Labour are going to crash the economy/jobs market.

[Batmanisaplaceinturkey]

Just a few of the changes
-Making it harder to dismiss a bad hire.
-SSP a percentage of earnings, available from day one of sickness.

And now plans to raise employers NI.

All very well if the employer is Amazon or Google but not so much the independent coffee shop down the road, the plumbers merchant, the cobblers, the florist etc. More expenses and red tape for them but who cares eh. Even if they do survive their costs will have to rise.

Labours plans will have unintended consequences.

I can remember the 'Winter of Discontent'. Half the country was on strike for one thing or another.

The winter of discontent was 1978-79, not in the 1990s...

I CBA to RTFT.

Whilst there are considerations for small businesses, wanting better protection for employees will not trash the economy. What a clickbait thing to post. Trashing the economy is having a budget that doesn’t balance Truss style and that spooks investors, this is a way off that.

Arguably it might be an extra barrier to some recruitment, but it stops a lot of undesirable things (zero hours etc.) which are a drain on the welfare state.

It’s been flat for the past 2 years IME

There is a lot if free advice online, so small businesses don’t have to be experts - but if you’re responsible for someones livelihood by employing them you should take that v seriously.

It’s likely probationary periods will be much longer with ‘day 1 rights’ and so you’ll need clear expectations and feedback on what is going well/not.

Link to all these cases you’re referring to?

How is the economy supposed to flourish if businesses keep exploiting people with zero hour contracts and poor conditions and expecting the welfare state to pick it up?

I don't principally agree with the concept of tax credits for working people. If employers can’t pay their staff a decent wage (which is way above NMW) they don’t have a viable business. It’s more complex than that as cost would be passed to consumers but is some ways thats true cost, not subsidised businesses.

Ponzi schemes, i.e. current claimaints funded via current taxes. Only works until you have more claimaints than people paying in. The same setup that scammers often use with fake investment schemes, which always collapse when those wanting to withdraw "their money" (which does not exist because it's already been spent paying off previous "investees", yet they continue to believe they will receive until the scam is revealed and it all falls down, which is inevitable with anything structured in this manner).

It was apparent over 40 years ago that this was an unsustainable system and certainly not one any competent Government would use to finance pensions and that due to demographic changes (population bulge of baby boomers plus rising life expectancy) this would become impossible to fund without it draining tax revenues needed for other purposes: health, education, infrastructure (things that actually increase productivity and generate economic growth and therefore rising living standards).

These "liabilities" (which simply will not be paid for those currently in these schemes and not retired yet, because the UK literally cannot possibly pay them) are held off balance sheet so not even included within the Government's quoted debt figure. If they were the markets would have a fit but I suppose it's obvious to all of those in finance/ economics that at some point (much too late to manage a smooth transition to a sustainable system, of course) these people will have to be told that they're not getting what they think they will get because there's literally no way the UK can pay them what it said it would, which they've paid nowhere near enough to fund even if it had been saved and invested, which it hasn't. Successive Governments being con artists basically, each hoping they'll be out of office before the proverbial hits the fan and someone unfortunate has to level with people on the reality.

No Government bothered to do anything about it and put a sustainable, contribution-based funding system in place as e.g. Australia did to reform their system that was previously like ours, because their Government actually cared about making decisions that were viable for their country in the long term and weren't prepared to continually lie to people and promise the moon on a stick knowing there was not the slightest chance they would ever be able to give it to them in reality.

@SunriseMonsters thanks, I think I'm in one of these schemes, lgp scheme 😱

I agree. It seems half the country is some form of benefits and the rest doesn’t work at all.

Nah, doesn’t help at all and contributes precisely zero to the discussion.

HTH

Brexit. being out of the single market and customs union and the additional red tape this has introduced is ruining the economy. £4billion a year lost and counting. This needs to be addressed.

I have my own very small business that heavily relies on the public spending their money, its already started to slow with the rumblings that have happened and the increases to keep my lovely 6 members off staff on would undoubtedly mean I would have to dissolve.
This is 9 years in the making and building to what was a lovely business and livelihood for my staff.
I do unfortunately worry about what Labour will bring in as this will take away a living for at least 7 families

That might mean nothing to you but that's 6 families I now have to start trying to plan for this not to happen for when I need to also ensure my own will get through this tough period

And just to add, when you advertise a salary which most people think is OK and will work for, there is atleast and extra 1k cost for the business to find to pay which ultimately has to be passed on to the customer. Yes the wages show the deductions on the payslip but the business has to generate enough work to then cover this and then more, let's not even bring in corporation tax and VAT costs. I suggest you educate yourself more on these percentages.

It's loose loose for small businesses, and this will almost certainly kill off quite a lot.

This 💯 and more

This government is turning into an absolute shit show.

It's worse than that. It's 4% of GDP. £124bn per year currently of GDP lost. The overall tax rate for the UK economy is 35.3% so that is nearly £44bn of lost tax revenue just this year as a result of Brexit. Getting higher year after year.

Makes Rachel's moaning about her alleged £22bn black hole look rather stupid, doesn't it, when she and her colleagues are doing nothing to rectify this.

For context £44bn is significantly in excess of the entire amount spent on primary and early years education every year. If not for Brexit, this could be doubled.

Or, it is not far from the entire defence budget. That could be doubled.

Or, we could just distribute this money across public services to make most of them function to an acceptable level and not tax people to death instead.

"Tough choices"? Nonsense. They refuse the very obvious solutions staring them in the face and expect us to all welcome lower living standards to protect their ideological and ridiculous refusals to make rational choices, just like the last lot.

I have such mixed feelings at the minute. I really want an economy where people are paid a living wage and treated with dignity. Equally I'm concerned that employment rights from day 1 will lead the usual pisstakers to find every loophole imaginable. I can't help thinking employers simply won't take people on.

Is it normal? You can gloss over it all you want but It doesn’t look good does it?

Mmm, didn’t the Tories already do that?

@Belle96 did you quote the wrong person or misunderstand my post? The post you quoted was pointing out the utter lunacy of proposing to raise employers' NI if they wish for there to be economic growth. My other posts on the thread also specifically state the need for there to be significantly more support for SMEs. What is it you think I "don't understand"?

What doesn’t? I’m not glossing over anything. There was a terrorist threat real enough to cancel a concert the week before. She had a police escort in other cities earlier in the tour anyway. So have other artists in the past. The tour was brilliant for the economy.
I don’t believe you really think Starmer was given tickets in exchange for some police security. It boggles my mind that you might for even a millisecond think that made any kind of sense.

I agree.

A minor royal (Sophie?) had massive police protection- when a motorcyclist outrider killed an 89 year old. Surely, a mega-star who had to cancel the week before due to terrorist threats would need heightened security.

Again, a complete triviality in terms of the piblic finances and economy and what needs to happen to fix them.

Police escorts and MPs expenses blah blah blah. Why do people get hung up on such nonsense that amounts to an insignificant rounding error at most and ignore the actual economic issues that need to be fixed and are making them poorer?

Oh dear the doom and gloom! Now 40 billion gap found?? Fuck sake and this is open for business Britain?? Anymore doom and gloom?

It's not just been "found". It's been well documented and analysed ever since Brexit. In fact, it was forecast surprisingly accurately beforehand. Hardly new information to anybody with a basic grip on economics.

Not a triviality at all, much as you would like
it brushed under the carpet. It corrodes trust in the government and feeds into a damaging one rule for them and one for us narrative which is very difficult for the new government to eliminate and explains why they are now spinning so hard to try to undo some of that damage.

Also makes them look both greedy and naive. Again, not a triviality.