Minimum wage increase could affect retail jobs, warns BRC

The number of jobs available in the retail sector could be affected by minimum wage rises, the British Retail Consortium (BRC) has suggested.

Employment in the sector may slow if wage rises continue to 'shoot up,' Head of Media for the BRC, Richard Dodd, has said.

He noted that since its introduction in 1999, the minimum wage has increased by 50%.

Mr Dodd remarked that any further dramatic increases could mean 'fewer jobs are created' and retailers will be 'under more pressure' which will hit 'training and overtime.'

Furthermore, he warned that the incentive to progress in the workplace could be dampened if minimum wage increases catch up with the salaries of other workers.

The latest wage rise announced by the Government was in line with inflation and will mean those over the age of 22 will be entitled to £5.73 an hour from October.