Threat to jobs from wage awards, warns ALMR

The eating and drinking out business currently generates roughly 63 billion in turnover
Industry
10/07/2017 - 12:42
The Association of Licensed Multiple Retailers (ALMR) has said industry jobs are at risk unless caution is shown to future upratings of the national living wage and national minimum wage.

ALMR, the UK’s only trade body dedicated to representing the interests of the UK’s eating and drinking out sector, highlighted issues such as tightening margins and political instability as reasons to avoid significant cost increases.

The body has warned the LPC that failure to show caution could undermine, amongst other things, future investment and employment.

ALMR Chief Executive Kate Nicholls said: “We are seeing unprecedented cost pressures eroding eating and drinking out margins, and significant increases could threaten investment and put jobs at risk.”

The eating and drinking out businesses currently generate around £63 billion in turnover and contributes £32 billion gross value added (GVA), up 63% from 2010 according to figures from the ALMR, whose diverse membership includes high street giants JD Wetherspoon and TGI Fridays.

Nicholls said: “Businesses in the sector are committed to developing their workforces, but recent increases in wage rates have not led to increased spend at tills for businesses. Some employers have had to adjust the number of hours they offer staff as a result of increased wages.

“With uncertainty around Brexit providing only instability for businesses, now would not be the time to drastically increase wage rates. The Low Pay Commission should act with care if it wishes to avoid risking future investment and jobs in the UK.”

Copyright 2017 EatOut Magazine
Dewberry Redpoint Limited is a company Registered in England and Wales No : 03129594 Registered Office:
John Carpenter House, John Carpenter Street, London EC4Y 0AN, UK, VAT registered, number 586 7988 48.

Design & Development by Eton Digital