Last Saturday we breached the £5 mark for the statutory national minimum wage - as from October 1 the rate for adult workers increases to £5.05 per hour.
The question now is that rather than this being a perceived 'barrier', it is actually creating a pinch point in certain sectors as well as in some of our regions.
When the national minimum wage was originally brought into being in April 1999, virtually all employers agreed that it had been set at a sensible rate.
Since then we have seen inflation busting increases until, only six years later, we have a 40 per cent increase.
Nursing and care homes, hotels, as well as traditionally low paid industries, have been the hardest hit, particularly in our own region, the North East and South West Scotland.
Already our surveys are showing that a peak may have been reached for these businesses.
Discussions around minimum wages are always slightly contentious, however the FSB has never been against a minimum wage in principal, our concern now though is that we are already seeing calls for the rate to increase to near the £6 mark in October 2007 which would be a serious leap too far.
Small businesses in particular are often unable to gain the price increases they need from their larger customers in particular, where dedicated buying departments are the order of the day.
Combined with the current substantial increases in our fuel, as well as massive increases in energy prices I cannot help but feel that prices and inflation could soon start running away from us all.
Many of us, I suspect, can still remember the rampant inflation in the early seventies and eighties which saw the demise of far too many good businesses.
There is of course another side to this coin and that is the amount that the Chancellor takes in taxes.
Not only are the tax receipts increased every time there is an rise in the NMR, but there is also an equivalent adjustment in both the employees and employers National Insurance payments - all of this when allowances have barely increased at all. This means that more and more of the lower paid actually end up paying a greater amount of their earnings in tax and national insurance.
There is also the erosion of differentials; possible low staff morale and increased pressure and stress on smaller employers.
Of equal concern, is the unlevel playing field this is creating against our European competitors.
Earlier this year I was over in Germany at a trade fair, and happened to ask my German and French colleagues if they also had a minimum wage. Surprisingly the answer was a resounding "no" - although this is not the case in some sectors.
Finally we must all remember that a national minimum wage level, which is set at sensible levels that the economy can sustain, should be achievable.
The danger is that with the annual inflation busting increases we have seen, there will be an increasingly adverse impact on jobs our region.