CBI COMMENTS ON RISE IN NATIONAL MINIMUM WAGE

CBI COMMENTS ON RISE IN NATIONAL MINIMUM WAGE

The CBI today responded to the announcement of an increase in the National Minimum Wage to come into effect from October 2011.

Dr Neil Bentley, CBI Deputy Director-General, said:

“This moderate increase strikes the right balance during a period of economic uncertainty. It means that workers on the minimum wage will not fall behind the rest of the workforce in terms of pay rises. A larger rise would have hit businesses hard and could have put many lower paid jobs on the line.”

On the increase to the youth rates of the minimum wage, Dr Bentley added:

“The decision to adopt a more cautious approach to the youth rates reflects the record levels of young people who are unemployed. We must not put barriers in the way of school leavers getting into work.”