1,000 worse off now than 12 months ago as a result of soaring inflation, according to new research published by the RMT. As RPI inflation reached 7.5 per cent in December 2021 it meant that a worker on the National Minimum Wage would need £1,252 more a year to prevent a real- terms pay cut while a worker on the Real Living Wage would need £1,395 more. The research is published as rail cleaners on four contracts in the South- East ballot for strike action and train cleaners on the West Coast services take strike action for a pay rise. All the cleaners involved are paid either at the National Minimum Wage rate of £8.91 per hour or the Real Living Wage rate of £9.90 per hour. RMT general secretary Mick Lynch said that any workers had been hit by a double whammy of pay freezes and soaring inflation and no more so than those who were already on low wages. “This report shows the devastating effect of inflation on the wage packets of Figure 2: RLW salaries and salaries uprated for inflation – trends over the year 16,500.00 17,000.00 17,500.00 18,000.00 18,500.00 19,000.00 19,500.00 20,000.00 2020 20,500.00 DEC 2021 JAN 2021 FEB 2021 MAR 2021 APR 2021 MAY 2021 JUN 2021 JUL 2021 AUG 2021 SEP 2021 OCT 2021 NOV 2021 DEC RLW salary Salaries and RPI Inflaon Dec 2020-Dec 2021 - Real Living Wage Salary if uprated for inflaon Figure 1: NMW salaries and salaries uprated for inflation 15,000.00 15,500.00 16,000.00 16,500.00 17,000.00 17,500.00 2020 18,000.00 DEC 2021 JAN 2021 FEB 2021 MAR 2021 APR 2021 MAY 2021 JUN 2021 JUL 2021 AUG 2021 SEP 2021 OCT 2021 NOV 2021 DEC NMW salary Salaries and RPI inflaon - Dec 2020-Dec 2021 The Naonal Minimum Wage Salary if uprated for inflaon SOARING INFLATION HITS LOW PAID WORKERS’ WAGES RMT research reveals that workers on the National Minimum Wage require major uplift to prevent a pay cut