UK National Minimum WageTuesday, March 13th, 2012
The Low Pay Commission was established in 1998 as a result of the National Minimum Wage Act. One of its roles as an independent statutory, non-departmental public body is to advise the Government about the National Minimum Wage and make recommendations. The remit of the Commission is to report to the Prime Minister and the Secretary of State for Business, Innovation and Skills (BIS) by the end of February each year. This report will impact the Government’s decisions on the Wage rates it sets for the year, usually effective in October.
This year’s report is awaited and we should get an announcement of the new rates at or around the time of the 2012 Budget. Last week, The Independent announced that the Commission report had been presented to Business Secretary Vince Cable and was recommending that the Minimum Wage for workers 20 and below be frozen at the 2011/12 rates. Employers’ groups are likely to be in favour of this, however, the TUC have pointed out that there is no direct evidence which points to an increased rate having an adverse impact on job creation.
- The Independent – 08 March 2012