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On the surface, it might seem as though the National Living Wage plan secures a bright future for everyone. Indeed, raising wages for the citizens is a noble idea, particularly when considered against the background of rising cost of living and the uncertainties of the employment market. Care homes in the United Kingdom provide crucial health support to the elderly and their families. Despite their importance to the society, the functioning of these facilities is adversely affected by inadequate funding and remuneration challenges. In the opinion of many experts, the National Living Wage can only worsen the situation. We may be looking at the beginning of the end of these vital care homes if a fallback strategy is not forthcoming. How the New Wages will Impair the Operation of the Care Homes Already, nearly 60% or slightly more of all the costs of running UK care homes are channeled towards staff wages. This is one good reason why the plan to increase the wages has incurred the displeasure of the care home providers. The concern is shared roundly among the leading providers including Four Seasons Health Care, HC-One, Barchester, Bupa, and Care UK. If the care facilities are going to spend more than 60% of their money on salaries, it implies that other essential services at the facilities must be squeezed within the remaining 40% or less of the resources. In fact, the care homes will find it difficult to fund some of the essential provisions because of the financial constraints. Compromising the Quality of Care Without doubt, an increase in the wage bill of the care homes will compromise the quality of care. In the wake of the pressure, the care homes may choose to respond with two basic strategies. The first strategy may entail staff reduction while the second strategy may entail reducing the number of working hours for the staff. In the proposed plan, UK workers above the age of 25 will receive a minimum wage of 7.20 pounds per hour. The employers are supposed to increase the figure to 9 pounds per hour by the year 2020. It might seem logical to cut down on the number of workers, or limit their working hours for the sake of survival, but the effect will be felt in terms of quality. In order to avoid a possible compromising on quality, many care home facilities might choose to close. The Face of Catastrophe The care homeproviders in the UK have a plain message of catastrophe to the authorities and stakeholders. In their assessment, they will require in excess of 1 billion pounds by 2020 in order to survive the wage pressure implied in the new plan. At the moment, the government's body language is more inclined towards implementing the details of the plan than addressing the concerns of the care homes. Care homes are indispensable facilities that relieve the health care system of an enormous burden. Government policy makers should study the living wage and how this can affect care homes. The idea of improving wages is generally progressive, but it should be implemented in a way that takes care of the unique aspects of the care homes. Otherwise, the government should find extra funding to shield the homes from the impending danger of collapse.
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