Well, yes, obviously

Labour’s plan to hike the minimum wage to £10 per hour could put increasing numbers of workers at risk of losing their jobs to robots, an economic think tank has suggested.

Well, yes. But that’s going to happen anyway. All that will change is the speed at which it will happen.

Much more important is that a high minimum wage will stop some to much of the experimentation needed to produce jobs once the robots are taking some of them.

This is the most pernicious effect I’m afraid. It increases the costs of trying to do new things with that newly abundant – but still expensive – labour.

8 comments on “Well, yes, obviously

  1. There is only one sensible way to hike wages – end immigration. But the Labour Party needs the votes and the CBI needs cheap workers and God knows no upper middle class woman wants a White working class girl looking after little Jascinta, so our on-going suicide will continue.

    Personally I would welcome our new robot overlords.

  2. “This is the most pernicious effect I’m afraid. It increases the costs of trying to do new things with that newly abundant – but still expensive – labour.”

    Is it more pernicious than removing entry level jobs and denying the young the opportunity to gain experience?

    I note those calling for this increase also shout loudest about yoof unemployment.

  3. I’ve just paid off my mortgage so I can offer my work for a lot less than I needed to before, but it is illegal for me to compete on price. Consequently, I don’t get offered any work.

  4. “There is only one sensible way to hike wages – end immigration.”

    Labour union closed shops work, too. For the same reason, and in the same way.

  5. The value of my Labour to an employer is about £8.50/hour and declining. I’m late 50s, getting slower and struggling to learn new things, although I try. Your living wage number will put me out of a job. Thanks for nothing Jezza.

  6. NiV – “Labour union closed shops work, too. For the same reason, and in the same way.”

    Indeed. The only difference is that we have no duty of care to the rest of the world outside our borders. None. We do have a duty of care to the mainly young people who want a job within this country.

  7. @so much for subtlety,

    Closed shops and closed borders are fine but let’s just be clear that there are are always unintended consequences to going down the National Socialism road.

    Specifically, if the goods or services can be produced or provided from elsewhere cheaper, we have to hamstring our economy by subsidising uncompetitive industries.

    At which point you’ll probably say something facile like “charity begins at home”.

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