ACS

ACS has highlighted concerns about the commitment announced in the Prime Minister's 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.”