Wednesday, January 30 12:23:55
Fewer than 10pc of retailers plan any pay increases for staff this year, according to Retail Excellence Ireland's today new Retail Industry Labour Pay Rate Intentions survey published today.
The survey of over 300 retail companies with over 3,000 stores and a total workforce of 55,000 people also found that less than 10pc of employers will reduce pay in 2013.and more than 80pc will retain current pay rates in 2013.
The survey also found that more than 17pc will in the coming year reduce allowances such as bonuses and overtime rates.
Commenting on the survey, Retail Excellence Ireland CEO, David Fitzsimons said: "The findings from this in-depth retail industry assessment are not surprising given the current climate retailers are operating in. The vast majority of retailers who are freezing pay in 2013 are currently struggling with significant operating costs and decreasing consumer demand. The survey found that some retailers will have to actually reduce pay and restructure in order to continue trading. While recent commentary has focused on some planned pay increases in the retail industry, these are unique to a couple of grocery multiples and are in no way indicative of the pay intentions of the vast majority of retail industry operators. We have clearly stated to successive Government that the continued existence of upward only rent reviews is causing significant damage to job numbers and pay rates in the retail industry - the majority of retail tenants now pay more on their rent than on their total labour force. For Government to claim they are serious about jobs and yet not implement the promised legislation to abolish upward only rent smacks of hypocrisy, especially considering the industry has already lost 60,000 jobs since 2007".