Minimum wage 'should not be increased' in sales jobs
The government should concentrate on creating new sales jobs instead of increasing the minimum wage, according to an industry body.
Policy Exchange, a centre-right thinktank organisation, reacted to the news that the Trades Union Congress has called for the national minimum wage to be increased to £6.
Lawrence Kay, research expert at the exchange's economic unit, said that this was no time to be raising the wage burden on businesses.
He added: "We want to create new jobs, not just pay workers who have them more money. The cost of living for people on low wages is currently falling so there is no reason to think that people who have jobs are falling further into poverty."
However, Gavin Hayes, general secretary of democratic left pressure group Compass, said that increasing the minimum wage by 20p would not drive businesses into the ground and it is right to pay decent wages to those that work in sales jobs.
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By John Oak and Paul Goatman
Filed: 30-10-2009
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