Your browser is no longer supported. For the best experience of this website, please upgrade to a newer version or another browser.

Your browser appears to have cookies disabled. For the best experience of this website, please enable cookies in your browser

We'll assume we have your consent to use cookies, for example so you won't need to log in each time you visit our site.
Learn more

Minimum wage increase will threaten retail employment, warns BRC

The increase in minimum wage will make it harder for retailers to maintain and create jobs according to the British Retail Consortium.

The 2.5% hike, which came into effect on Saturday, brings the minimum wage to £6.08 an hour from £5.93. The rise is disproportionate according to the trade body, which had urged the Low Pay Commission (LPC) to recommend a lower rise, which it says would be more in line with economic realities.

BRC director general Stephen Robertson said: “Supporting jobs in the current climate is essential. While most retail jobs pay above the minimum wage, increases inevitably push up salaries across the board and make it harder for companies to maintain and expand their workforces.

“The retail sector has a long record of jobs growth but the latest figures show a fall. Retail employment cannot be taken for granted.”

Next year’s minimum wage rise is now being considered by the LPC. Retailers are calling for an increase of no more than 2.1% next year to ensure the minimum wage doesn’t add to the pressures on the sector.

The trade body is also pushing for more notice on decisions to help retailers manage their budget.

Have your say

You must sign in to make a comment

Please remember that the submission of any material is governed by our Terms and Conditions and by submitting material you confirm your agreement to these Terms and Conditions. Links may be included in your comments but HTML is not permitted.