Over three-quarters (77%) of employees who took a pay-cut during the recession have still not had their pay re-instated, according to research from recruitment consultants Badenoch and Clark.
The research showed that employers are using additional benefits to retain staff in the absence of pay incentives. For instance, flexible working hours were offered to more than a third (38%) of employees. A fifth (16.1%) has access to remote working or additional annual leave (16.7%).
Employees have remained optimistic with 76% of those that took a pay cut hopeful that their full pay will be re-instated over the coming months.
Lynne Hardman, managing director, Badenoch and Clark, said: “Now the UK is emerging out of recession we could see employees being given more work for a lower remuneration package than pre-recession, which in turn could lead to many UK employees embarking on a search for new employment.
“Our report clearly highlighted that, outside of financial rewards, flexible working and access to relevant training are integral parts of employment packages. Where budgets are tight, employers need to find other ways to incentivise staff to keep them engaged and to prevent them from looking for new opportunities.”
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