In Parliament

Minimum Wage Increases 10 October 2008

Jessica Welcomes Increases in Minimum Wage

On the 2nd October, one of Labour's greatest policies, the National Minimum Wage (NMW), was increased for all three age brackets: The rate is rising to £5.73 per hour for workers aged 22 and over, £4.77 for 18-21 year olds and £3.53 for those aged 16 and 17.

Ten years after the Minimum Wage Act was passed in 1998, Labour's NMW legislation has made a huge difference in making work pay and helping families out of poverty in Britain. In Wales, 50,000 people have benefited from the NMW, but the Labour Government isn't resting there.

The Government is boosting the funding for enforcement of the NMW and is planning tough new penalties for rogue employers who underpay staff as part of the Employment Bill, now before the Parliament. The Employment Bill will introduce an automatic fine of up to £5,000 for businesses found underpaying their workers. The most serious cases will be tried in a Crown Court, which will have the power to impose unlimited penalties.

Jessica Morden MP for Newport East said "The National Minimum Wage is one of our greatest achievements since coming into Government. I have seen firsthand the positive effect it has had on people who were working extremely hard for next to nothing. But we can't rest on our successes, we must remain vigilant and ensure the National Minimum is enforced and improved."