Manufacturers face a battle to attract and keep staff, causing some to hike wages by up to 14 per cent, according to a survey.
Make UK, which represents 20,000 companies, said inflation and staff shortages were piling pressure on the sector.
Struggle: Make UK said inflation and staff shortages were piling pressure on the manufacturing sector
Just 2 per cent of firms are keeping pay flat this year, as against more than a fifth this time last year when the country was in lockdown.
Two fifths boosted pay by between 2 per cent and 14 per cent and around half deferred decisions to see how inflation develops.
While the highest increase, 14 per cent, was a big jump from last year’s 5.8 per cent, most workers will only see a pay rise between 2 per cent and 3 per cent – an effective pay cut with inflation predicted to hit 6 per cent by the spring.
Make UK’s Verity Davidge said: ‘While some companies clearly feel they need to reward staff for the last couple of challenging years, others are facing a battle to attract and retain key skills.
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