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Pay rises not keeping up with cost of living

New research shows that the real value of most people's wages is likely to go down again this year.

Public sector workers will be hardest hit because of a pay freeze and the rising cost of living.

The analysis from Incomes Data Services also suggests many company chiefs are still receiving generous high pay rises at a time when most workers' incomes are subdued.

The BBC's business correspondent Emma Simpson reports.

  • 06 Jan 2011