CIJC: Blanket 5% Pay Increase

Construction unions and contractors have agreed a blanket 5% pay increase, affecting more than 500,000 workers across the UK, including employees within the shopfitting, fit-out, and interior contracting sector.

The deal follows months of talks under the Construction Industry Joint Council (CIJC) pay framework, which concluded outside of the planned timetable. Negotiations started early this year with the unions submitting claims for a 10% rise before employers came back with a sub 4% offer. The gap between offers resulted in a delay and further discussions.

The one-year Working Rule Agreement (WRA) comes into force on 25 July 2022 and includes a 5% pay increase across all rates and a two-stage increase in non-taxable allowances. Full details of the Agreement will be published on the CIJC’s website:

Situation in the shopfitting, fit-out and interior contracting sector

As shown in the outcomes of our recent Pay and Reward Survey, the average hourly rate for a Joiner/Tradesperson was £15.43. This is in excess of both the previous Construction Industry Joint Council (CIJC) WRA promulgation, which came into effect from June 2021, and also this latest increase from 25 July onwards.

The WRA is therefore an important tool to set minimum standards for employment within the sector, but the reality for most employers will be that the increases will be used only as a guideline for future pay awards, as opposed to driving real change in employment terms.