Higher Minimum Wages from October

From October, the minimum wage per hour for adults will become £6.31 and those aged between 18 and 20 years old will be paid £5.03. This probably increase the need for more employment documents.

Despite the raises of 12p and 5p respectively, fall below the current rate of inflation they coincide with the recommendations made to the government by the Low Pay Commission.

No matter that the Commission urged the government not to increase the minimum wage for apprentices, the suggestion is about an increase of 3p so that it reaches £2.68 an hour.

Business Secretary Vince Cable commented the important role of the Low Pay Commission in the settlement of the rates of the minimum wage: “Apprenticeships are at the heart of our goal to support a stronger economy, and so it is important to continue to make them attractive to young people. Therefore, I am not taking forward the LPC’s recommendation to freeze the apprenticeship rate due to non-compliance, but instead am raising it in line with the youth rates.”

Ian Murray MP agreed with the changes but said that the government had to be more careful with employers who did not pay their workers the minimum wage.

In his words, Labour would not stop pressing ministers to promote the living wage.

Of course, as usual there are people who do not agree with the proposed changes.

The director of policy for the British Chambers of Commerce, Dr. Adam Marshall, said the business costs would inevitably increase.

“We are disappointed that the government has chosen to raise the adult national minimum wage rate by 1.9%, an increase that is over 50% higher than current average pay growth.”

According to TUC general secretary Frances O’Grady, wages should have increased even more in spite of the wish of the government for a freeze of the minimum wages.