Minister approves biggest minimum wage surge in ten years

Thursday 11 October 2018

The biggest minimum wage increase in a decade has been approved by the Social Security Minister, meaning that low-paid workers look set to get an extra £1,000 per year.

Deputy Judy Martin said she was "pleased" to accept the recommendation of the Employment Forum as she approved the 6.9% increase to just over £8 an hour, the biggest rise to the minimum wage in ten years. It now needs to be signed off by the States.

The employment body’s recommendation would hike the minimum wage higher than the rate of inflation and would equate to an extra £1,082 per year for low-paid staff working a 40-hour week.

The recommendation came despite the Chamber of Commerce voicing concerns about it on behalf of the business community and from local farmers. One vegetable grower told Express she feared such an increase could spell more difficulty for Jersey’s agricultural industry.

Now the Minister has accepted this recommendation, and the minimum wage looks set to increase to £7.88 per hour from 1 April 2019. After a further increase, by this time next year it will be £8.02 per hour.

Pictured: The Chair of the Employment Forum, Helen Ruelle, whose recommendations to increase the minimum wage by 6.9% have been accepted by the Minister.

When asked about the approval, local farmer Christine Hellio said: "Our industry knew that changes were going to be made, it is now a waiting game to see if we will be able to sell our produce for a small price increase to help in meeting the wage increase.

"If not, you may then find that some farmers will have to cut down on the number of employees on their farms, which might also include a decrease in the amount of fresh produce that is grown on our island."

A report detailing the Social Security Minister’s decision reads: “The Minister is pleased to take forward the biggest minimum wage increase in 10 years, which will give a ‘real terms’ wage increase for thousands of employees in Jersey." 

It also adds: “The minimum wage rate of £8.02 for October 2019 is equivalent to 43.4% of the level of mean weekly earnings. The Minister recognises that this increase shows significant movement towards the States’ aspiration to reach 45% of mean weekly earnings by 2020.”