Reply to: We have job losses if you want them baby

[vetran]

Employer NI always has been a tax on working. Whether the rise is inflicted by the Tories or Labour.

1970-1979, EENIC was at 10% Tory/Labour
1980-1997, slight raise to 10.45% in the late 80s. Tory
1997-2000 - 12.8%. Labour
2010-2015 - 13.8% Lib/Con coalition
2015-2019 - 13.8 Tory
2024 - 15% - Labour

so the highest ever then?

[NotAllThere]

Employer NI always has been a tax on working. Whether the rise is inflicted by the Tories or Labour.

1970-1979, EENIC was at 10% Tory/Labour
1980-1997, slight raise to 10.45% in the late 80s. Tory
1997-2000 - 12.8%. Labour
2010-2015 - 13.8% Lib/Con coalition
2015-2019 - 13.8 Tory
2024 - 15% - Labour

[Chris Bryce]

Keep pushing employment costs up == offshoring of more remote jobs. Simples.

[vetran]

As pointed out earlier on, any efficient business will not have more staff than it needs so, if it lays off staff, its production and profits will decrease. So they won't do that on any significant scale.

As for offshoring & automation, if they could do more of that they'd already have done it.

putting the costs up just makes automation & offshoring more attractive & possible.

[sadkingbilly]

yeh, - right!

[Snooky]

It's actually fairly straightforward. If 50,000 small business lay off 1 staff member or several very large companies lay off 1% of their combined 500k workforce as a result of the extra overheads, it's still 50k unemployed people to support.

Meanwhile the big guys offshore or automate their workforce to fill the gap, sending another chunk of income out of the country.

At some point, even Starmer and Reeves will realise their actions are totally incompatible with promoting growth in the UK. Probably too late to do anything about it.

As pointed out earlier on, any efficient business will not have more staff than it needs so, if it lays off staff, its production and profits will decrease. So they won't do that on any significant scale.

As for offshoring & automation, if they could do more of that they'd already have done it.

[malvolio]

It's actually fairly straightforward. If 50,000 small business lay off 1 staff member or several very large companies lay off 1% of their combined 500k workforce as a result of the extra overheads, it's still 50k unemployed people to support.

Meanwhile the big guys offshore or automate their workforce to fill the gap, sending another chunk of income out of the country.

At some point, even Starmer and Reeves will realise their actions are totally incompatible with promoting growth in the UK. Probably too late to do anything about it.

[WTFH]

Minimum wage has been upped to almost 25K for those that work full time, Tesco and Amzon etc and pay above minimum wage. So i guess closer to 30K for full time shelf stacking now.

Your guess, like most of your thoughts, is way off.

Amazon average salaries:
Warehouse Worker £23,436 per year

Packer £21,861 per year

Fulfillment Associate £21,092 per year

Order Picker £18,271 per year

The average salary of a Tesco shelf stacker is £22,752

I "guess" £18,271 to 23,436 is closer to £30,000 than it is £0, in the same way that £20,820 (NMW) is "almost 25K"

[Snooky]

Good point businesses should make a profit , now please explain why they should keep staff if they now cost more?

Since any efficient business will get rid of staff they don't need, we can assume that they need all the staff they currently have to achieve their current level of sales. To continue their success or improve on it, in the absence of any innovative efficiencies, they'll need to keep all those staff and possibly employ more.

[vetran]

As it happens, in my town, quite a few new shops have opened over the last 6 months. Proper shops that is, not vape stores/nail bars. The shop closures were all in the couple of years before then.

It's not all rosy but I'm not too worried about the future of Tesco, Amazon, Greggs and Next.

oh they will survive just with fewer staff as we have already seen.Profits will be declared abroad of course.

[Fraidycat]

Minimum wage has been upped to almost 25K for those that work full time, Tesco and Amzon etc and pay above minimum wage. So i guess closer to 30K for full time shelf stacking now. 40K with overtime in London. + Employer NICs on top. And not able to save as much on employer NICs with part time staff now that the threshold has been lowered.

They already have bare minimum staff so they only way to reduce headcount further will be more automation. That and close the less profitable stores.

If they cant reduce head count then they will all raise prices.

[Uncle Albert]

Not sure if you have noticed it many large companies have gone into bankruptcy and many closed shops throughout the country. We are now taxed more than we have ever been.

As it happens, in my town, quite a few new shops have opened over the last 6 months. Proper shops that is, not vape stores/nail bars. The shop closures were all in the couple of years before then.

It's not all rosy but I'm not too worried about the future of Tesco, Amazon, Greggs and Next.

[vetran]

That's a bit like syaing why should people carry on buying bread and milk if they now cost more than they did last year. If you intend to keep alive/in business then you have to accept that prices/wages will rise over time.

Not sure if you have noticed it many large companies have gone into bankruptcy and many closed shops throughout the country. We are now taxed more than we have ever been.

[WTFH]

That's a bit like syaing why should people carry on buying bread and milk if they now cost more than they did last year. If you intend to keep alive/in business then you have to accept that prices/wages will rise over time.

Equally, if you want your customers to have money to be able to spend with you, they need to earn enough to be able to do that.

Why should shops/restaurants/etc pay staff a wage that means they can afford to live? The staff should get 20p a day and be glad. In my day 20p would get you a 4 bedroom house which is why I own so many of them, and yet these people complain that I"m charging them £5000 a month in rent. They are all woke and lazy, and it's the fault of everyone but me...

[Uncle Albert]

Good point businesses should make a profit , now please explain why they should keep staff if they now cost more?

That's a bit like syaing why should people carry on buying bread and milk if they now cost more than they did last year. If you intend to keep alive/in business then you have to accept that prices/wages will rise over time.