Today’s statistics show that wages continue to be devalued by double-digit inflation. The Retail Prices Index (RPI) rate of inflation leapt to 13.8% and has now been in double-digits for eleven months, since April last year. The Consumer Prices Index (CPI) rate also rose to 10.4%.
 
Analysis by the TUC has shown that the current squeeze on living standards is the longest and deepest since records began. Real wages are not set to recover to their 2008 value until 2026.
 
Paddy Lillis – Usdaw General Secretary says: “The ongoing cost of living crisis is a key challenge for The Government and it was deeply disappointing that last week’s Budget failed to address it, that was a missed opportunity.
 
“Skyrocketing prices, along with huge increases in energy and fuel costs, leave too many workers struggling to make ends meet. While the cap on average household energy bills was held for a further three months at £2,500, that still amounts to a near trebling since last winter and bill payers are still set to lose £67 per month from the Energy Bills Support Scheme ending this month.
 
“Beneath the headline statistics are frightening increases in the prices of basics, which hit those on the lowest incomes hardest. Food and non-alcoholic drink inflation has now hit a 45-year high at 18.3%. Many staple items like milk, eggs, bread and butter are rising at more than double the headline rate of inflation. That clearly demonstrates the scale of the challenge for workers struggling to make ends meet.
 
“Short-term support with current cost of living pressures are not enough and the Government needs to deliver lasting solutions with a new deal for workers. A new deal that makes work pay with an immediate increase in the minimum wage to at least 12 per hour for all workers, regardless of age, as a step towards £15. Alongside this, we need an end to one-sided flexibility, through contracts that reflect normal hours of work.
 
“Last week’s Budget clearly showed that the Government is not offering the change our members need. Labour is pledged to deliver a new deal for workers within 100 days of coming into government. Usdaw will continue to mobilise for a general election because only Labour has the policies and ideas that can put the country back on track.”
 
Usdaw’s call for a New Deal for Workers includes:

• Minimum wage of at least £12 per hour immediately, as a step towards £15 for all workers, ending rip-off youth rates.
• Minimum contract of 16 hours per week, for everyone who wants it, that reflects normal hours worked and a ban on zero-hour contracts.
• Better sick pay for all workers, from day one, at average earnings.
• Protection at work, respect for shopworkers, abuse is not a part of the job.
• Proper social security system, Universal Credit does not provide an effective safety net.
• Job security, with day one employment rights for unfair dismissal and significant
• improvements to redundancy protections.
• Fair treatment and equality for all workers, including equal pay.
• Voice at work, stop rogue employers refusing to engage with trade unions and end ‘fire and rehire’. 

Notes for editors:
 
Usdaw (Union of Shop, Distributive and Allied Workers) is the UK's fifth biggest trade union with over 350,000 members. Most Usdaw members work in the retail sector, but the union also has many members in transport, distribution, food manufacturing, chemical industry and other trades www.usdaw.org.uk
 
Labour’s New Deal for Workers: www.usdaw.org.uk/LaboursNDW
 
For Usdaw press releases visit: www.usdaw.org.uk/news and you can follow us on Twitter @UsdawUnion