(07 Jul 2021, 11:08 am)Ambassador wrote It's a hard one this in parts...

Hard to justify a payrise when you've been effectively nationalised for the past year.

Increase in labour costs naturally drives up other costs which is then passed onto Customers who in parts are already on the receiving end of some fairly large fares and will look at other options where they can.

Customer habits are changing and income streams with them. You have to invest (paint jobs, £1 fare promo, commercial tie ups with English Heritage etc etc) to attract Customers otherwise numbers dwindle to those who uses buses out of 'no choice' and then you're off down the job centre.

But worth noting that the board are working towards payment of a dividend in the 2021 calendar year, so you can't have it both ways: https://www.go-ahead.com/download_file/force/1374/228

Increase in labour costs do of course drive up other costs, but I'd hope you'd also acknowledge the benefits to the wider economy. If workers' pay falls behind inflation, then they've got less money to spend in the economy, meaning the retail, hospitality and service industries start to suffer. If workers have more spare cash in their pocket, they'll happily throw it at the local economy, holidays, days out and so on.