Unite says 10 cent increase means real pay cut after inflation
Low Pay Commission recommendation does not take account of soaring profits
July 19th: Trade union Unite today slammed what it termed an “insulting” recommendation by the Low Pay Commission, which has recommended increasing the National Minimum Wage by just 10 cents per hour. If this recommendation is accepted by the Government, the lowest-paid workers will suffer a real pay cut after inflation at a time when profits in some low-paid sectors have been soaring.
Commenting, Unite Regional Secretary Jimmy Kelly said:
“The Low Pay Commission has missed an opportunity to use the National Minimum Wage as a strategic tool to start ending the scandal of low pay and ensuring that no-one earns below the Living Wage.
“Instead, at a time when some low-paid sectors – such as hospitality – are booming, with profits over 40 per cent above pre-crash levels, workers are being told that they are worth just 10 cent more. That is an insult to low-paid workers.
“Today’s recommendation makes almost no progress on bringing low-paid workers up to the Living Wage: instead, it may actually drive workers further into poverty, since they will suffer a real pay cut after inflation.
“Unite is urging the Government to reject the Commission’s recommendation and announce a real increase in the Minimum Wage – thus telling low-pay employers that poverty pay is not OK”, Jimmy Kelly concluded.