UK pay compression 2026 research
Pay compression is a growing issue that many UK businesses are facing.
Every year the wage floor rises, and employers ask the same question: can we afford it?
In a bid to better understand the current state of pay compression in the UK, we surveyed 500 HR leaders and 500 junior employees with 2-5 years’ experience.
Our survey queried respondents on a range of topics, from perceptions and challenges to the main drivers of pay compression.
Using this research, we’ve created a guide covering:
- Growing industry concerns around losing skilled workers
- The impact of pay compression
- Differing perceptions around pay compression
- The drivers of pay compression
- New pay transparency rules
- Advice for tackling pay compression
- Retaining and motivating employees when you can’t pay more
- Looking at the total reward package
- The role of payroll and data