Harlow Labour’s Chris Vince slams chancellor over minimum wage plan
News / Wed 4th Oct 2023 at 09:37am
THE PROSPECTIVE parliamentary candidate for Harlow, Chris Vince has criticised the chancellor of the exchequer for announcing an increase to the minimum wage saying “when a pay rise is really a pay cut”.
Chris Vince said: “With a great fanfare Mr Hunt the Conservative Chancellor announced the minimum wage will increase to £11.00 an hour next April.
But is this really the good news the Conservatives would have you believe? Only up to a point. A rise from £10.42 to £11.00 is an increase of 5.56%. With inflation having been several percentage points above this all year, the rise to £11.00 is a real terms pay cut for those on the minimum wage, as a result of this increase you’ll at best be in a slightly less worse position than you are now.
Most workers on the minimum wage have no choice but to claim ‘In Work’ benefits, in effect the state subsidising poverty wages. This is shocking state of affairs in the sixth richest country in the world and people are entitled to ask why.
When a pay rise is actually a real terms pay cut, another pressing question people are entitled to ask is “why are Conservatives like Mr Hunt constantly trying to mislead the public?”
But this is now the norm for this Conservative Government, deflect, mislead and even blatantly lie.
Only a couple of days ago Mr Sunak was trying to portray a slowing of inflation as a tax cut. It would be laughable were it not so serious. Household budgets are stretched to breaking point as a result of his economic failures and all he has to offer are phoney claims about how he’s helping.
Is there no depth to which they will not descend?
The reality is crystal clear, after 13 years of mismanaging the country the Conservatives have run out of ideas and have nowhere to hide so, like a wounded animal, they lash out.
They are failing everyone except their rich friends and donors. The very same friends and donors whose enormous wealth increases daily at the expense of the workers to whom they will begrudge paying even this small increase in the minimum wage.
“It’s time for change and it can’t some soon enough”.
Kim Oconnor
2023-10-04 09:42:04
What would you do chris. ?? I agree with you thou.
Dan Swords
2023-10-04 11:14:55
Firstly, the new proposed new Living Wage comes in from the new financial year when inflation is expected to be significantly lower. Second, will Chris praise the Government who have consistently increased the Living Wage over and above inflation since its inception. Third, this represents a £1,000 pay rise for those on the NLW next year, not a cut. Fourth, successive rises mean a full-time worker on the National Living Wage will be over £9,000 better off than they would have been in 2010. Fifth, it was the Conservatives who introduced the NLW to end low pay.
David Forman
2023-10-04 12:32:21
Chris Vince knows that a Labour government under Kier Starmer will continue Conservative spending plans. Starmer, in an interview in July with the BBC's Laura Kuenssberg, was not upset at being branded a “fiscal conservative” as he repeatedly refused to spend more on the NHS and other public services. So spending more than the Conservatives on the minimum wage is equally unlikely. See the Independent's story at https://www.independent.co.uk/news/uk/politics/keir-starmer-labour-government-spending-b2376121.html
Alex Kyriacou
2023-10-04 12:35:00
Does Dan Swords understand that inflation, by its very definition, inflates the currency? So his first argument about the timing for introducing the new NLW being next year when inflation is “expected” to be lower carries no weight. Inflation has still been consistently higher for more than a year. Ergo, a rise of 5.56% is still a pay cut. It is only a rise if it exceeds inflation. Woeful economic illiteracy from the Leader of the Council.
David Forman
2023-10-04 12:51:32
Keir Starmer told Laura Keunssberg that growing the economy was a prerequisite for spending more. "Secure the highest sustained growth in the G7" is the first of Labour's 5 missions. The Institute for Government (IfG) said Labour's plan to secure sustained growth within the first 5 years in power would be "doing something that the UK has rarely, if ever, achieved in the past four decades." More damning, the IfG said Starmer's growth plans would be "relying on luck as much as effective policy if he is to achieve this mission in less than five years." See IfG report at https://www.instituteforgovernment.org.uk/comment/keir-starmers-five-missions-labour-govern
James Leppard
2023-10-04 12:54:51
Alex Kyriacou, inflation does not inflate the currency, it increases money in circulation and has the effect of likely depreciating the currency in relation to other currencies and reducing the purchasing power of the currency.
Mark
2023-10-04 12:59:40
Mr Leppard and Mr Swords, inflation makes things people need to buy more expensive. Unless wages go up by inflation that means people become poorer as their wages won't purchase what they used to purchase. A pay rise of 5.56% when inflation for the past year has been much higher than this therefore represents a real terms pay cut. You know this so your comments are clearly designed to mislead readers. That's what the Conservatives do though isn't it?
Alex Kyriacou
2023-10-04 13:23:34
Atta boy, Mr Leppard, thanks for confirming my point by pointing out that the inflation in our economy reduces purchasing power, thus a 5.56% increase is in effects a real-terms pay cut thanks to your former Party Leader’s economic mismanagement causing high inflation. Tories have a hard enough time in the coming months already, I’d avoid making it harder with these own goals.
Guy Flegmen
2023-10-04 13:35:57
Why does no one talk about how the minimum wage has eroded the pay gap between skilled and unskilled jobs?
Sandy
2023-10-04 13:37:14
After tax and n.i. deductions it would be about£380 take home for a 40 hour week, is that really a living wage?
