Minimum wage removal calls louder as Britain's unemployment rises

Special Report:Global Financial Crisis

LONDON, Dec. 29 (Chinese media) -- Britain suffers the worst year for employment in 20 years as pressures rising for a halt to the annual rises in the national minimum wage to help businesses to cope with the downturn.

The recession will claim 600,000 jobs next year, making 2009 the worst year for job losses in two decades, with the overall joblosses from the recession are expected to top 1 million, while the total jobless to 3 million in 2010, according to employers' groups on Monday.

Meanwhile, the British Chambers of Commerce (BCC) is calling for a freeze in the level of the minimum wage, saying that business cannot afford any more costs.

A survey by the Chartered Institute of Personnel and Development (CIPD) found that pay expectations among employees had slumped, with many fearing pay freezes and a minority expecting pay cuts.

On the expected contraction in pay awards, the CIPD said that employers would have to find other ways to motivate employees, including nonfinancial rewards.