GRG comments on Minimum Wage proposals

GRG comments on Minimum Wage proposals

The Guernsey Retail Group has again shared its “significant concerns” regarding a lack of available data connected with setting the island’s minimum wage.

In a letter to the Committee for Employment and Social Security, through its consultation on the proposed minimum wage rate increases, the GRG has voiced its concerns over the proposed inflation-linked increase to the adult rate, while also broadly criticising plans to level the youth minimum wage with the adult rate.

The GRG remains concerned that increases are being proposed to ensure the minimum wage is 60% of the island’s median earnings without any data confirming what the median wage is.

Regarding the youth minimum wage – which the States has previously agreed should be 90% of the adult rate – the GRG is concerned over new plans to equalise it with the adult rate.

Recognising that some retailers already pay both their youth and adult staff above the minimum rate, the GRG urged caution on equalising the two, and on raising the minimum wage without data on Guernsey’s median wage being available.

The GRG suggested a minimum wage of £12.90 per hour for workers over the age of 18, and £11.60 for those aged 16 and 17.

A States decision on setting the new rate, which will be implemented from 1 October, will be made this summer.

You can read the GRG letter HERE.