Pack employers face rise in minimum wage

Stephen Whitehouse, commercial director of Bradford-based contract packer Mailway Packaging Solutions, said: "We thought it might get nearer to £6 an hour and had budgeted on £5.75 an hour, so we're not surprised by the increase."

Mailway, which Whitehouse said was one of the top 10 employers of agency workers in the Bradford area, employs up to 300 temporary staff at peak times, such as Christmas and Easter.

"The difficulty is that all of our other staff who are paid an hourly rate will look at this percentage, rather than inflation, for their wage increase," said Whitehouse.

He said temporary staff on the minimum wage received other benefits such as free English language lessons, and there was potential for them to be offered permanent positions.

The hourly rate for 18- to 21-year-olds will increase from £4.60 to £4.77, while the statutory wage for 16- and 17-year-olds will go up from £3.40 to £3.53.

Two-thirds of those who will benefit from the increase are women.

The government also announced new measures to enforce the minimum wage, including a new method for dealing with arrears and an increase in the maximum penalty for non-payment to an unlimited fine.

The national minimum wage has risen by 60% from £3.60 an hour since it was introduced in 1999.

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