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AIBU?

Share your dilemmas and get honest opinions from other Mumsnetters.

NMW to increase again next year to £12.21 ph.

810 replies

ZoeZee · 29/10/2024 19:51

If you’ve not had a pay rise this year, despite bringing it up to your employer, and now there’s set to be another 6% NMW increase next year (which is fantastic, don’t get me wrong) the pay gap is narrowing ever more between skilled/unskilled employees.

Skilled and those with MANY years of experience, might as ditch their responsible/stressful jobs (which often keep you awake at night) and look for something that doesn’t have the added responsibility?

Almost 20 years experience means nothing to some employers! AIBU?

Any employers who have a view on this increase, please let me know how this might affect you and your staff.

OP posts:
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Enigma52 · 29/10/2024 21:17

buffyspikefaith · 29/10/2024 20:13

NMW jobs often still have stress and responsibilities and keep you awake at night, but then you've also got the fact you're trying to live on NMW

This! 👍

Enigma52 · 29/10/2024 21:17

@Ridiculousradish and me also! SEN TA and I'm mentally shattered by the end of the week.

AlexMason01 · 29/10/2024 21:17

businesses should be able to make profits without expecting cheap labour @ZoeZee

EarlofShrewsbury · 29/10/2024 21:16

TheHateIsNotGood · 29/10/2024 20:20

For those thinking that they are so qualified and experienced that they may as well get an NMW job as it will be sooooo much easier - off you trot then. Get used to SSP, etc and the barest minimum of many of the T&Cs you currently enjoy. And, of course, people like the OP thinking they're just that little bit better than you.

Yes, try that zero hour contract where you are given unreasonable demands with the threat of losing your hours if you don't comply.

In my old job I was being asked to do things that were illegal and if I refused I'd be given less hours or if they needed me the hours that gave me the shittest work/ life balance. It was like coercive control.

I got a new job recently and I'm so glad have a proper contract.

MonkeyToHeaven · 29/10/2024 21:16

notanothernamechange24 · 29/10/2024 21:13

Wages, insurance and fuel costs are staggeringly high in care homes. The vast majority don't make much or any profit these days. It's a huge myth that people are getting rich from owning care homes.

"The UK’s second richest family has made their first move into the care home sector with the acquisition of Northampton-based provider Avery Healthcare.
Reuben Brothers, founded by Simon and David Reuben (pictured, left to right) and estimated to worth £21.5 billion in the 2021 Sunday Times Rich List, will enter into a 50/50 joint venture with US real estate investment trust and prominent UK care home investor Welltower Inc."

Frowningprovidence · 29/10/2024 21:16

Mealplanningfatigue · 29/10/2024 21:08

35k and 40k is the group that will be hit hardest though. No UC but will stop their kids classes, stop going out for dinner, not buy a new car, lose the cleaner etc.

Not everyone on minimum wage gets universal credit. If you are in a couple and your partner earns more.

But I was more thinking of the people saying that the better paid jobs all have better terms and are easier work. I dont think that's true. Some jobs pay a tiny bit more than minimum and have the same terms and conditions.

Didshejustsaythatoutloud · 29/10/2024 21:14

I know what you mean op. For instance, I do not hold a degree in the position I am in. The qualified professionals do. They earn only maybe 2-300 per month more than me but have way more responsibilities. For the extra stresses, It is really not worth it.

Horseracingbuddy · 29/10/2024 21:14

ExtraOnions · 29/10/2024 20:12

If you can’t afford to pay your staff £12ph, you shouldn’t have a business.

I have a family member who runs his own free house pub. It's in a listed building with a very small kitchen, he can only have a small eating area. The pub is in a deprived area, only 2 other pubs in the town. With Covid loans still being paid off he cannot afford to pay all his staff 12 an hour. He recruits as many 18 year olds as he can keeping the wage bill down. There is no way that his business would be profitable if all his staff were paid 12 pound an hour. The locals want his pub to stay open as 3 others have closed in the past 5 years, he's restricted to what he can do by the building being listed. Does his business deserve to fail because he can't pay 12 pound an hour?

notanothernamechange24 · 29/10/2024 21:13

midgetastic · 29/10/2024 20:17

Are most of a care homes costs wages, the 25% profit or the mortgage on the actual property?

Wages, insurance and fuel costs are staggeringly high in care homes. The vast majority don't make much or any profit these days. It's a huge myth that people are getting rich from owning care homes.

tigger1001 · 29/10/2024 21:12

ExtraOnions · 29/10/2024 20:12

If you can’t afford to pay your staff £12ph, you shouldn’t have a business.

Oh if only life was so simple.

Apart from the fact the cost is passed on to the end user - look at the people posting on this thread about nurseries. Many will go under and that will affect people's ability to work.

Nanny0gg · 29/10/2024 21:12

Out of interest, how many in the current government have worked outside the public sector?

