Pay demands pile pressure on firms

15 October 1999

Pay demands pile pressure on firms

WAGE pressures could tip more farming companies into the red next year, warns Plimsoll Publishing.

Average earnings in farming amount to £15,500 an employee in 1998, according to the groups latest figures.

Salaries rose by an average of 4.5%, although remuneration still fell below the UK average of £18,300. "Each year, companies have to dig deeper into their pockets to deliver rewards and retain the best people," says the report. But 39% of businesses within the industry are already losing money, it adds.

Companies will either have to grow or shed jobs to afford the increases needed to retain a high calibre workforce, says Plimsoll. Unless they take that action, 54% of businesses will lose money next year if the companys prediction of a £17,200 average wage is realised. &#42

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