Half of all UK companies are planning a pay freeze.
Thats according to research done by CBI business group and Harvey Nash Recruitment Consultants.
The report shows a recruitment freeze is starting to thaw.
However only 4% of British businesses plan to give an inflation busting pay rise to employees.
243 organisations in the private and public sector were questioned between August and September.
John Cridland CBI Deputy Director General says Market conditions continue to be very tough and growth in 2010 will be feeble, so pay is going to be squeezed for some time to come.
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