UK workers should expect smaller pay rises this year, warns HR body

Employers are reining in hiring plans despite improved business confidence driven by services sector

Workers in the UK can expect less generous salary settlements this year, as employers rein in hiring plans, according to a report from the professional body for human resources.

In its regular labour market outlook, which gauges employers' expectations for the year ahead, the Chartered Institute of Personnel and Development (CIPD) said employers were pencilling in the most meagre pay rises since the pandemic.