A ROW over the impact of the national minimum wage has broken out after an employers' group claimed 78,000 retail jobs were lost last year as a result of an increase in the statutory rate.
The British Retail Consortium said there was clear evidence that the minimum wage was now at a "tipping point'' and was already forcing firms to cut jobs and reduce staff costs.
In a submission to the Low Pay Commission, the consortium called for a "fundamental reassessment" of the minimum wage, which is set to increase from £5.05 an hour to £5.35 next month.
But the Transport and General Workers Union said employers' groups had always raised the spectre of huge job losses over the minimum wage which had never been correct.
General secretary Tony Woodley said: "Retail is one of the lowest paying sectors yet Tesco, for example, has reported £2.35 billion profit, 17 per cent higher than last year. Companies can afford a rise, and workers deserve it."
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