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1 million strong army demand lower wages and employment


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Employers should take that into account, you have got to fire people gradually, have those with experience train their replacements first.

 

My love, they've already been doing that for a few years now. Here's an article from December 2007 regarding Fletchers bakery in Sheffield:

 

http://www.thestar.co.uk/news/Christmas-job-cuts-devastate-workers.3565625.jp

 

DOZENS of devastated factory workers will clock on for the last time today after bosses axed 186 jobs at a beleaguered Sheffield bakery Fletchers.

 

The cruel blow will leave scores of Sheffield families in the financial doldrums - just two weeks before Christmas.

 

Redundant dispatch operator Haroon Ayub, aged 37, from Darnall, was one of the 186 to go.

 

He said: "I have got five children and a wife to support and Christmas is just around the corner. We also celebrate the Eid festival which is two days before - I don't know what I'm going to do."

 

Mr Ayub said agency staff from Eastern Europe, being paid at lower rates, had this week been trained up in front of operatives who were being made redundant.

 

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I can see it.

 

LHA roughly drives rent prices. LHA is dropping. On 04.04 if you have been recieving LHA excess payments they will stop. LHA bands will also then be dropping around 20%. Anyone claiming housing benefit after 04.04 will be subject to the new bands, if you are already claiming and move out have a big enough change in circumstances you will be subject to the new rules. Your rent may stay the same but your HB is going to drop. Eventually landlords will wise up to this and drop rents accordingly or HB claimants are going to be driven into slums and the very worst accomodation there is.

 

 

 

If that happens, the going to work for many will suddenly become a viable proposition.

 

Good for society in general

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How does LHA drive rent prices? I don't know much about housing benefit.
Well, quite a lot of the people in the rental market claim HB, that doesn't mean that they are all out of work or anything it just means that they claim HB so knowing what the LHA rates are is important to landlords because they could price a lot of people out of being able to rent if they price it too high.

 

Because LHA is set according to how many rooms you need rather than how many you have and the bands have a maximum that will be paid landlords tend to pitch rents around about the maximum of the bands, so you'll often see rooms in shared houses priced at £68 per week because thats the shared accommodation rate these days on LHA. In april the band are going to drop from the 50 percentile of average rent for the city to the 30th percentile. Which means around a 20% drop in the maximum LHA paid for the bands. Or in real terms the shared accomodation rate might drop to around £55. At first this is going to cause carnage but after a while landlords will drop rent prices because if they don't they'll not get tenants.

 

Obviously i'm simplifying loads, the figures i've used won't be 100% accurate but the basic jist is right.

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Well, quite a lot of the people in the rental market claim HB, that doesn't mean that they are all out of work or anything it just means that they claim HB so knowing what the LHA rates are is important to landlords because they could price a lot of people out of being able to rent if they price it too high.

 

Because LHA is set according to how many rooms you need rather than how many you have and the bands have a maximum that will be paid landlords tend to pitch rents around about the maximum of the bands, so you'll often see rooms in shared houses priced at £68 per week because thats the shared accommodation rate these days on LHA. In april the band are going to drop from the 50 percentile of average rent for the city to the 30th percentile. Which means around a 20% drop in the maximum LHA paid for the bands. Or in real terms the shared accomodation rate might drop to around £55. At first this is going to cause carnage but after a while landlords will drop rent prices because if they don't they'll not get tenants.

 

Obviously i'm simplifying loads, the figures i've used won't be 100% accurate but the basic jist is right.

 

I see, thank you. What about the fact a lot of landlords don't accept those on housing benefit? Will that just be a case of keeping up with the competition?

I've never really looked into finding out about LHA I just see a lot of people posting rented properties here and also looking at my own landlord, I know some say they strictly will not accept housing benefit.

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I see, thank you. What about the fact a lot of landlords don't accept those on housing benefit? Will that just be a case of keeping up with the competition?

I've never really looked into finding out about LHA I just see a lot of people posting rented properties here and also looking at my own landlord, I know some say they strictly will not accept housing benefit.

They may not accept HB claimants but they still tend to pitch around the same rents because thats where the market is, also people sometimes need HB after they legitimately signed a tenancy when they were working so its no good pricing the family out of the property. Better to give them a fighting chance of staying then the hassle of finding new tenants.
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They may not accept HB claimants but they still tend to pitch around the same rents because thats where the market is, also people sometimes need HB after they legitimately signed a tenancy when they were working so its no good pricing the family out of the property. Better to give them a fighting chance of staying then the hassle of finding new tenants.

 

Thank you, appreciated that. The only threads I seem to be able to find about it on here are "wnt hse 4 me mst tek DSS".

I wouldn't mind lower rent.

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You're saying that talented, experienced mechanical engineers don't deserve good salaries?

 

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I don't think she is commenting on what people deserve or don't deserve. She is making a point about the effect of differing regional costs in a global Market. Manufacturers have been migrating to places where stuff can be made less expensively for a while. The Chinese and Indians are training engineers to meet the demand......and they will work for low wages. Where does it end?

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