Gordon Brown has caved in to unions, allowing a series of concessions - including an extension of the minimum wage - in a move that sent shudders through the business community.
Changes to the minimum wage in particular could cost businesses an extra £88 million a year.Quite a pathetic scare story, from a business community that said the minimum wage would cost jobs. Here's what the bolshevism amounts to:
Under pressure from the unions Labour has agreed to extend the adult minimum wage to 21-year-olds. At the moment the full minimum wage of £5.52 applies only to workers aged 22 and over. Those aged between 18 and 21 get £4.60 and 16 to 18-year-olds get £3.40.Paying 21 year olds £5.52 instead of £4.60 an hour is hardly going to bring the economy to its knees. Some people might think paying 21 year olds £4.60 an hour is outrageous. But then some people think children should still be sent up chimneys.