COMPLIANCE
Mathew Akrigg ACIPP, policy and research officer at the CIPP , provides details of how the policy team engaged with payroll professionals to shape the content of the response to the Low Pay Commission’s (LPC’s) consultation on minimum wage rates Future national minimum wage rates: the Low Pay Commission consultation
T he LPC receives a yearly remit from the UK government to investigate and advise on future minimum wage rates. The CIPP is always keen to be involved with such an important undertaking that impacts the lives of millions across the UK. The consultation on the national minimum wage (NMW) and national living wage (NLW) rates for April 2023 has now closed. This will be a critical year for the NLW rate, for the UK government to reach its target of two thirds of median income for those aged 21 and over by April 2024. The changes seen in April 2022 indicated that this target is still very much at the forefront of plans, as we saw a 9.8% increase to those aged 21-22. This sharp increase will serve to soften the impact to employers when the NLW scope is expanded to that age group. The CIPP published a survey and held think tanks to gain valuable member input to the consultation response. The survey gave opinions and data from a range of sectors, covering the areas the LPC focused on in this year’s consultation questions. The think tanks provided some qualitative insights and experiences from members, providing the LPC with background and anecdotal impacts of previous NLW changes. The CIPP is always keen to be involved with such an important undertaking that impacts the lives of millions across the UK Some of the key areas covered in the consultation were: ● the current economic outlook ● the NLW ● young people ● the accommodation offset ● compliance and enforcement. Here are some of the main findings from our evidence gathering:
Economic outlook The coronavirus pandemic is still having
| Professional in Payroll, Pensions and Reward | July - August 2022 | Issue 82 26
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