TRADE NEWS Clothing spending falls early Government agencies 'should be more proactive' CBI asks mayor candidates to support firms Growth is 'main problem for new retailers' No need to be wary online, say experts Minimum wage hike could affect retail employment Retailers should update websites regularly BRC expects victory in Visa investigation UK to spend £8bn over Easter Retail slows in Scotland Easter sales moving online Pet clothing retail growing Niche retailers should sell their benefits to landlords London retail sales up on 2006 Weak high street sees profits drop for French Connection Older consumers well informed about online security Government could bring in carrier bag legislation British take-up of fair-trade highlights importance of ethical retailing Dragons' Den entrepreneur to help launch academy Economic downturn could hit retailers hard Sales continue sluggish performance into February Shoppers opting for green retailers Independent retailers fear bad news budget User-generated content could be the key to online independent retailers Shopping centres urged to rethink consumer perceptions UK shoppers lead the way for online continental spending Consumers reveal interest in ethical trading BRC urge bank to make cuts to help retailers Asda pledge to remove disposable carrier bags CBI calls on Darling to cut tax on retailers New retailers agree Grand Arcade leases Defra unveil new packaging targets ISPs should be more accountable for online counterfeit goods sales Retailers reject government plastic bag claims Counterfeit goods harming retail industry Archive March trade news 2008 February trade news 2008 January trade news 2008   27th March 2008   Minimum wage hike could affect retail employment The increase in the minimum wage could cause employment in the retail sector to slow, according to the British Retail Consortium (BRC). Richard Dodd, head of media for the BRC, said that the number of new jobs created by retailers could be affected if the minimum wage rises out of line with average earnings. He noted that the October 2008 increases, which will see the over-22 wage rise from £5.52 to £5.73, are broadly in line with what the BRC wished to see. However, "if the minimum wage shoots up well above average earnings the danger is it will affect the growth of retail employment so fewer jobs will be created", he warned - stating that this has happened overall since 1999. Mr Dodd also pointed out October's minimum wage increase would have a "disproportionate effect on smaller retailers", who cannot absorb extra costs as easily as larger firms. The rising cost of the minimum wage, he said, could cause retailers to cut back on overtime and training, especially when combined with increases in other costs, such as rent and tax.   (c) 2008 Adfero Ltd.   Subscribe to The Wholesaler UK regular newsletter featuring trade news, suppliers offers and trade show reminders. . . Return to The Wholesaler UK directory