Living Wage rate increase 3 November 2015
The UK Living Wage rate has increased by 40p to £8.25 per hour, higher than the National Minimum Wage rate of £6.70 per hour, and also the new National Living Wage rate for over 25s of £7.20 per hour that comes into force on 1 April 2016. The London Living Wage rate also sees an increase – up by 25p to £9.40 per hour. The rates are calculated independently and based on the cost of living as opposed to median earnings, which the Low Pay Commission use to calculate the National Minimum Wage and the new National Living Wage.
Approximately 68,000 staff that are employees of the accredited businesses that commit to paying all their staff, including sub-contracted teams working on their premises, at least the Living Wage, will see a pay rise.
There are now more than 2,000 accredited Living Wage employers across the UK. This doubles the number of accredited businesses from November 2014.
The Living Wage Foundation has launched an online interactive map as part of the Living Wage People’s Movement, detailing for the first time, all the accredited businesses and their branches that pay their staff at least the Living Wage, so consumers and businesses can easily search for a Living Wage accredited employer to do business with or buy from.
CIPP minimum wage webcast 4 November 2015
The CIPP Policy Team has produced a short webcast which provides recent news on the National Minimum Wage and on the new National Living Wage which comes into force in April 2016.
CIPP webcast - NMW / NLW - November 2015
Be prepared to pay new National Living Wage 9 December 2015
The Government is urging businesses to take 4 simple steps to be better prepared for the introduction of the new National Living Wage in April 2016.
Businesses are being advised to prepare early for the changes on 1 April 2016, when the new wage will become law, and make sure they follow these 4 simple steps:
know the correct rate of pay - £7.20 per hour for staff aged 25 and over find out which staff are eligible for the new rate update the company payroll in time for 1 April 2016 communicate the changes to staff as soon as possible.
Employers can find out more by visiting www.livingwage.gov.uk .
The advice coincides with a new poll which revealed 93% of bosses agree the new wage is a good idea, with 88% believing it will lead to higher productivity and 83% saying it will make staff more loyal to their firm.
Business Minister Nick Boles said:
“The government’s new National Living Wage will provide a direct boost to over two-and-a-half million workers in the UK – rewarding and providing security for working people. I am urging businesses to get ready now to pay the new £7.20 rate from 1 April 2016. With just under 4 months left, there are some easy steps employers can take to make sure they are ready. By taking these measures, companies will be able to properly reward their staff and avoid falling foul of the law when it takes effect.” The new survey conducted for the Department for Business, Innovation and Skills (BIS) asked 1,000 employers across Britain about the NLW. When asked if they thought the new rate would be good for businesses, many respondents identified a range of positive impacts:
CIPP Policy News Journal
25/04/2016, Page 247 of 453
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