Workers and bosses are on a collision course as staff expect a major pay rise next year while managers expect to keep pay on the level with inflation (writes Telegraph Business).
A surge in inflation this year has pushed average wages into negative territory, in real terms, leaving staff expecting an inflation-busting raise in 2018 to reverse the fall in living standards.
Unemployment is also at record lows which should push up pay packets.
Almost half of workers expect a pay rise in the new year, with the average anticipated hike standing at 4pc, according to a survey from Fidelity International – beating inflation which is currently 3pc and is expected to fall into 2018.
Young workers are particularly sure their finances will improve as 59pc of 18 to 34-year olds anticipate a pay rise, with the average employee in that group looking for a 4.6pc improvement.