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Cable calls for long-term public sector pay freeze

A long-term public sector pay freeze is on the cards (external website) should the Liberal Democrats win the 2010 general election, according to an interview with the party's leader Nick Clegg in the Guardian on Saturday (19 September 2009).

The article, published to coincide with the Liberal Democrat party conference, which is now underway in Bournemouth, sees Clegg weigh in on how his party would seek to rein in public spending in order to close the budget deficit, if elected. It says:

Clegg used a Guardian interview to set out plans including a long-term freeze in the public sector pay bill, scaling back future public sector pensions, and withdrawing tax credits from the middle class.

Clegg calls for "austerity for a social purpose". Referring to the Liberal Democrats' public spending plans, he states:

In some cases we will be quite bold, or even savage, on current spending, precisely to be able to retain spending where you need it in areas where the economy is weak in infrastructure.

The next general election will be held in 2010. The last possible date for the general election is Thursday 3 June 2010 (external website). As we have previously reported, it appears that severe public sector pay restraint is inevitable no matter who wins the election, with Labour and the Conservatives also planning to clamp down hard on public sector pay awards.

 

Michael Carty | |

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» Public sector pay: storm clouds gather for 2010 from XpertHR - Employment Intelligence
Things look set to turn distinctly stormy with regard to public sector pay over the coming year, with workers in the sector likely to see their 2010 pay awards radically constrained by the recession and by the Government's need to make radical public s... [Read More]

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