The States will decide which way to go this week, and now the Chairman of the Public Accounts Committee, Deputy Andrew Lewis has also weighed in, saying if Jersey agrees a level below the UK and Guernsey, it is a "serious own goal" for the Council of Ministers:

“The Council of Ministers needs to be braver and challenge the employment forum, to look at the bigger picture and have a longer term vision that can be achieved in the medium term. A simple step towards this would be agreeing to at least match the minimum wage of our two nearest neighbours, not doing so is a serious own goal yet again for the COM.

“The knock on effect of low wages is that Social Security have to top up low paid workers to the tune of £14m per annum, however the total bill for supplementation is nearer to 60 million, it is simply not sustainable. Furthermore could it be construed that the tax payer is subsidising employers to pay a minimum wage?” 

A report is due out in December looking at what impact a significant rise in the minimum wage would have on the Island’s tax and benefits system but Deputy Sam Mézec says that report will come too late to implement any change before the April 2017 rise in the minimum wage and is calling for an extra 2p on the £7.18 per hour, recommended by Jersey’s Employment Forum.

Deputy Mézec says otherwise it puts the Island in the embarrassing situation where our lowest-paid workers are being paid less than they are in Guernsey where it’s cheaper to live and where they are set to get £7.20 per hour from 1 January, the same as the UK’s National Living Wage.

“If the current proposed rise of 3% was repeated every year, Jersey would not reach a £9 per hour minimum wage until 2025, 5 years later than the U.K. is scheduled to reach it.

“We are also of the view that the ambition for a minimum wage which is 45% of the mean wage is out-of-date, and that there is merit in seeking to emulate the U.K. aim of 60% of the median wage, and we remain committed to the principle of a real Living Wage. We intend to offer the States the opportunity to debate these points in the near future. 

“Staff are very happy to come and work here, as Jersey is a lovely place and they do earn well, and they have the opportunity to work which is what they come for.”

"The JHA took part fully in the annual consultation process that was undertaken by the Employment Forum as part of making their recommendations to the Social Security Minister.  As an Industry, the hourly rate paid to staff is only one element of any package provided to staff. Many JHA employers also provide staff accommodation (at a greatly reduced cost compared with the normal rental market), meals on duty and if staff live in also meals off duty along with commissions, tip share, end of season bonuses and uniforms. 

"As an industry,  we currently have bigger concerns that we are facing from decisions being made by the States of Jersey, including licenses for work and the allocation of them, with no current  Population strategy in place. As well as proposed increases to rates of Duty (there was no consultation on this with the industry and the likely affect if agreed)  and Wastage charges which currently have been agreed in principal but with no real detail of actual costs to a hospitality business, that will be directly affected more than a finance business. Depending on these larger factors will determine for some businesses if they decide to close and leave the industry.

"The hospitality industry operates in a very competitive marketplace and it is disappointing after all the work that was put in by the Employment Forum and those that they consulted to now have it questioned."