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New minimum wage

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WQ.278/2025

WRITTEN QUESTION TO THE MINISTER FOR SOCIAL SECURITY

BY DEPUTY K.M. WILSON OF ST. CLEMENT

QUESTION SUBMITTED ON MONDAY 16th JUNE 2025 ANSWER TO BE TABLED ON MONDAY 23rd JUNE 2025

Question

"Further to the implementation of the new minimum wage in Jersey, will the Minister state whether the Government is collecting data on the impact of its implementation on local businesses and, if not, why not, and, if so, will she advise –

  1. what data is being collected, how it is being collected and when (if at all) such data will be made public;
  2. whether any data collected demonstrates an increase in wage costs for employers and whether there is any corresponding increase in indirect employment costs (such as training and pensions);
  3. the cost of hiring both full-time and part-time workers at the new minimum wage in each of the following age groups –
    1. 16 to 17;
    2. 18 to 25; and
    3. Over 25; and
  4. what impact, if any, has been observed on job opportunities for local people aged between 18 and 25?

Answer

Jersey has had a minimum wage for many years and this is typically subject to an annual uprate. The current rate is £13 per hour with effect from 1 April 2025. As recently discussed by States members during the debate on  P.32/2025, the Employment Forum undertakes independent research and publishes comprehensive reports on minimum wage issues. The next report on this subject will inform the 2027 minimum wage rate.

Ministers maintain close contacts with local businesses through a range of formal and informal routes. The 2025 minimum wage has been in force for less than 3 months, and it will take some time for any impact to be seen through formal data collection methods. These data collection methods are set out below.

Statistics Jersey undertake regular surveys of earnings in the Island. The Average Earnings Index is based on a survey that is distributed each year in July, with the results published in late August. Every 3 years the survey includes additional questions in respect of minimum and low wage workers. These questions are being included in the 2025 survey.

Statistics Jersey now also produce two separate reports using information derived from administrative data. The "Gender pay gap" report, which will be published in March each year and the "Earnings Statistics" report which will be published in August each year. Both reports contain details of the median wage and include breakdowns by age. The 2024 Gender pay gap report was published in March 2025. The 2025 report will be published in early 2026.

The Government does not collect information on the cost of hiring workers.

Age discrimination rules apply to employment and recruitment issues. As such, information on job opportunities by age group is not available. The same minimum wage rate applies to all workers aged above school leaving age.

Monthly actively seeking work statistics are published on the opendata website once a quarter. This includes a breakdown of individuals by age (16-19, 20-24, and five-year age bands for ages 25 and over).