Are You Ready For Minimum Wage and Agency Worker Changes in October?

In October 2011 there will be 2 major changes to legislation coming into effect at the same time, the introduction of the Agency Workers Regulations (AWR) and the increase in the National Minimum Wage.

The AWR is the most significant legislation ever to hit the business of supplying temporary workers and will change the recruitment landscape forever, with only 10 per cent of employers prepared for the workforce planning of the AWR according to a survey conducted by the Recruitment and Employment Confederation (REC) last month.

In summary, temporary workers will have the right to equal treatment with regards to pay, holidays and working conditions, once they have completed a 12 week qualifying period.

Encore has access to the very best industry guidance and regularly meets with organisations that make decisions in the field of recruitment. With the implementation of the Agency Workers Regulations in 2011; Encore has worked with its partners to create a suite of advice and information.

The National Minimum wage is also due to rise in October, from £5.93 to £6.08 per hour for over 21’s. The 18-20 rate will increase to £4.98, the 16-17 rate to £3.68 and the apprentice rate to £2.60 per hour.

Pete Taylor, Operations Manager at Encore Personnel commented “The dual impact of both the AWR and the increase in the National Minimum wage will have a double impact on businesses. After investigating the viewpoints from the wider business communities, it has become apparent that in an alarming amount of cases, businesses are taking a ‘leave it till later’ attitude towards the AWR. With this legislation imminent, we would strongly advise that businesses should be preparing for this now.”

“However, the AWR and minimum wage increase legislations can be used as an opportunity for many businesses to review their internal pay schemes and identify areas where they can introduce attainment levels.”

Encore Personnel specialise in the supply of blue collar personnel (logistics, manufacturing and engineering, temporary and permanent) to industry throughout the U.K, employing over 2,000 temporary staff each week through its existing six locations and 16 divisions. 

Should you wish to discuss the implications of this legislation further we would be happy to come to you at your convenience. Please contact Philip Tilt on 0116 2423652, click here to ask for more information or visit the AWR section of our website.