Eyeing 2015 election, UK's Labour pledges rise in minimum wage

22 Sep, 2014

Britain's opposition Labour party promised on Sunday to raise the national minimum wage by more than 25 percent within five years if it wins next year's national election, a pledge designed to win over voters hit by rising living costs.
Earnings in Britain have lagged behind inflation since the 2008 financial crisis. The rising cost of everything from gas to train tickets has shot up the political agenda since the return of economic growth forced Labour to shift its line of attack on the Conservative-led government ahead of the May 2015 vote.
"Too many people are treading water, working harder and harder just to stay afloat. Too many working people have made big sacrifices but in this recovery they are not seeing the rewards for their hard work," Labour leader Ed Miliband said on the opening day of his party's annual conference in Manchester.
"One in five of the men and women employed in Britain today do the hours, make their contribution, but find themselves on low pay."
If elected, he said he would raise the national minimum wage to eight pounds ($13) an hour by 2020, an increase of more than 25 percent from its current level of 6.31 pounds.
Earlier this year, Prime Minister David Cameron's coalition government agreed to a recommendation by the Low Pay Commission, the independent body which advises it on the topic, for a 3 percent increase in the minimum wage to 6.50 pounds in October. That would be the first above-inflation increase since 2008.

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