The Food and Drink Federation says the annual increase to the National Minimum Wage will be harder to implement than usual, amid Brexit uncertainty, and warns of further difficulty ahead if the Minimum Wage is aligned with the Living Wage
Although workers aged 25 and over now receive at least the National Living Wage, many younger workers are still paid the National Minimum Wage, a lower hourly rate that varies with age.
On 1 October, the annual rate increase came into force, taking pay for 21-24-year-olds to £6.95 an hour, 19-20-year-olds to £5.55 an hour, and under-18s £4 an hour. (The rate for apprentices is just £3.40 an hour.) The increases meant that 500,000 young people received a pay rise.
The sums are hardly princely -- a 23-year-old working a 40-hour week would earn £278 a week. But the Food and Drink Federation, the trade association for the food manufacturing sector, still felt the increases would place an unwelcome burden on food firms, exacerbating the uncertainties caused by Brexit. It also warned that companies could struggle if the Government tried to dovetail the Minimum and Living wage rates.
Meanwhile the Department for Business continues to name and shame employers for failing to pay the NMW. In August, the list of 200 companies included Mr Moo's family butcher's, Peppermint UK and seven food service firms.
Read more on this story here, and find out more about Sustain's campaigns for a greener, fairer food supply here.
Published Friday 7 October 2016
Sustain: Sustain The alliance for better food and farming advocates food and agriculture policies and practices that enhance the health and welfare of people and animals, improve the working and living environment, enrich society and culture and promote equity.
