Above inflation rise in national minimum wage bad for salons

Following the announcement by the Low Pay Commission (LPC) that it has recommended a 3% increase in the adult national minimum wage, the National Hairdressers’ Federation’s CEO Hilary Hall has released the following statement: “For a labour-intensive, relatively low-wage industry such as hairdressing, the prospect of an above-inflation rise in the national minimum wage will be deeply disappointing. There is an important debate to be had around pay as the economy improves, but the feedback from our members, and what the NHF stressed to the LPC in its submission, is that outside London and the south east the economic recovery remains fragile and patchy. “Many high streets, and many small businesses, are still struggling, and having to find these extra wages will act as a brake on their recovery, their growth prospects and, most importantly, their ability and appetite to recruit and retain employees. “The NHF and other small business organisations wrote to Mr Osborne earlier this year emphasising the continuing need for wage restraint and urging him to leave decisions about the minimum wage to the assessment of the LPC. We are pleased to see the LPC has considered the evidence rationally, and restricted the increase for apprentices and young people to a more manageable 2%.”  The LPC recommendations for the new national minimum wage are: Adults                £6.50                 up 19p from £6.31 18-20                 £5.13                 up 10p from £5.03 Under 18           £3.79                 up 7p from £3.72 Apprentices      £2.73                 up 5p from £2.68 (under 19s and for first year)