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greentricky in reply to @NickCJ

Isn't the issue that the money is going to other places such as shareholders rather than wages?

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NickCJ in reply to @greentricky

It could be but that chart doesn't give you that information. Looking it up, labour's share of national income has recovered to pre-crisis levels over the last few years (figure 4) so I don't see the evidence that corporate profits are taking a bigger share of GDP.

https://www.ons.gov.uk/economy/economicoutputandproductivity/productivitymeasures/bulletins/labourcostsandlabourincomeuk/2022#labour-share-of-income

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greentricky in reply to @NickCJ

This study suggests

Three-fifths of this gap is explained by the growth of inequality which widened the wedge between mean and median employee wages. A further third is due to the increase in non-wage labour costs, in particular the growth of employer pension contributions.

https://www.lse.ac.uk/News/Latest-news-from-LSE/2021/k-November-21/Wages-of-typical-UK-employee-have-become-decoupled-from-productivity

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