Living wage: employers are increasingly worried, warns the SCNC
At a recent Retail Forum meeting, Vincent Jennings, Managing Director, Convenience Stores and Newsagents Association (CSNA) requested that representative bodies be given the opportunity by the Department to engage with the Low Pay Commission to discuss the recent adoption living wage proposals.
In a statement, the group warned that its members will be aware that the proposal must be considered in addition to the increased cost of payroll that will follow the implementation of the Statutory sickness benefit schemethe Automatic enrollment program and possible changes to the employers’ contribution to the PRSI.
“More and more worried”
Jennings pointed out that employers are increasingly concerned that they, rather than the state, are seen as responsible for the financial well-being of their employees.
“Employers are not to blame for the huge increases in the cost of living, they are not to blame for the lack of investment in childcare and affordable housing or transportation,” he said.
“There is no doubt that our employees find the experience of making ends meet both unsettling and exhausting, but the answer cannot be simply to expect the employer to pay more money without effort. very important on the part of the State to reduce the costs affecting both employees and employers.”
Jennings noted that anyone claiming to represent workers will be very quick to suggest that if an employer’s business module requires their workforce to earn less than what they consider a living wage, they shouldn’t be in business.
“We are entering a phase where the real difficulties that small and medium-sized businesses are experiencing seem to be ignored in favor of a populist and grassroots approach,” he added.
“Every employer and business owner in our industry should be aware that as labor costs rise, our razor-thin operating margins come under pressure, making future investment plans and increased employment.
“We can’t adopt the style of operation of discounters, but reducing our workforce following the implementation of cost-cutting devices is certainly an action that comes into consideration,” concluded Jennings.