Wage hikes predicted next year as firms bid to keep staff in competitive labour market

Separate research finds 21% of workers have made no financial arrangements at all for their retirement, with affordability cited as the primary reason for lack of planning, especially among older workers

CSO figures show an upward trend of pensioners entering or staying in the workforce. File picture

Businesses across all sectors forecasted wage increases next year in a bid to retain staff as the labour market remains tight and highly competitive, according to research.

A report by business representative group Ibec found the vast majority of 400 senior HR professionals across various industries in Ireland plan to increase pay in 2025 by an average of 3.4%.