Negotiations between employers and unions result in agreed 2% rise from 13 September

Workers at small and medium sized contractors are set for a 2% pay rise this year after a 12-month pay freeze.

Negotiations between employers and the unions, via the Building and Allied Trades Joint Industrial Council, have concluded with an agreement for a 2% increase to the three headline rates from 13 September.

Richard Diment, director-general of the FMB said: “While our own State of Trade Survey shows that the trading environment for our members has continued to deteriorate, the rate of deterioration seems to be slowing, and there are signs that members are more optimistic about the future.

"With this in mind, we feel that this settlement will be deliverable at the time of the implementation date.”

Bob Blackman, national secretary for construction at Unite, said: “While the settlement is not as generous as we would have liked, we have to acknowledge that the industry is still in decline and that any recovery will be slow.

"As such the preservation of jobs must remain a priority for our members while still trying to do what we can to lessen the impact of what has been a savage recession in the sector.