More Coins
17 Mar

Largest Proportional Minimum Wage Increase For 7 Years Announced

 More Coins

The minimum wage in the UK is set to rise this October, but the government has been criticised for “politicising” the minimum wage just before the election.


The Low Pay Commission’s recommendations for a 20 pence rise in the National Minimum Wage for over-21 full-time workers have been approved by the government and the change will come into force this October.

The wage will rise 3% to £6.70, making this the largest proportional increase in seven years.

While the Prime Minister David Cameron has said that he hopes this will make sure that “hard work is really rewarded”, others have criticised some of the rises for being too political and a case of “electioneering”.

While the main rise – in the full-time over-21s wage – is in line with the Low Pay Commission’s advice, the government has completely ignored the recommendation that apprenticeship rates rise by just 2.7% and instead plans to implement a 20% increase.

The Director General of the CBI John Cridland said he thinks that, “It’s disappointing the government has rejected the LPC’s recommendation on apprentice rates.”

“It’s politicisation is worrying,” he added.

Unsurprisingly, Labour has also attacked the announcement and Chuka Umunna, the shadow business secretary, criticised the 20p rise for falling short of a £7 per hour wage promised by George Osborne in the past.

The wage increases also remain far off the Living Wage, which is designed to provide enough for a comfortable living and currently stands at £7.85 for those outside London and £9.15 for those in the capital.

1.4 million UK workers are expected to be better off because of the 3% increase in the minimum wage.


Photo credit goes to Images of Money 

5 Things The Employee Benefits World Taught Us This Week – March 13th Do you offer your staff volunterring opportunities? If not, here's why you should
comments powered by Disqus


pensionspension schemescorporate pensionflexible benefitsemployee benefitsretirementauto enrolmentcorporate pensionshuman resourcesstaff retentioninterviewemployee engagementhospitalitygroup riskpublic policyworkplace pensionsmortgagesretirement planningpensions schemesretirement advicefinancial educationemployee benefits weekly wrapteam buildingemployee team buildinglife insuranceguidance guaranteeannuitiesolder workersworkplace financial educationpension wisepaymortgage advicehistory of pensionshistoryeconomicsretirement planworld war 2politicspension fundsBritish economyfinancemarketscrisisGreeceSpainEUGDPbailoutGuest Blog postUKtaxInterviewmanagementeconomyBudgetOsborneConservativesEconomyUSRatespension potsregulationconservativespension freedomsinvestmentPensionsscams45 Parke LaneDorechester CollectionLondonCateysAwardPension freedomsreformpension reformsinterest ratesinheritanceAnnuitiesHappinessEmployee Benefitsrecruitmentretentionemployee rewardsflexible workingJanuary2016HRcompany newsDAM teamteam day outauto-enrolmentpensions contributionsindustry insightsstaconferencehospitality and tourismpromotionsHIT dinnerretirement savingpension planningemployee wellbeing weekfinancial wellbeingcultureemployer actionIndustry insightsemployee wellbeingunique benefitseducating your workforcevolunteeringwin back the loveDAM eventsDAM Wealth dinnerwealth dinnersCompany newsinsightssponsorship eventsChristmasteamnew memberbusiness consultantcancer preventionworld cancer dayhospitality industryCOVID 19DAM supportfinancial advicefinancial guidanceCovid-19dam responsehelping your employeescoronavirusupdate for our clientsSocial mediaworld health daystress awarenessimportant informationFCApension scamsMental Healthcovid19employee supportmental health awareness weekbe kind to yourselfsavings tipscreating goalsmanaging debtsummer budgetkey takeawaysemployer supportpractice the pausereturn to workeasing lockdownmanaging your mindlockdownmanaging your moneycovid-19managing your prioritiesfinancial planning weekmental health awarenesssleepovertohelpturnoverindustryinsightstalk money weektransferring ISAslifetime ISAonlinecommunitycompanynewsDAM portalGRiDgroupprotectionemployeebenefits