Politics
Uncertainty Creeps into Minimum Wage Debate
A committee has recommended an interim increase in the minimum wage that would put it at 1p above the UK’s rate
Enterprise Minister Tim Johnston has welcomed the interim recommendations on minimum wage rates published by the Minimum Wage Committee but hasn’t said they will be taken forward.
Earlier today we reported that the MWC has recommended an interim increase in the minimum wage that would put it at 1p above the UK’s rate. In the UK, the minimum wage is called the National Living Wage.
However, while the committee has recommended a minimum wage rise to £11.45, with an increase from £8.05 to £8.50 for the youth rate, the gov has not confirmed this will be the rate brought to Tynwald.
Mr Johnston said: ‘I am grateful to the Minimum Wage Committee for considering proposals for an interim increase to the rates of Minimum Wage pending completion of the additional impact assessment and their final deliberations.
‘Government remains committed to the Minimum Wage reaching parity with the Living Wage as set out in the Island Plan, but recognise the need to consider the broader impact on businesses, particularly small businesses, in our domestic economy.’
However, the DfE’s press release doesn’t mention any rate and only says that the ‘final proposed rates’ will go to the May sitting of Tynwald after being approved by CoMin.
It also tempered ideas that this come into force soon, saying that was ‘conscious of the need to allow businesses sufficient time to prepare for the implementation of any increases and the effective date will also be confirmed at the same time as the proposed Minimum Wage rates’.
