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English definition of “pay freeze”

pay freeze

noun [C]     (also salary freeze, wage freeze)
HR, WORKPLACE a situation in which a company stops increasing employees ' pay because of financial difficulties : Union leaders are considering the company's proposals to change working hours , reduce overtime , or impose a pay freeze .
ECONOMICS, GOVERNMENT a government policy of preventing pay increases in order , for example , to deal with inflation : The government are now proposing a pay freeze for public sector workers .
(Definition of pay freeze noun from the Cambridge Business English Dictionary © Cambridge University Press)
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