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Manx Newscast: U-turn on Minimum Wage proposals
Manx Newscast
Wednesday, 5 February 2025 - 7 minutes
Plans to increase the Island's Minimum Wage in two phases this year have been revised.
The original proposal, announced last month, would have seen the rate increase from £11.45 per hour to £12.25 from 1 April, and then up to £13.05 from 1 October.
Now, however that second planned uplift is to be put on hold.
It means Tynwald will only be asked to approve the single increase up to £12.25 from April.
The Department for Enterprise and Treasury says the decision to defer the second increase - which would've aligned the Minimum Wage with the Living Wage - follows feedback from industry and a range of representatives.
Instead, the department says it will 'prioritise a review into the current methodology of agreeing proposals in respect of the Minimum Wage and its link with the Living Wage, with the aim to report on findings to Tynwald in July 2025.'
In this edition of Newscast, Enterprise Minister Tim Johnston speaks to Sian Cowper about the new proposals and why aligning the Minimum Wage with the Living Wage is still the direction of government.
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