UK to receive "living wage" by 2020 £9 per hour minimum wage.

originally posted by: nonspecific
a reply to: Subaeruginosa

Well call me a tool if you must but here's a possible outcome of a £10ph minimum wage in the UK.

That would mean an increase of £3.50 per hour across the board not just for miumimum wage, everybody would need a wage increase of £3.50 to maintain a pay structure.

In order to accomadate this large companies would have to increase to cost of goods and services to accomodate this OR move there operations overseas to take advantage of cheaper labour in other EU nations.

Some EU nations perhaps, but companies are already doing that. More and more car manufacturers gradually move their manufacturing from the UK to the Czech Republic etc (not only because of cost, but also in order to retain access to the EU market in the case of a brexit). Other EU nations already have a actual minimum wage in excess of £10. Germany's statutory minimum wage is lower than that, but the unions, who are very strong, generally demand the equivalent of £10 and up as the minimum wage. Sweden doesn't have a national minimum wage, but again, the unions demand a minimum wage of around £10.50. It doesn't seem to affect employers severely despite the fact that employers' national insurance is 32% there.