Nov
03
2010
Minimum wage rise good and bad for those with umbrella companies
Posted by Daniel Frost
Those with umbrella companies could be hit either for better or worse as a result of an increase in the minimum wage, according to one job industry expert.
Phil Flaxton, chief executive of Work Wise UK, believes that anyone who is on a minimum wage will obviously welcome the move.
He explained: "If you are lucky enough to have a job and you are on minimum wage, then you are going to welcome any increase."
One the flip side, those with an umbrella company who have had had to endure a pay freeze in their work may frown upon the increase, with Mr Flaxton believing some will not be happy with taking cuts and then see others gain more money from their line of work.
His comments follow on from a recommendation from the Trades Union Congress (TUC) for the Low Pay Commission to raise the national minimum wage of adults from 21p next year.
According to the TUC, this move could benefit around one million workers, as well as addressing the gender pay gap, as two in three of those affected for the better will be women.
Those with umbrella companies could be hit either for better or worse as a result of an increase in the minimum wage, according to one job industry expert.
Phil Flaxton, chief executive of Work Wise UK, believes that anyone who is on a minimum wage will obviously welcome the move.
He explained: "If you are lucky enough to have a job and you are on minimum wage, then you are going to welcome any increase."
One the flip side, those with an umbrella company who have had had to endure a pay freeze in their work may frown upon the increase, with Mr Flaxton believing some will not be happy with taking cuts and then see others gain more money from their line of work.
His comments follow on from a recommendation from the Trades Union Congress (TUC) for the Low Pay Commission to raise the national minimum wage of adults from 21p next year.
According to the TUC, this move could benefit around one million workers, as well as addressing the gender pay gap, as two in three of those affected for the better will be women.