Government approves new £5.80 minimum wage June 1st 2009 The government has announced new National Minimum Wage rates to take effect in October.
• Low paid workers aged 22 and over will increase from £5.73 to £5.80 an hour.
• The rate for 18 to 21-yearolds will rise from £4.77 to £4.83.
• For 16 and 17-year-olds, the rate will go up to £3.57 an hour from £3.53.
Nearly one million people will benefit from October's increase after the government approved recommendations from the independent Low Pay Commission.
"The National Minimum Wage has been in place for 10 years and remains one of the most important rights for workers introduced in that time,” comments business secretary Lord Mandelson.
"I am very proud of the difference it has made to the lives of the UK's lowest-paid workers.
“It protects them from exploitation and also creates a level playing field for business, making a huge contribution to the UK's economic success.
"The Low Pay Commission has carefully examined the latest economic data before making their recommendations on the minimum wage rate, balancing the needs of workers and businesses in the current economic climate.
"The government agrees with this assessment and has accepted the recommendations for these new rates to take effect in October."
The deadline for submission of the Low Pay Commission's (LPC) recommendations to government was extended from February to May.
This was to allow Commissioners to take into account the latest economic evidence.
The government has also accepted an LPC recommendation that the adult minimum wage rate should be extended to 21-year-olds.This will be implemented from October 2010.
The LPC also recommended that information should be available on employers who have shown wilful disregard for minimum wage laws.The government has committed to develop proposals.
"We believe that the LPC's recommendations are appropriate for this economic climate,” says George Bain LPC chairman.“They reflect the need to protect low-paid workers' jobs and earnings. I am delighted that the Government has again accepted our recommendations this year." More articles from Cleaning Matters: |