Konfuzzled · 29/10/2024 21:12

YorkshireLandlady · 29/10/2024 20:55

I run a business with 25-30 staff on average, all paid above minimum wage currently.
The increase in NMW, plus huge increases in employers National Insurance expected to be announced this week, mean I'm facing a tough call as to whether to employ less full-time staff or just less staff in general, or potentially give notice on my business, as these increase combined with energy & food/drink costs above the rate of inflation make it borderline viable.
It's pretty soul destroying right now.

Exactly. Also the day one rights like unfair dismissal mean that businesses, especially small businesses, are less likely to take on "risky" employees. We employ people out of rehab, homeless, ex-offenders etc. Most of them work out and are great employees but when they don't they can also cause a lot of problems when they're fired (false claims, threatening to sue in an effort to be "paid off" etc). The increasing risk of tribunals claims makes it much riskier to employ people with non-traditional backgrounds, so lots of employers will no longer take a chance on these people.

Pep12per · 29/10/2024 21:11

Batmanisaplaceinturkey · 29/10/2024 21:02

This. The bloody problem is housing. Its too expensive. But let's make employers the enemy eh.

Exactly, why should small businesses and charities go under because salaries have had to go up and up to chase a silly housing market.

IVFmumoftwo · 29/10/2024 21:11

Feelingathomenow · 29/10/2024 21:00

With that well reasoned argument, I take it you were one of them!

You think this is worse than Liz Truss???

Mealplanningfatigue · 29/10/2024 21:11

Nanny0gg · 29/10/2024 21:10

Staff deserve to be properly paid for their work

But to raise this AND employer's NI contributions plus goodness knows what else, at the same time, is bonkers.

Because companies going out of business helps absolutely no-one, including government

No ones disputing a fair wage for a day's work, the general mood of the thread is "this is going to hurt" because we can all see how this is going to raise the cost of living again.

StarDolphins · 29/10/2024 21:11

MonkeyToHeaven · 29/10/2024 21:07

Weird how this never happens anywhere when the minimum wage has been increased. In fact it's one of the reasons for the boost in the US economy, which is seeing its lowest rates of unemployment for 50 years.

Are you sure about US unemployment rates, can you link to this?

HairyPie · 29/10/2024 21:10

This reply has been deleted

This has been deleted by MNHQ for breaking our Talk Guidelines.

Nanny0gg · 29/10/2024 21:10

MonkeyToHeaven · 29/10/2024 21:07

Weird how this never happens anywhere when the minimum wage has been increased. In fact it's one of the reasons for the boost in the US economy, which is seeing its lowest rates of unemployment for 50 years.

Has the US increased Employer's outgoings in other areas at the same time?

Nanny0gg · 29/10/2024 21:10

BCBird · 29/10/2024 20:21

We should not be accepting that staff get poorly paid. It scandalous

Staff deserve to be properly paid for their work

But to raise this AND employer's NI contributions plus goodness knows what else, at the same time, is bonkers.

Because companies going out of business helps absolutely no-one, including government

StarDolphins · 29/10/2024 21:08

IVFmumoftwo · 29/10/2024 20:59

Don't be daft.

Why on earth is this daft? Infact, it’s fucjing daft to even say it.

If businesses have to pay out more on staff, prices go up for the consumer or they get made redundant. Unemployment & prices are pushed up.

Absolutely nothing daft about that.

Mealplanningfatigue · 29/10/2024 21:08

Frowningprovidence · 29/10/2024 21:06

I think my perspective comes from having several jobs one of which is minimum wage. I actually prefer that one but do the others as they pay varying amounts more. The one just above minimum i really think I will ditch for more hours in the minimum wage one. But I would ditch the minimum wage one if I could get enough hours in my best paid role.

The thing to remember is the tax free allowance makes up more of a lower wage, so even though a role might be say 2k more, the whole lot is taxed as you've used your allowance.

I think a lot of people on this post are thinking of jobs that pay 35, 40k not just a tiny bit above minimum.

35k and 40k is the group that will be hit hardest though. No UC but will stop their kids classes, stop going out for dinner, not buy a new car, lose the cleaner etc.

ManchesterLu · 29/10/2024 21:08

ZoeZee · 29/10/2024 20:00

Once I take my travel costs into consideration I might as well go wash pots in my local pub! End of the day, my job will be done and I can go home stress free!

I was literally just thinking, at this new rate, particularly where I live in one of the cheapest places in the country, I would be better off getting a shit but stress free job.

midgetastic · 29/10/2024 21:07

Wages where people can't afford to live and need benefits when they work mean the business model is broken , or else someone is profiting, using tax payer money to help them along

MonkeyToHeaven · 29/10/2024 21:07

Feelingathomenow · 29/10/2024 20:57

The Labour Party are utterly ridiculous. They are about to make Liz Truss’s government look like economic whizz kids.

Push up minimum wage- costs passed on so makes life even more expensive wiping out any increase.

Coupled with the anticipated rise in employers NI many businesses won’t be able to afford to employ people leading to higher unemployment

Honestly -who the hell voted these 16 year old socialist worker sellers into office????

Weird how this never happens anywhere when the minimum wage has been increased. In fact it's one of the reasons for the boost in the US economy, which is seeing its lowest rates of unemployment for 50 years.

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