EEF, the manufacturers’ organisation, is calling for a formula to be devised so that future increments to the national minimum wage can be anticipated and prepared for by employers.
The organisation, in submitting evidence to the Low Pay Commission’s consultation, said that though most of its members pay their own employees rates that exceed the national minimum wage (NMW), many are affected by it through the services they outsource.
David Yeandle is EEF’s head of employment policy. “In these difficult economic times, it is even more important for manufacturers to have greater certainty about future increases in the NMW and the potential direct and indirect impact on their business,” he said. “Increases in line with basic rates of pay across the economy will help to achieve this objective and ensure that future increases in the NMW reflect the economic circumstances of the time.”