Average earnings have gone up, the rich have it better than anyone else and the minimum wage seems to have worked. A new Office for National Statistics release has summarised some of the changes over the past forty years. We've pulled out the key points.

1. Earners right across the spectrum got poorer every year between 2009 and 2013

Real hourly earnings growth (excluding overtime) for full-time employees, 2009-2011 and 2011-2013, percentiles, UK. Data source: Annual Survey of Hours and Earnings (ASHE). Chart: ONS

Since the 2008 financial crisis the decreased in earnings have been split into two phases. Between 2009-11, those on low and middle incomes were getting hit badly. The bottom 2% of earners had wage drops of between 4 and 5% while top earners' falls were notably lower (between 1 and 5%).

However, between 2011-2013 that switched around completely and it was the highest earners losing out. The bottom 60% of earners had drops of just 1 to 2% while those in the wage brackets above that had 4% drops. 6.6% was shaved off the earnings of the top 1%.

On the whole though, we're all in this together. Average earnings for full-time employees are 7.5% lower in 2013 than they were in 2009.





2. Young people keep on losing out

Median hours earnings (excluding overtime) by age, all persons 1975, 2009, 2013. Data source: ASHE. Photograph: /ONS

The age at which earnings are peaking is getting increasingly older. In 2009, 34 year olds had the highest median hourly earnings (£15.01 in 2013 prices). By 2013, it was 38 (£13.93). And all of this is a huge shift since 1975, when earnings peaked at 29 (£7.09). Everyone can take heart from one thing though - median earnings for every age have gone up since the mid 1970s.

3. The gender pay gap begins at 30(ish)

Median hourly earnings (excluding overtime) by males and females, 1975 and 2013. Data source: ASHE. Chart: ONS

The gender gap has reduced quite a lot since the 1970s even though there's no age except 16 when women earn more than men. The ONS describes it as "relatively close to zero"; well, up until women reach their early 30s that is. For older people though, it's a different story: women's earnings peak at 34, while men's keep rising until they are 50. This means that at 49 there is a 45% gap between males and females average earnings. Although part of this might be down to younger generations feeling the benefit of changes to attitudes, the economy and legislation but it's not hard to guess another big explanation for the gap: babies - or, more specifically, shifting working hours as a result of them.

4. The rich have done the best

Real hourly earnings growth (excluding overtime) for full-time and part-time employees, 1975-2013, percentiles, UK. Data source: ASHE. Chart: ONS

Between 1975 and 2013, the real wages of the average full-time worker doubled, with an increase of 101% so everyone did well. But for the top 1% of workers, incomes nearly tripled, rising by 189% or almost double the average growth rate. There were similarly disproportionate growth levels for part-time earners on the top income brackets. It's alright for some.

5. ...but the minimum wage seemed to work.

Real hourly earnings growth (excluding overtime) for full-time employees, 1975-1998 and 1998-2013, percentiles, UK. Data source: ASHE. Chart: ONS

Workers at the bottom of the spectrum (the bottom 1%) did better than those in the middle: the lowest full-time earners had real income rises of 143% since 1975 compared to that 101% average. The minimum wage also possibly managed to give workers some protection from even bigger wage drops in that period between 2009 and 2011.

6. Londoners make about 50% more an hour than those in NI

Average hourly pay (excluding overtime) in the regions and devolved countries of the UK, April 2013. Data source: ASHE. Chart: ONS

We talk about a north/south gap but the biggest gulf is between earners in Northern Ireland and those in London. The median hourly earnings in the capital are £15.84 an hour, compared to £10.19 in Northern Ireland. It doesn't stop the region being the happiest place in the UK though - not everything is about the money in your pocket.

7. ...and workers aren't getting the benefits of their labour any more

Output per hour and real median hourly earnings, 1975-2013, UK, indexed 2010=100. Data source: ASHE. Chart: ONS



Until 2009, productivity – how much work a typical worker got done in an hour – and wages ran together making the higher wages a pretty fair trade. This was helped along by technological advances and employees becoming more skilled. But, the ONS says, since 2009 that link has got weaker: productivity has stayed pretty constant, but wages have fallen. Who has won in that scenario? The employers.