Following an announcement from the Social Security Minister (the Minister) on her intention to increase the minimum wage from 1 January 2022,(1) Jersey's States Assembly has accepted her draft regulations, allowing the Minister to set the minimum wage rate in 2022 without directing the employment forum to consult with stakeholders.
From 1 January 2022, the minimum wage will increase to £9.22. This is a 10.8% increase, which achieves the States Assembly target for the minimum wage to reach 45% of the mean average earnings (currently £820 per week).
The trainee rates will also increase on 1 January 2022 by an equivalent percentage: the first-year trainee rate will increase to £6.91 (from £6.24) and the second-year trainee rate will increase to £8.07 (from £7.28).
There will be no increase to the maximum amounts that an employer may offset against minimum wage pay when staff accommodation and meals are provided. Those rates will remain at the current rates (unchanged since April 2020) which can be found on the state website.
For further information on this topic please contact Helen Ruelle, Will Austin-Vautier, Laura Shirreffs or Kate Morel at Ogier by telephone (+44 1534 514000) or email ([email protected], [email protected], [email protected] or [email protected]). The Ogier website can be accessed at www.ogier.com.
Endnotes
(1) For further information about this announcement, please see "Proposal for a minimum wage of £9.22 in Jersey from January 2022".