ACS

ACS has highlighted concerns about the commitment announced in the Prime Ministers speech to Labour party conference that the national minimum wage would be increased in each of the next five years. The announcement also appeared to contradict existing policy to allow the independent Low Pay Commission to recommend the NMW rate.

ACS Chief Executive James Lowman said: “The Prime Minister’s announcement to increase National Minimum Wage will place further pressures on businesses emerging from the economic downturn. It also undermines the Low Pay Commission’s role as an independent body solely tasked to make recommendations on future increases. We need the Government to come clean about whether it is now over-riding the Commission and committing to set the minimum wage itself, or whether it wants to retain the Low Pay Commission as an independent body.

“Local shops provide flexible local employment for hundreds of thousands of people. Retailers in our sector support the need for a minimum wage but have found the increases of recent years hard to afford. The impact has been reduced hours, fewer jobs and reduced investment in important community businesses. The last thing these business need is more political grandstanding causing further uncertainty and cost.”

Contacts:
Shane Brennan Public Affairs Director
01252 515001/ 07921 372 978
Nina Collins Communications Coordinator
01252 515001

Notes to Editors:

1. ACS (Association of Convenience Stores) is the voice of local shops, representing over 33,500 convenience stores. ACS helps local shops thrive through lobbying, support and networking opportunities.
2. The Prime Minister was speaking at the Labour Party Conference on 29th September. On NMW he said: “And in the last twelve years we created the first legal national minimum wage. And in every year of the next five years we will increase it.

“And when the minimum wage rises this month it will be 60% higher than when it started. And I can say today that not just the minimum wage, but child benefit and child tax credits for families will continue to rise every year.”
3. Read the speech in full here: http://www.labour.org.uk/gordon-brown-speech-conference,2009-09-29