In the UK, inflation is now at 2% but wages are only increasing at 1.4% annually. This has led the 2014 wages to fall to the same level they were at back in 2001. Even in 2013 wages only grew approximately 0.1%. However, these very low wage levels are actually keeping the unemployment rate low.
See "Wages are Even Worse than You Thought: UK Pay is Back to 2001 Levels", Mike Bird, Business Insider, November 18, 2014