Our Scans · (FS.6.01) Employment & Wages · Weekly Summary

• [New] AI skills have some impact on their ability to remain employable, while 73% of employers were found to believe hiring more people with AI skills will benefit their organizations. Training
• [New] While the decision to hold rates at 4.25% was widely expected, given above-target inflation at 3.4% and high wage growth, it creates a challenging environment for UK companies. Scottish Business News
• [New] The UK economy had suffered from greater persistence in inflation and wage growth than other economies, particularly in prices seen across services, as it stuck by May forecasts stating inflation could climb as high as 3.7% in September. City AM
• [New] Among advanced economies, in addition to the United States, inflation in the United Kingdom has been revised up for 2025, owing to the higher than previously expected outturns in recent months and more dynamic wage growth. European Central Bank
• [New] We expect the global economy to accelerate over the next 12 months as central banks ease and real wages grow, boosting risk appetite. Invesco
• Private consumption is expected to weather the adverse impact from US trade policies, supported by robust increases in income on the back of rising wages and falling inflation. European Central Bank
• Employment & Salary: There are about 334,100 loan officers and interviewers in the U.S., with a median annual wage roughly $ 74,180.Why It's At Risk: Like credit clerks, loan officers rely increasingly on automated underwriting systems. Ask AI
• Household consumption should grow at a slightly faster pace than in 2025, driven by higher real wages, which are expected to remain buoyant despite the fall in employment and a downward revision of average nominal wage growth. Banque de France
• The overall impact on employment will depend on how the broader economy reacts to lower rates, inflation, and US trade uncertainty. Samfiru Tumarkin LLP
• The Scottish Government should work with communities, workers, and businesses to develop proactive transition plans that enable access to secure employment and business opportunities that come with the Net Zero transition. Climate Change Committee
• The Welsh Government should work with businesses and communities that may be affected by the Net Zero transition to develop proactive transition plans that enable access to secure employment and business opportunities. Climate Change Committee
• Recent proposals in the US around tariffs, trade and fiscal policy have added risk around the trajectory of employment, inflation, interest rates and global economic growth. Yahoo Finance
• High homeowner equity could provide some cushion for consumer spending, but overall, housing activity will largely depend on how economic factors like inflation, rates, and employment unfold throughout the year. MetroTex
• Average UK pay continued to rise - up 5.9% - but increases in employer National Insurance Contributions as well as National Minimum Wage hikes which came into force this month are forecast to weigh on salaries. BBC News
• A significant advantage for India is the inclusion of a social security pact, which will exempt skilled professionals and their employers from double social security contributions for up to three years-benefiting not only Indian workers but also enhancing the UK's ability to attract skilled talent. Grant Thornton Bharat
• Put into place pro-growth policies, and U.S. economic growth, rising real wages, and prosperity will follow. Conservative Daily News
• Tariffs could threaten economic growth and employment since duties slapped on imports risk increasing costs for businesses that rely on raw materials from abroad. ABC News
• Social Security Pact / Double Contribution Convention: Under the Double Contribution Convention, skilled Indian workers employed in the UK and their employers will be exempted from paying social security contributions for three years. PWOnlyIAS
• The DCC will support business and trade by ensuring that employees moving between the UK and India, and their employers, will only be liable to pay social security contributions in one country at a time. GOV.UK
• There is a double contribution convention, where Indian workers who are transferred to the UK - and their employers - do not have to pay national insurance for three years, but they will pay social security taxes in India. SKY

Last updated: 01 July 2025