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Rise in minimum wage "out of step with reality", says BRC

Published: 11 April 2011
The 2.5% increase in National Minimum Wage announced last week will add to the pressure on retailers trying to grow their businesses and create jobs, the British Retail Consortium (BRC) has warned.
Rise in minimum wage 'out of step with reality', says BRC
The rise takes the adult minimum wage up from £5.93 per hour to £6.08 and comes into effect from October.

While the BRC supports the principle of the minimum wage, it says it must reflect economic realities, and that employers need more than the current six months' notice of any changes.

BRC director general Stephen Robertson called the announcement "out of step with reality", and said: "At a time when the priority should be getting more people into work, any increase in staff costs is an extra hurdle. This rise in the National Minimum Wage is at the very top end of what retailers could be expected to live with.

"Employers have just been hit by an increase in National Insurance. Business rates have soared and retailers are still absorbing much of the increase in VAT. This increase in the minimum wage is yet another challenge to retailers when trading is already difficult on the high street."

Comments

Published prior to March 2014
By retail worker
Does anyone realize that the current minimum based on 40 hrs is 237 per week, the average rent is approx 100 per week depending where you live. the rise takes it to 243 per week, around 12,00 per annum, not really a living wage,if this is yr sol income, is it? when the average wage is suppose to be in London 33,000, in Birmingham 25,000,and roughly around the 25/26,000 for most of the country, no one is suggesting these types of salaries for ordinary basic shop jobs, but a perspective when the employers start complaining their woes "Oh the minimum wage" what shall we do? is crippling us.

If we want people to work for low wages we should provide low cost housing etc etc etc etc etc. so as Joe Public said "Wake up Smell the Coffee"
Published prior to March 2014
By Agree with Joe Public
I agree with Joe Public its 2011, we need people to spend or we wil go under
his regards to Victorian Britain are absolutely correct, thats what these people (Tories in particular) want to go back to the feudal days where the workers work for a bowl of gruel, and tip their caps, Lets "GET BRITAIN WORKING" and paid a living WAGE.
Published prior to March 2014
By Joe Public'
What reality are we talking about here!! A 5.00 per week increase to min wage earners will not even cover the increase in costs of getting them to your premises to work!! It is these people and other 'Joe Public' who spend their money in your shops - they cannot spend what they have not got!! Lets wake up and smell the coffee -its 2011 not Victorian Britain - consumer society is based on consumers ability to earn /spend.Philip Green spends more than 5 on individual cigars!!!
Published prior to March 2014
By retailer in Berkshire
Well done the the BRC for voicing the plight of us retailers the rise is to high, come on Goverment we put you in office, abolish it now

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