A UNION threatened industrial action last night, deeming a government-backed pay rise to be “barely above the cost of living”.
Unison was angered by ministers pushing for an increase limited to 2.8 per cent for public sector workers such as nurses, teachers and civil servants.
No additional funding will be made available to departments for the pay awards set for next year, the Cabinet Office said.
However, Unison, which represents 1.3million workers, said the proposed rise was not enough.
It also said the failure to tackle outdated pay structures meant there could be more strike action.
The union said: “Staff are crucial in turning around the fortunes of the NHS.
“Improving performance is a key government pledge, but the pay rise proposed is barely above the cost of living.”
The Unite union last night said that 200,000 NHS workers would be paid below the real living wage rate of £12.60 an hour if it was accepted.
Health Secretary Wes Streeting had called the sum a “reasonable amount”.
Meanwhile, the National Education Union said: “The Government must fully fund the pay increases that are desperately needed to value, recruit and retain teachers and school leaders.”
The Department for Education said that the increase would “maintain the competitiveness of teachers’ pay”.