The Committee for Employment & Social Security is inviting islanders to have their say on a proposed new plan for the Minimum Wage.
Since 2019, the Adult Minimum Wage Rate has gradually increased towards the States’ approved target of 60% of median earnings. The rate is on course to reach this target in October 2024, subject to States’ approval. A new medium-term plan is being developed covering the period between 2025 – 2030.
The Committee is proposing that the Adult Minimum Wage Rate is increased to 66% of median earnings by 2030 – this equates to increases of 1% of the median earnings level each year.
Deputy Peter Roffey, President of the Committee for Employment & Social Security, said: “The new medium-term plan will continue the existing plan’s objective to ensure that the gap between the Island’s lowest paid workers and the workforce average does not grow too wide. It is also important that Guernsey broadly aligns with Minimum Wage Rates in Jersey and the UK, both of which consider the 66% figure an appropriate target.
“However, the Committee is aware that economic conditions can change quickly, and with this in mind we propose to carry out detailed reviews of the plan every two years to ensure that the policy principles are being followed, and that rates are approaching alignment with other jurisdictions as intended. If the feeling is that the plan is not achieving these objectives, then we will rework it and return to the Assembly for approval.”
A public consultation on the proposed plan will take place from 19 February to 2 April 2024, and will consist of questionnaires being sent to specific targeted groups in addition to a public survey which will be available online and in hard copy. The online survey can be accessed here and paper copies can be picked up at Sir Charles Frossard House and Edward T. Wheadon House. Paper copies can also be posted out if required by contacting the Committee on tel: 01481 222885 or by email. The questionnaire is also available in Portuguese and Latvian.
Deputy Roffey said: “We are keen to hear from as many islanders as possible on our proposals for the Minimum Wage – particularly from employers and those workers who are paid the Minimum Wage. Your feedback is vital to the development of this policy and will help refine the proposals that are due to be considered by the Assembly in July 2024.”
