Rishi Sunak called on high-income executives to “embrace wage moderation” during the current period of soaring inflation and impending recession.
The Prime Minister warned that generous wage rewards at the top of the wage scale would increase inflationary pressures by fueling a price-wage spiral.
Mr Sunak was speaking as the government faced the threat of strikes crippling Britain this winter, with workers, including nurses, voting for industrial action in support of demands for hikes to keep pace with inflation of 10%.
In a series of TV interviews at the G20 summit in Bali, Mr Sunak said it was a “tragedy” that workers had to turn to food banks, which have even been set up in some hospitals around the world. NHS.
But he said pay rises of up to 17 per cent demanded by the Royal College of Nursing were “unaffordable”.
With the government keeping public sector wages below inflation, Sunak was asked whether executive salaries should also be capped.
He told ITV: ‘Of course I would tell all executives to enact pay restrictions at a time like this and make sure they look after all their workers equally. I would say that all the time.
“Of course, in a situation like this, I’m sure the leaders of most companies will think about pay deals for senior management, for their workers and make sure they’re fair.
“That’s what anyone would expect and I’m sure that’s what most companies do.”
He added: “I don’t want to see a wage-price spiral.
“But it’s not about me. It’s about what’s good for the country, because if we end up in a wage-price spiral, the people who are going to suffer the most are the people with the lowest incomes and we’ll still be having this conversation a year from now. ”
Mr Sunak declined to say whether he paid for private health care, telling ITV: “I wouldn’t normally talk about the health care my family or I receive, for obvious reasons.
“What’s important is that we have an NHS and a healthcare system that is there for people when they need it.
“I think most people would appreciate that talking about his family’s health care is probably not appropriate.”