Mixed views over possible minimum wage rise
Fri, 30 Oct 2009
The Trades Union Congress (TUC) is calling for the national minimum wage to be increased to £6 an hour.
In its meeting today with the Low Pay Commission, which outlines recommendations to government on the issue, the TUC will make the case for a 3.5 per cent increase in the period from October 2010 to September 2011.
However, Policy Exchange, the centre-right think tank, has reacted to the proposals with dismay.
Lawrence Kay, research fellow at the group's economic unit, said this is no time to raise the wage burden on employers.
He added: "We want them to create new jobs not just pay the workers they already have more money."
"The cost of living for people on low wages is currently falling. There is no reason to think that people who have jobs are falling further into poverty."
Offering a more positive perspective, Compass general secretary Gavin Hayes said he did not believe that a 20p rise to the minimum wage would drive companies out of business.
He said it is "absolutely right" that those at the bottom of the career ladder get paid decent wages for the work that they do.
Mr Hayes said there is no need to insist on a minimum wage, but fundamentally the government needs to be working towards a living wage for the entire country.

How Microsoft can help
The right software can help you tackle the challenges of a growing business. Microsoft offers familiar and affordable software tools which help you and your team work more effectively together, whether you're in or out of the office, give better customer service and run the business efficiently. Learn More
More
Growing a Small Business News
View all articles
|
|