„Staffelende“ Arbeitsplatzverluste in der Gastfreundschaft seit der Budgetsteuer steigt
https://www.thetimes.com/business-money/economics/article/staggering-job-losses-in-hospitality-since-budget-tax-rises-r2wr28rvw
Von pppppppppppppppppd
„Staffelende“ Arbeitsplatzverluste in der Gastfreundschaft seit der Budgetsteuer steigt
https://www.thetimes.com/business-money/economics/article/staggering-job-losses-in-hospitality-since-budget-tax-rises-r2wr28rvw
Von pppppppppppppppppd
22 Kommentare
Well yeah, you increase the operating costs of businesses and they stop hiring when their profit margins are slim. Large businesses can much easily absorb it while small independent businesses cut costs to survive, it’s not hard to see that this would happen and was also pointed out before this was implemented.
As someone who works in hospitality all I have to say is “good”
There’s an argument that we would be seeing this without those tax changes, this was a trend in hospitality since before COVID.
People only have so much disposable income, less and less these days so if you’re in hospitality your enemy isn’t tax as much as it’s the insane competition being made by online spending, giant supermarkets and stagnant wages.
It’s not like it’s going any different soon so investing in that market looks like a big risk.
A man on the radio was saying how he had to get rid of 7 staff members, but his employer national insurance contributions would still be the same due to the increase. That’s not the way to grow an economy!
Well our boss said that right after it was announced: „uk is service based economy, labour is the main expense, as soon as you increas price of labour – you hit the business hard: expect inflation, job losses and wage freeze“. Well for my company all of that happened despite being in the relatively „safe zone“.
When a industry relies on poverty wages , i find it hard to sympathise with them
Not surprised. The industry relies on paying people the legal minimum. I don’t think we should have so many of these jobs anyway.
Labour have destroyed the economy and jobs market worse than truss
Anyone who expected Labour to do anything other than tax, borrow and spend wastefully got mugged off.
What we needed was reform and to create a sustainable financial trajectory for an aging population.
What were getting is a doom loop.
Once interest on the government debt becomes high enough things will really kick into gear.
The crisis is coming.
Lack of disposable income is the biggest problem for hospitality. A coffee shop visits used to be a weekly thing, 5 years ago. My younger colleagues at work used to eat out 3x a week for lunch, now they bring food in, and treat themselves at payday. For me it’s maybe every 1-2 month, as I need to fork out more then £15 for a drink, light lunch. I went past a cafe and they wanted £22 for pancakes with bacon. I took two people for very basic curry and that set me back the cost of a weekend festival. I would love to eat out more but just can’t afford it.
Nothing to do with Vlad and his orange fucktoy completely dismantling and destabilising the international order.
Nothing to do with big energy companies laughing all the way to the bank on the back of this.
Nothing to do with climate change and environmental damage literally making luxuries harder to grow.
Nothing to do with underbuilding housing while stoking demand.
Nothing to do with none of the profits from any of this trickling down to the people who might use these service.
Oh no, it’s all Reeves‘ fault using the limited tools available to her.
Nobody ever seems to mention the health benefit of having less alcohol abuse.
The middle income earners have no money to spend. When your pay is the equivalent of £5k-£10k a year less than it was a decade ago and the price of a pint has doubled it is no surprise that job losses are happening. I think most employers have used the NI increase as a convenient reason to reduce staff numbers without incurring lots of negative headlines.
Inflation constantly going up on the Goods they use to make and sell coupled with the increased taxation on businesses is a double whammy for any business in the hospitality sector.
It’s fair to say the government has no strategy for our finances now we are sitting at 101% GDP ratio debt.
Sector which often employers staff in such a way to avoid paying NI insurance (not guaranteed hours, keeping on or below 16 hours, minimum wage) has found of their exploitation loophole has been closed because the threshold as been reduced.
New headline ‚hospitalites exploitation loophole closed, so they’ve thrown their toys out the pram‘
It’s no surprise that the hospitality sector is in decline. People just don’t have the disposable income to go out for meals, drinks, or nights out like they used to. Nightlife is dying, restaurants are closing, and bars are struggling to stay afloat.
But this isn’t just about hospitality. When people can’t afford to spend, every sector suffers, from your favourite clothing stores and music shops to jewellers and independent retailers. Businesses can’t survive without customers who can afford to spend.
We’re being taxed to death, with sky-high energy bills, outrageous rent prices (which should be capped), and ever increasing council tax. It’s no wonder people are cutting back. And unless something changes, we’ll see mass redundancies and even more business closures across the board.
Economies thrive when people have money to spend, not when they’re just scraping by.
Cost of living and price rises will squeeze luxuries first.
When a pint is easily £7+ in London and a simple meal like burger and chips is £20 for a main then you can see why hospitality suffers.
Even something like a KFC meal is a tenner now which would have been silly a few years ago.
If you are really building or investing in any kind of business where the profit margins are so tiny that there is ANY chance of the ultimately miniscule NIN contribution changes affecting the viability of your business – well that is on you – it is ridiculously bad business sense and you should find something else to invest in.
Times and the telegraph just love to pin it all on the current policy and ignore that the Tories left things in a worse state than they found them.
It’s probably part of that, but the other part is they keep trying to raise prices to offset losses, and can’t seem to fathom that you can only do that so much before you price yourself out of profitability when no one can afford to use your services any more. If everyone else has to accept lower wages quite frankly they can to, they can’t keep letting wages stagnate while raising prices forever.
oh well
Nothing to do with hospitality getting too greedy then, even before the tax rises and covid?