In response to, Mark Ellse: Osborne’s living wage will be a greater disaster than Brown’s bloated tax credits, Bogbrush wrote:
This is not an argument, it is a fact – because I am an employer of over 700 people who will be an employer of about 450 next year because of this.
I pay well for engineering and skilled jobs but where I have unskilled assembly work the prices of my products demand low unit costs. As a result of the National Living Wage I am:
– Delisting areas of business that are no longer viable (these will not be relocated to another business, they will be dead).
– Reformatting products to existing automated operations.
– Accelerating the already existing programme of automation.
This is not a forecast, or a projection, or an opinion. This is actually happening – indeed, in terms of decisions made it has already happened. The effect will be felt in 2016 and thereafter, but it’s a done deal.