Wage erosion

[Threewordseightletters]

There is a site where you can calculate how much money in the past is worth now. Thus has shown me how eroded wages are. Basically my wage in 2004( 39k) would now be worth £76k. But that job in 2024 now pays about £56-58k. So basically someone is 20k worse off! This is the true cause of the col crisis - not just inflation, but wage erosion. I watched a documentary a while back about the 70s and although inflation was very high, wage increases were averaging at 20- 30% so people's standard of living wasn't decreasing as it is now.

When I worked in the 70s my wage increase were NEVER 20-30%.

"This resulted in annual wage growth above 35% in the early 70s and only small falls in real wages. In 2022, while wage growth remains slightly stronger than in the last decade (4.3% in May), real wages are already falling and are expected to fall further."

This from an analysis comparing the periods of high inflation - early 70s with 2022-23.

This would be so interesting to do with my AfC NHS role. Will see if I can dig out the necessary info.