The Chartered Institute of Payroll Professionals ……………………………………………………………Policy News Journal
evidence on the effect of the introductory rate of £7.20 on workers, employers, the labour market and the economy - including how firms and workers are adjusting and impacts on pay, terms and conditions, income, hours, progression, employment and competitiveness; views of the projected ‘on target’ rate for April 2017. The figure will change between now and the autumn as new pay data and forecasts are published but the current estimate is to be around £7.60 in April 2017, rising to just over £9 by 2020. views on the LPC’s proposed approach to making recommendations on the NLW (set out in the consultation letter). views on how to adjust the level of the recommendations given that an April 2017 increase will come six months after the forthcoming October 2016 increases. This reflects the fact that the NLW was introduced on a different calendar to the other rates whose schedule is being revised to align with it. The consequence is two increases in 18 months rather than the 24 that would otherwise apply. evidence on the impact of the rates on younger workers’ employment prospects including evidence on how widely the new 21-24 Year Old Rate is used, and whether the NLW has affected the employment prospects of workers aged under 25. On the other minimum wage rates (21-24, 18-20, 16-17, apprentices), the LPC are particularly interested in:
Your views and evidence from this survey will feed in to the CIPP written response and provide statistical data to support the views also being gathered at a CIPP roundtable being held in London on 14 June 2016.
The survey will close on Monday 1 July. Thank you for your input to this survey , we estimate that it will take between 10 minutes to 25 minutes to complete depending on additional supporting narrative and/or data you provide.
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National Minimum Wage and National Living Wage 16 June 2016
Sports Direct is one of the latest businesses to come under fire for not adhering to national minimum wage regulations.
Britain’s largest union, Unite, has been leading a campaign against ‘shameful’ work practices at Sports Direct. Unite revealed to a select committee that some workers received their wages through pre-paid debit cards; costing £10 to get, workers are charged £10 a month in ‘administrative fees’ for the card, as well as 75 pence for cash withdrawals. As well as Sports Direct tycoon Mike Ashley admitting workers were paid below the minimum wage, the committee also heard how workers, if they were one minute late at the retailer’s Shirebrook warehouse, were docked 15 minutes' pay.
It also emerged that The Best Connection was charging workers a fee of over £2.45 for ‘insurance services’ straight from their weekly wages with no explanation.
Penalties for failure to comply With the introduction of the National Living Wage in April the penalty for non-payment is 200% of the amount owed, unless the arrears are paid within 14 days. The maximum fine for non-payment is £20,000 per worker. However, employers who fail to pay will be banned from being a company director for up to 15 years.
Acas has useful information and guidance on both The National Living Wage and National Minimum Wage .
CIPP comment The CIPP Policy & Research team has produced a survey to aid in the gathering of data and experiences from employers and payroll professionals that will help to measure the impact of the National Living Wage and the National Minimum Wage. The survey will close on Monday 1 July 2016.
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The Chartered Institute of Payroll Professionals
Policy News Journal
cipp.org.uk
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