Living Wage 2020... is it right?

dowie said:
not significantly no, with some exceptions for sectors where the biggest cost is lots of minimum wage staff (so perhaps cleaning companies will hike prices for example)
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I mentioned In the other budget thread about Nurseries, who are a sector that this will affect massively, due to very high staffing levels required in relation to turnover.

To give you my example of a Nursery I'm the Finance Manager for, being mindful of childcare costs I've kept fee increases to a minimum where possible and from 2010-2015 the fees have gone up £5 a day, from £30 to £35.

Now to cover this rise, a quick extrapolation this morning showed that by 2020 our fees will need to be over £55 a day to cover this wage cost....:eek:

the whole 'if we increase the minimum wage then inflation will rise up too and it will all be pointless' is usually a flawed right wing argument against the minimum wage... as is the scaremongering that it leads to massive job cuts
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Agreed, for most small businesses with only a few staff, the costs aren't going to be exorbitant and things will just carry on, but for others it's going to have a massive effect.
 
Your management must be absolutely crazy if they are letting you roll your own custom system that will become an integral part of the school's IT systems.
 
As I've stated in other threads multiple times, an increase in the minimum wage doesn't increase prices for general goods & services at anywhere near the amount you are thinking it will.

Staff costs are a percentage of the total costs to produce goods or provide a service - only a percentage of those staff will be on the minimum wage.
 
Freakbro said:
I mentioned In the other budget thread about Nurseries, who are a sector that this will affect massively, due to very high staffing levels required in relation to turnover.

To give you my example of a Nursery I'm the Finance Manager for, being mindful of childcare costs I've kept fee increases to a minimum where possible and from 2010-2015 the fees have gone up £5 a day, from £30 to £35.

Now to cover this rise, a quick extrapolation this morning showed that by 2020 our fees will need to be over £55 a day to cover this wage cost....:eek:



Agreed, for most small businesses with only a few staff, the costs aren't going to be exorbitant and things will just carry on, but for others it's going to have a massive effect.
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Or the Nursery can take less profit. Greedy sods already.
 
3 things i can see happening.

1) it makes pay more competitive for skilled work and employers will want to differentiate themselfs and attract good canditates.

2) the opposite effect, employers will pay minimum living wage for low skilled work, expecting more from low skilled workers.

3) an influx of ppl under the age of 24 being employed to avoid paying the living wage.

in the end the government wins. because an increase in pay for people will result in higher income most will break the personal allowance threshold and result in paying income tax
 
Caged said:
Your management must be absolutely crazy if they are letting you roll your own custom system that will become an integral part of the school's IT systems.
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Why? I will be here.

Elixir said:
Why aren't you expecting to progress in your career by 2020?
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I am, My IT manager is past the req age to retire, and my other senior is also looking to move on. Both jobs pay way more and i could move into them if i learn more about the networks and Server2012
 
Diagro said:
Or the Nursery can take less profit. Greedy sods already.
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Except we're a charity so we don't aim to make 'profit', we make a (very) small surplus to be able to cope with repair, renewals and improvements.

So you haven't got a clue what you're talking about in this scenario I'm afraid :p
 
Diagro said:
Why? I will be here.
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Now, yes.

Forever? Maybe not.

I have to agree, it's risky at best to allow your internal systems to be a completely custom system supported only by one person.

Good for you, makes you that much more indispensable to them but not entirely clever from the point of view of your management :p
 
Diagro said:
it does NOT cost 21k to run a nursery and pay staff.
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Does it not? I don't run one, so I don't know what they go through in terms of staff costs, training requirements, insurances, materials, food/drink, bills etc.

I can imagine it's not exactly cheap though.
 
Diagro said:
I dont get how tho?

My friend is a Nursary nurse. she has 6 odd kids under her care.

they have 30 kids per day.

Each kid pays £35 per day = £1050 per day. £21k per month income.

it does NOT cost 21k to run a nursery and pay staff.

I will leave it at that tbh, i cba getting into the running and costs of a Nursary. (you say your a charity yet you prob charge as much as non charity places do?)
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some places are more efficient than others

a charity that doesn't make a profit but still charges a similar amount to companies that do make a profit is perhaps not run as efficiently as it could be
 
Kenai said:
Now, yes.

Forever? Maybe not.

I have to agree, it's risky at best to allow your internal systems to be a completely custom system supported only by one person.

Good for you, makes you that much more indispensable to them but not entirely clever from the point of view of your management :p
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Its a school. Management seems to lack in schools
 
Diagro said:
I dont get how tho?

AT £35 per child thats Far more income required to pay staff and running costs
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Lol, £35 a day is so cheap for childcare in this country, I've chatted to people who pay £60 -£70 for a part day!

And again, since you have no idea on the ancillary costs of running a business like that, you haven't got a clue what you're talking about :)

Dowie said:
a charity that doesn't make a profit but still charges a similar amount to companies that do make a profit is perhaps not run as efficiently as it could be
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We're cheaper, and a far better facility and quality of provision, than all the other private providers in the area, that's because we don't aim to take 'profit' out of the place :p
 
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Diagro said:
Why? I will be here.
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You have absolutely no say if you end up getting hit by a bus. There are very few reasons to roll a totally custom solution as opposed to using something off the shelf (either commercial or open source) and writing extensions to it as required.

Unless you have the resources in place to deal with code review, testing, full documentation etc. and you are also never going to take a holiday then you should be using a product that already exists.
 
Caged said:
You have absolutely no say if you end up getting hit by a bus. There are very few reasons to roll a totally custom solution as opposed to using something off the shelf (either commercial or open source) and writing extensions to it as required.

Unless you have the resources in place to deal with code review, testing, full documentation etc. and you are also never going to take a holiday then you should be using a product that already exists.
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School has spent all the pennies. And the CMS is easy to understand. And i will be training people how to use it. Not like im leaving them high and dry if i left.
 
See, you already have road of progression to advance into much better pay. Those currently on NMW and then even this NLW, they will be stuck in the position they have always been.
 
Spacedeck said:
See, you already have road of progression to advance into much better pay. Those currently on NMW and then even this NLW, they will be stuck in the position they have always been.
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Why will they?

There would be management/supervisor opportunites for these people.
 
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