milliband - 1 in 5 on low pay

tir21

Milliband says 1 in 5 are on low pay. What is milliband classifying low pay as

Is it the minimum wage?

HappyMJ

It's less than a living wage. Or an amount which requires the government to top the single worker up by the payment of working tax credits.

Low pay in a family could also be considered an amount which requires child tax credits to be paid so the family has enough to get by.

scooby088

The tuc has called for a minimum wage of £10 a hour would be nice, but it would also raise the unemployment figures too. Cant see there ever being a rise like that to the NMW some jobs arent worth the rise and I guess zero hours will be the only contract that will ever be on offer.

tir21

If the minimum wage were raised to say £9 an hour the economy would boom. All that extra money in the poors pockets would be spent

ohreally

You'd likely find the pay differential between skilled/ unskilled workers would be maintained with the cost of living liked to this.

Takeaway_Addict

ohreally wrote: »

You'd likely find the pay differential between skilled/ unskilled workers would be maintained with the cost of living liked to this.

But it won't as this is the issue with the NMW, it mops up the various differing levels of pay as it increases.


Companies will need to save money elsewhere to pay for any high increased NMW levels.

Labour should not have allowed benefits to become the norm, it was never their intention.

Takeaway_Addict

tir21 wrote: »

If the minimum wage were raised to say £9 an hour the economy would boom. All that extra money in the poors pockets would be spent

Would it though? Higher costs of products would cancel some of that increase out as companies would still need to make their profit, higher unemployment would occur as well.

tir21

Takeaway_Addict wrote: »

Would it though? Higher costs of products would cancel some of that increase out as companies would still need to make their profit, higher unemployment would occur as well.

The higher profits could come from selling more widgets though

Takeaway_Addict

tir21 wrote: »

The higher profits could come from selling more widgets though

right...ok

tomtontom

tir21 wrote: »

If the minimum wage were raised to say £9 an hour the economy would boom. All that extra money in the poors pockets would be spent

All that spending combined with higher supply costs would lead to inflation, your pound will go no further than it does now.

copy

I would love to be on £9 ph would make a world of difference to me and my family, but I'm on £6.40 ph and I'm just getting by on that wage.