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Employment (Minimum Wage) (Amendment No. 8) (Jersey) Order 2014

A formal published “Ministerial Decision” is required as a record of the decision of a Minister (or an Assistant Minister where they have delegated authority) as they exercise their responsibilities and powers.

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The Freedom of Information Law (Jersey) Law 2011 is used as a guide when determining what information is be published. While there is a presumption toward publication to support of transparency and accountability, detailed information may not be published if, for example, it would constitute a breach of data protection, or disclosure would prejudice commercial interest.

A decision made 17 October 2014:

Decision Reference: MD-S-2014-0130

Decision Summary Title :

Make Minimum Wage Order 2015

Date of Decision Summary:

17 October 2014

Decision Summary Author:

Policy Principal

Decision Summary:

Public or Exempt?

Public

Type of Report:

Oral or Written?

Written

Person Giving

Oral Report:

N/A

Written Report

Title :

Make Minimum Wage Order 2015

Date of Written Report:

17 October 2014

Written Report Author:

Policy Principal

Written Report :

Public or Exempt?

 

Public

Subject: Employment (Minimum Wage) (Amendment No. 8) (Jersey) Order 2014

Decision(s): The Minister made the Employment (Minimum Wage) (Amendment No. 8) (Jersey) Order 2014.

Reason(s) for Decision: Following the Employment Forum’s review of the minimum wage in 2014, the Minister for Social Security presented a Report to the States (R.141/2014) notifying that he had accepted the Forum’s recommendations (MD-S-2014-0126) and then requested law drafting (MD-S-2014-0127). In accordance with the Forum’s recommendations, the Minister made the Employment (Minimum Wage) (Amendment No. 8) (Jersey) Order 2014 to increase the minimum hourly rates of pay from 1 April 2015, as follows;

 

  • A minimum wage of £6.78 per hour.
  • A first year trainee rate of £5.09 per hour.
  • A second year trainee rate of £5.93 per hour.

 

The Minister has lodged ‘au Greffe’ the Employment (Minimum Wage) (Amendment No. 11) (Jersey) Regulations 201- (MD-S-2013-0129) for debate at the States sitting of 9 December 2014. The Regulations would, from 1 April 2015, increase the maximum values that may be counted towards minimum wage or trainee rate pay where accommodation, or accommodation with food, is provided to an employee.

Resource Implications: There are no financial or manpower implications.

Action required: Policy Principal to notify the Greffier of the States and the Law Draftsman that the Order has been made so that it may be notified to the States, and forward the signed and sealed Order immediately to the States Greffe for publication and archiving.

Signature:

 

 

Position:

Minister

 

Date Signed:

 

 

Date of Decision (If different from Date Signed):

 

Employment (Minimum Wage) (Amendment No. 8) (Jersey) Order 2014

 

Accompanying report for the Employment (Minimum Wage) (Amendment No. 8) (Jersey) Order 2014

 

The independent consultation body, the Employment Forum (the ‘Forum’), consulted on the minimum wage during the period 16 June to 18 August 2014 and publicised its recommendation to the Minister for Social Security (the ‘Minister’) on 23 September 2014. The Minister presented a Report to the States which included the Forum’s recommendation and notified the States of his decision (R.141/2014). The Minister accepted the Forum’s recommendation for increases to apply from 1 April 2015, as shown in the table below.

 

 

2014

2015

Minimum Wage (per hour)

£6.63

£6.78

Trainee Rate Year 1 (per hour)

£4.97

£5.09

Trainee Rate Year 2 (per hour)

£5.80

£5.93

Maximum weekly offset against minimum wage for accommodation

£72.54

£74.21

Maximum weekly offset against minimum wage for accommodation & food

£96.72

£98.94

Maximum weekly offset against trainee rates for accommodation

£54.41

£55.66

Maximum weekly offset against trainee rates for accommodation & food

£72.54

£74.21

 

To give effect to the recommended increases to the minimum wage and trainee rates, the Employment (Minimum Wage) (Jersey) Order 2007 will be amended, as of 1 April 2015, as follows;

 

  1. To increase the hourly minimum wage rate from £6.63 to £6.78.

 

  1. To increase the minimum hourly rate for a trainee (except as described in point 3) from £4.97 to £5.09. This trainee rate may be paid for a total of one year, whilst an employee is undergoing approved training at any time within the first two years of a new job.

 

  1. To increase the minimum hourly rate for a trainee who has completed 12 months’ approved training in a job from £5.80 to £5.93. This trainee rate may be paid where an employee has already undertaken approved training for a total of one year in a new job and whilst that employee continues to undergo approved training for up to one further year in that job, up to a maximum of two years.

 

The Minister also proposes to proportionately increase the maximum amounts that may be counted towards minimum wage or trainee rate pay where living accommodation, or living accommodation with food, is provided to an employee. Subject to the States adopting the Employment (Minimum Wage) (Amendment No. 11) (Jersey) Regulations 201-, the maximum amounts will increase from 1 April 2015 in accordance with the Forum’s recommendations.

 

There are no financial or manpower implications arising from this Order.

 

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