Ten ideas to absorb the increased costs from the National Minimum Wage escalator

The media is claiming that gloom and doom is spreading over UK businesses as the impact of the April rise in the minimum wage “ramps up” costs. Certainly, there are more increases expected every year to 2020 with a £9 an hour minimum wage (for over 25s) in the cross-hairs. Even then we would be behind our erstwhile friends in Europe. What effect does this 2017 4.17% increase in minimum wage have on your business? Normally, as the base wage increases so do all the other. You must maintain percentage differentials, mustn’t you? The impact on your total business costs will vary by sector but could be a 1.5% increase. This at a time when the falling Sterling Exchange rate is driving up other costs too. Is this causing gloom in your Boardroom? Why not make small improvements to working practices every day, with an evolutionary approach, that over a year recovers the 4.17% increase in labour costs? Do you think each of your employees could save five seconds a day on day one, then ten seconds on day two and so on? Here is a list of ten time wasters that could easily save your employees five seconds more, […]

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