Does anyone actually believe that employers will raise wages if tax credits are cut?

[ssd]

We get tax credits, I earn £6.50 an hour, that's minimum wage.

I dont for a single moment think my employer will raise my wage when my tax credits are cut.

AIBU to ask, does anyone, apart from this government, actually believe wages will go up when TC are cut?

Maybe I'm being naive, and years of being in a workplace have left me to think that's the last thing that will happen.

AIBU?

30 even!

The problem with tax credits being the responsibility of the employer is that it makes the employer liable in cases of fraud.

I'm massively worried about this. DH is a f/t uni student, I work p/t, & DD is in nursery. Haven't a clue what we'll do if the government implement this before DD starts school and/or I can't get f/t work as I always did before we had DD, we're screwed. Even, then, my income will go up & DH's uni costs might not be paid any more. How are people supposed to better themselves?

Supermarket margins are 2-3% Much of the stuff we consume is sold at (or less than) the cost of production.

Oil prices continue to drive inflation (admittedly low at present) so I'd bring in a rule which said that only those with refining capabilities should be permitted to bid for crude oil.

Don't a lot of businesses have to pay low wages to remain afloat? If they paid a higher wage and passed that cost onto the consumer then they couldn't compete with goods and services from China and India. To keep the workers of Britain working the govt has to pick up the cost difference via tax credits. I imagine many businesses would not be viable if they had to pay higher wages - so more unemployment overall.

Don't a lot of businesses have to pay low wages to remain afloat?

There's an argument that businesses that rely on wage subsidies don't really have a sustainable business model.

I'm not sure how much evidence/analysis sits behind this argument - I've seen a lot of rhetoric, though.

The problem is that the business doesn't directly receive the subsidy - so that when the Govt decides to cut the 'benefits bill', the person affected is the employee on poverty wages, not the subsidised employer - until there is a period of labour shortage, at which time the business may find itself to be slightly fucked.

i feel like i may as well just give up work !!!

The government are living in Cloud Cuckoo Land if they seriously believe this will work. I shouldn't imagine any of the government have any first-hand experience of living in poverty, why on earth would they be motivated to help the poor.

i dont think they care if it will work or not

i dont think they care if it will work or not

Ding !