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1.6 The labour market (A-level only)

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Question 6

Extract C

Table 2: Collective bargaining coverage, % of workforce, 2005 to 2023

YearAll employeesService sectorManufacturing sector
200531.522.448.6
201128.219.844.1
201725.418.140.2
202324.117.038.5

Figure 2: Average annual nominal wage growth, %, January 2016 to December 2023

| Date | Service sector (%) | Manufacturing sector (%) | |---|---|---|| | Jan 16 | 2.5 | 1.8 | | Jan 17 | 3.0 | 2.0 | | Jan 18 | 3.2 | 2.2 | | Jan 19 | 4.0 | 2.5 | | Jan 20 | -1.0 | 1.8 | | Jan 21 | 9.0 | 3.0 | | Jan 22 | 6.5 | 3.5 | | Dec 23 | 6.8 | 3.8 |

Explain how the data in Extract C (Figure 2) show that, since 2016, the living standards of people working in the service sector are likely to have increased compared to those working in the manufacturing sector.

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1.6 The labour market (A-level only) Questions

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