UK Snow to Cost the Economy Billions

Although some may think that snow is pretty to look at, if enough of it shows up it could start to be costly. This is what the people in the UK are starting to see right now. In fact, workers have been forced to stay at home due to the heaviest snow in almost 50 years. A lot of these people risk losing wages or holiday entitlement, as companies try to recoup losses caused by the freezing weather.

Almost three million people are thought to have missed work because of the snow on Tuesday. This has caused businesses up to £600 million, according to the Federation of Small Businesses. Parts of the UK actually saw 1.5 feet of snowfall overnight, and freezing temperatures will continue on for the rest of the week. Forecasters are even warning that six days of snow could still be on the way.

The Center for Economics and Business Research says that more than 2,000 companies could go bankrupt as a result of the frosty winter. Normally businesses may have been able to hang on, but because the economy has already been so week, a lot of businesses are running out of funds to keep their doors open.

HSBC, Marks and Spencer, Barclays, Tesco and Asda, are among employers who say some of their staff may be asked to take missed days as part of their holiday entitlement or additional unpaid leave. The companies say that they are being flexible and have offered a range of options to staff, but unions gave warnings that bosses who dock pay or holidays will cause unnecessary resentment.

A spokeswoman for Tesco said that the decision would be taken on a local level. There are lots of options for staff and stores, including taking unpaid leave. A Marks and Spencer spokesman said that workers who could not make it in were offered the opportunity to work at an alternative store.