Minimum wage - has it gone too far?

Government plans to increase the minimum wage have been slammed by the industry with fears some businesses could be tipped over the edge.

 The Government has rubber-stamped plans to increase the minimum wage by nearly 6 per cent to £5.35 an hour from October.

 Over inflation​The 30pence rise will benefit around 1.3million workers but some industry experts fear licensees will have to bear the cost.

 Tell us how you think the minmum wage will affect you and your business.

 Is it a good thing or will it seriously affect your finances?

 CLICK HERE TO SEND US YOUR COMMENTS. Your Comments​Paul Marcer​ via email 22/03/2006"The minimum wage is the best thing to happen in recent years.if it had not been introduced people would still be working for £3.00 per hour.

 I myself are on the minimum wage working has a Club Steward if the minimum wage was not in force i would never get a pay rise. you need a pay rise each year because of bills going up - ie council tax, gas, electric, water rates ,ect," Robert Feal-Martinez ​via email 22/03/2006"I think this move is indicative of a Government whose members have never run a business. The minimum wage like any cost has to balanced against the overhead. If the staff percentage exceeds what is sustainable staff will be laid off. Businesses will not have any choice in the matter. Ever increasing overheads and the prospect of a 20 to 30% lost of income from a smoking ban will indeed destroy Pubs and Clubs, putting thousands out of work. Is this Government totally incapable of seeing they are destroying small business not encouraging it. This really isn't about whether someone is worth the money it is about whether we as employers can afford to pay it and make a living ourselves.

 Craig Lithgow​ via email 27/03/2006Whilst I think most people will applaud the minimum wage increases over the years it will and has had a huge effect on the industry, particularly with many pubs and clubs focusing on food sales now to help drive revenues and margins. As we all know, selling food will sugnificantly increase the need for staff, and whilst on the one hand as an operater we want to improve service and quality within the industry, it will not be long before we cannot afford to do this and pubs will revert back to the bad old days of long queues, over stretched staff, cluttered tables and subsequently declining sales.

 I run a large busy operation, but to keep staffing levels at the same as this year I will now be spending about £25K more than before the minimum wage with pricing reaching levels that will soon be intolerable. Challenging times ahead ?

 Steve​ via email 27/03/2006"With regard the minimum wage i fully back brown to increase it, the business may carry the cost but what it takes is nothing to what we pay per hour. I am on a salary and it doesnt effect me but i think the staff should get paid more they handle the customer more than i do as a manager."