James Leppard
2023-10-04 13:49:41
Mark what is misleading? I stated quite clearly that inflation reduces purchasing power, precisely what you have just stated. My comments were based on the statement 'that inflation inflated the currency' suggesting that the value of currency appreciates, which of course it doesn't. That was all.
Tony Wiseman
2023-10-04 15:16:45
Although the debate above is interesting it is also letting Cllr Vince off the hook! Kim OConnors' question is the most relevant, "What would you do Chris?" Once again Cllr Vince has slagged off the current government without putting forward a costed and planned alternative. The thought of the Conservatives gaining another term in power worries me but the thought of Cllr Vince becoming our next MP when he clearly has no real ideas or plans in mind worries me more.
Hugo
2023-10-04 17:51:20
"What would you do Chris?" It is not Chris' or Labours' responsibility to provide alternatives. They are in Opposition and a GE has not been called. They have a responsibility to hold the governing body to account and point out the failings of any and all policies. Playing " well, what would you do, eh? Eh? Eh? Answer MEEEE!!!!" is simply a distraction from the failings of this pitiful, hateful, miserable bunch of failures. Chris - keep doing what you are doing, holding this lot to account at the local and national level. RE: Inflation. Different people have different rates of inflation. Guess what? Those who earn less generally have higher inflation because they can't buy in bulk, can't afford higher quality stuff that wears out quicker etc. So, a raise that is at or less than the "average(?)" inflation is likely a pay cut for the least well off. Again. And a lower rate of inflation is not a good thing. All it means is that things are getting worse at a slightly lower rate. Things are still getting worse.
Kim Oconnor
2023-10-04 18:07:53
I ask again Chris, what would you do.?? No response, is not listening to public opinions.
James Leppard
2023-10-04 18:22:35
Hugo, in a democracy, it is the role of the opposition to present an alternative programme, strategy, policies. It is not just to hold the governing party to account. Kim O'Connor is absolutely correct on this point.
Hugo
2023-10-04 19:11:57
James Leppard - Thank you for your lecture in "democracy". Perhaps you can tell me what part of your version of "democracy" allows your party to award PPE contracts to it's own party donors, members of Lords, or pub landlords, then have to burn the useless PPE? What part of your version of "democracy" wastes £4B of taxpayers money on useless PPE which is then burnt, and yet will not spend the same amount on a hospital for Harlow? What part of your version of "democracy" reduces peoples rights to work abroad? What part of your version of "democracy" reduces people right to strike? What part of your version of "democracy" reduces peoples right to protest? I will take no advice from you about "democracy" when you and your party have done so much damage to democracy whenever you have been in power. Every single time you have reduced rights, standards of living, and made the poor poorer. If it is stealing milk from children, imposing a poll tax, failing to maintain school buildings, or failing to build a railway, you have always ruined this country and made things worse. You are a failure to "democracy".
Adam
2023-10-04 19:39:25
Politicians useless the lot of them. Lets break this down 1. Inflation might be lower but, inflation is rate of change the prices still stay at the same level 2. Minimum wage increases are paid not by government but by businesses, which are facing a tough time especially those that generally pay minimum wage (it has become a defacto default wage for many roles). That means they either increase prices (inflationary) or lay off people / make cut backs. Perhaps a simpler method would be to SCRAP the minimum wage and let the market determine the pay rate and not the government.
Pedro
2023-10-04 20:18:23
For smaller hospitality companies in particular, that employ almost 3 million people in the UK these wage rises will present difficulties. First, because it will increase the share of labour costs taken out of revenue. For some businesses, it might typically push the percentage up from a sustainable 28% of revenue to an unsustainable 32-35%. Secondly, the knock-on effect is that employers may feel forced to cut back on investments in technology, training and equipment that raise productivity – a short-term solution that will have negative long-term consequences. As Adam said above scrap the minimum wage and let the market decide rates, or may Mr Vince could ask Keir Starmer what his answer is?
Tony Scrivener
2023-10-04 20:25:48
At least putting up minium wage helps people you bet inployers would pay less if they could. so why dosent labour commit to making much higher rather than slamming the canceller 😞😕🤔
James Leppard
2023-10-04 22:53:27
Hugo, you have diverted from the subject as to the role of the opposition in a parliamentary democracy. Our outpouring simply seeks to distract from that theme and provides no enlightenment. Kim O'Connor's perfectly reasonable question remains unanswered.
Luke Burton
2023-10-05 04:00:52
That time of week again for another slamming from Mr Vince!
Kim Oconnor
2023-10-05 10:29:03
Third time lucky may be.. Chris vince what would your plan be.???? Don't get me wrong ,I have no respect for this government or council s, who leave, our Harlow town in Limbo, with the no facilities for Harlow Gilston town project.. putting more and more pressure on Harlow.. and I have no respect for this decision to demolish occasio house with out inspection of wild life first... before you say any thing James Leppard, the green party have the proff ,we have the pictures...we phoned the council last week, we received phone call back this week.. To late , , to late for theses nesting birds..A way of shutting us down again. And as for labour,, well let's hear your plans,, what would you do differently, let's here your plan,, you just carnt spout of with out a plan... or is this a case of all puff and no blow.. What would you do Chris..?? It's the same when you spoutted of about nurses pay,,, I asked what would you put on the table,,, no response... About right...
Defund the lot of them
2023-10-05 22:26:34
Defund politics
23 Comments for Harlow Labour’s Chris Vince slams chancellor over minimum wage plan: