Allinson: 'Government has tried hard to tackle the scourge of poverty'

CoC and some businesses warning of implications of raising minimum wage

The treasury minister says he believes government has tried really hard to ‘tackle the scourge of poverty’ on the Isle of Man.

Plans to increase the minimum wage will go before Tynwald in February.

If approved the hourly rate will rise to £13.05p by October this year.

Achieving parity between the minimum wage and the living wage has been one of Tynwald’s aims since 2021 after the court accepted a recommendation from the Select Committee on Poverty.

Alex Allinson told Manx Radio people need to be able to earn a wage that they can live off without relying on benefits:

However the Chamber of Commerce has questioned whether now is the right time to implement a change to the minimum wage saying rising costs could lead to more businesses and jobs being lost.

It’s calling on Manx politicians to consider delaying the increase or to look at alternative proposals including increasing tax thresholds for lower paid workers.

It says this would put more money in people’s pockets and help reduce the burden on businesses – particularly those in the retail and hospitality sectors.

You can find out more HERE.

Michael George is the owner and proprietor of The Welbeck Hotel and agrees with the chamber’s suggestion saying government must do more:

Enterprise Minister Tim Johnston says a rise in the minimum wage is necessary if the Island wants to remain competitive with other jurisdictions.

You can find out more HERE.