CBI call for 'realism'
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UNREALISTIC wage settlements lie at the root of our economi, problems, a leading economist told hauliers this week.
Speaking at the RHA conference this week, the Confederation of British Industry's Dermot Glynn said that the economy will get worse before it gets better, and that goes for road haulage too. He believes the root cause o Britain's problems to be unrea listic wage settlements, witl people awarding themselve more money than they deservE "This is not recent. It has bee happening since the 1950s. But has become more serious in th last three years when we hay seen 20 per cent wage increase for no improvement in output.
Mr Glynn contrasted this wit Japan, where output has out tripped wage increases. Britis wage settlements have cause inflation which, in turn, has le to today's dilemma.
He warned his receptiv audience that the pay round ju: beginning is crucial. Thor should be a "bold and resolute by employers to make it accept ble.
On the outlook for the ne: few months, he forecast a cor tinuing general decline in tieconomy, but at a slower rai than in recent months.
He concluded: "Hauliers fat serious problems along wil other industries. If you a: cheerful about the economy yc are misinformed or it is a ne vous cheerfulness."