UK wage growth slowed in June, with average total earnings, including bonuses, falling to 4.1% in the three months to June. This is a decrease from 4.3% in the three months to May, according to figures from the Office for National Statistics (ONS).
The ONS also reported that the headline unemployment rate remained unchanged at 4.9% in the three months to the end of June. The number of workers on company payrolls saw a decline of 13,000 in July.
Liz McKeown, ONS director of economic statistics, noted "some softening" in the jobs market, suggesting a potential sign of stabilisation. While regular wage growth has been broadly stable, private sector pay growth has continued to ease, contrasting with elevated public sector pay growth due to recent NHS pay awards.
Vacancies have fallen, and small businesses have indicated rising employment costs. Annual growth in earnings after inflation was 1.3% in the three months to June, but workers could face a squeeze as inflation approaches the slowing rate of earnings growth.