ACS

March 24th 2010

ACS (the Association of Convenience Stores) has warned that the decision to increase the minimum wage for adults by 2.2% to £5.93 will threaten job creation in the retail sector.

ACS Chief Executive James Lowman said: “Throughout his budget speech the Chancellor stressed the need to support the economic recovery and not to threaten jobs. We know that when faced with increases in the minimum wage retailers will cut back on jobs and hours so we think that this is an ill judged and mistimed decision.”

“We argued strongly that there should be no increase in the minimum wage this year. This increase follows a series of Ministerial commitments to maintain consistent increases over the next 5 years, which is a political promise that local shops will struggle to afford.”

Information that the Government was accepting this recommendation of the Low Pay Commission was contained in the full budget report