Responding to the newly released official employment figures, Graeme Leach, Chief Economist at the Institute of Directors, said:
“In tough times the private sector is leading the economic recovery, despite high taxes and costly regulation.
"Private sector employment is up 45,000 whilst public sector employment is down 37,000 in the latest quarter.
"Surprisingly, given the Spending Review, public sector pay continues to exceed that in the private sector.
"The Bank of England will also be reassured about inflation prospects with total pay in both the public and private sectors rising by just over 1 per cent.
"The downside of course is that inflation means real pay is falling by more than 2 per cent, which is not good news for High Street spending.”
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