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News
EEA warns over impact of NMW rise
The Equestrian Employers Association (EEA) issues a warning to all employers after the announcement that the National Living Wage is due to rise by 6.6% on April 1st 2022.
The increase is more than twice the current 3.1% rise in the cost of living and takes the hourly rate for workers over the age of 23 from £8.91 to £9.50. For a groom on NLW, working a 45 hour week, this will see an annual pay rise of £1,380.60.
The EEA is concerned about the impact on many equestrian businesses and is warning employers to plan ahead and budget for the imminent increase to ensure that their business remains viable in response to an increase of this magnitude.
“It is absolutely right that everyone is paid fairly. However, in some cases equestrian businesses are already struggling and this rise will be a further challenge for them. It’s vital that increases in the National Living Wage are manageable and do not put jobs or businesses at risk. There needs to be an industry wide price increase in the cost of services, the employer cannot be tasked with this on their own.”
Tullis Matson, President of the EEA
Tullis Matson, President of the EEA
With the HMRC targeting the equestrian industry, and hefty fines being issued, the EEA is asking; is the traditional equestrian setting a thing of the past as businesses must prepare to increase costs and future-proof, remembering that it’s not a choice to pay the National Minimum Wage, it’s the law.
NMW rates as of 1 April 2022
In other age groups the minimum wage increase will be:
National Living Wage for over-23s: From £8.91 to £9.50 an hour
National Minimum Wage for those aged 21-22: From £8.36 to £9.18
National Minimum Wage for 18 to 20-year-olds: From £6.56 to £6.83
National Minimum Wage for under-18s: From £4.62 to £4.81
The Apprentice Rate: From £4.30 to £4.81
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