It’s very hard to increase productivity in the Public Sector because of the nature of work that’s done, cannot be measured in productivity terms.
Therefore, the size of the Economy can only be increased by productivity increases in the Private Sector or efficiency savings in the Public Sector.
Unless everyone gets the same % pay increases, there is going to be winners and losers, depending on the bargaining strength of particular sectors of the Economy.
Can someone please explain, particularly with the effects of imported inflation that we have in the U.K, how the pay rises that some on here want to see implemented, are going to be paid for.