As of October 1st 2007 the Minimum Wage and Holiday Entitlement has risen for employees across the UK. The immediate effect will mean that million of employees will be receiving a pay ride and more annual leave from today.
The Adult statutory minimum wage will go up from £5.35 to £5.52, for 18-21 year olds the rise will be from £4.44 to £4.60 and the rate for 16 and 17-year-olds will increase from £3.30 to £3.40 per hour.
The Annual leave entitlement will increase from 20 to 24 days a year for full-time workers and it is rumoured that it will increase again to 28 days from April 2009 although this is some time away.
It is estimated that about six million workers will benefit from the extra holidays and just over a million will have a higher wage. This is not just good news for employees, the thought behind these changes maintains that businesses will also benefit from a more motivated and productive workforce.