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Minimum wage rises today
The national minimum wage today rises to more than £5 an hour, affecting millions of workers.
The minimum wage for adults working in the UK increases by 20p to £5.05 per hour and there is a 15p increase for 18 to 21-year-olds, to £4.25.
The rises follow a report from the Low Pay Commission which said the number of jobs had grown since the minimum wage was introduced in 1999.
Union leaders have welcomed the move, saying businesses can afford the higher rate.
TUC general secretary Brendan Barber said: "The increase will see well over a million low-paid workers with more cash in their pockets, many of them women working part-time.
He attacked the "bleatings" of business leaders who say they cannot afford the rise: "Every year miserly bosses say any wage boost will be at the expense of jobs, but every year their predictions of doom and gloom fail to materialise."
"Since the National Minimum Wage came into force in 1999, over a million low paid workers have benefited each year," said Alan Johnson, secretary of state for trade and industry.
Last February the government provisionally accepted the Low Pay Commission's recommendations that the rates should be further increased to £5.35 and £4.45 in October 2006.
But the commission will report in February 2006 on whether the UK economy can sustain a further rise in the minimum wage, with many business leaders saying it would be detrimental.
Wages for under-18s will remain at £3 an hour until that time.
The minimum wage for adults working in the UK increases by 20p to £5.05 per hour and there is a 15p increase for 18 to 21-year-olds, to £4.25.
The rises follow a report from the Low Pay Commission which said the number of jobs had grown since the minimum wage was introduced in 1999.
Union leaders have welcomed the move, saying businesses can afford the higher rate.
TUC general secretary Brendan Barber said: "The increase will see well over a million low-paid workers with more cash in their pockets, many of them women working part-time.
He attacked the "bleatings" of business leaders who say they cannot afford the rise: "Every year miserly bosses say any wage boost will be at the expense of jobs, but every year their predictions of doom and gloom fail to materialise."
"Since the National Minimum Wage came into force in 1999, over a million low paid workers have benefited each year," said Alan Johnson, secretary of state for trade and industry.
Last February the government provisionally accepted the Low Pay Commission's recommendations that the rates should be further increased to £5.35 and £4.45 in October 2006.
But the commission will report in February 2006 on whether the UK economy can sustain a further rise in the minimum wage, with many business leaders saying it would be detrimental.
Wages for under-18s will remain at £3 an hour until that time.
posted by Bruce Wayne at 8:47 AM
Minimum wage rises today
4 Comments:
The amount school-leavers are paid is neither 'right' nor 'wrong', it just ?is'. The school leaver can always move on, get better trained/educated, or something. The government has set a lower earnings limit (which I leave to individuals to ponder on the value).
At the end of the day, people are paid what they are worth / contribute AND can negotiate ... so if the gov provided youths with training in negotiation skills ... we may all be in trouble.
On the other end of the balance, there's the obscenity of fat cats taking massive sums out of companies and pension funds - The average pay of a chief executive at the UK's top companies, including bonuses and gains from long-term incentive plans, is now more than £2.5m!
And they pay the same rate of tax as the office cleaner on £10,000 a year on overtime and several jobs. A gov that had a moral spine would see the inequality with that. Which puts new labour out of the equation.
It's a fact that a higher minimum wae is bad for the economy. The only people it serves are the uneducated. Higher minimum wages result in less small businesses, which are the backbone of our economy!
The amount school-leavers are paid is neither 'right' nor 'wrong', it just ?is'. The school leaver can always move on, get better trained/educated, or something. The government has set a lower earnings limit (which I leave to individuals to ponder on the value).
At the end of the day, people are paid what they are worth / contribute AND can negotiate ... so if the gov provided youths with training in negotiation skills ... we may all be in trouble.
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