National Living Wage comes into effect

waiter olderThe National Living Wage, requiring employers to pay workers aged 25 and over at least £7.20 per hour, has come into effect today.

With workers in the hospitality sector amongst the 1.3 million who will benefit from the change, those working in the North, North East and the South West are likely to notice the greatest impact upon earnings.

Adam Sowter, a hotel employee from York, has said that the extra money will allow him to pursue ambitions outside of the hospitality industry, whilst a colleague – who is currently still under 25 – will be about £1,000 worse off over the coming year.

Businesses now required to pay the National Living Wage, which is set to rise to more than £9 per hour by 2020, may struggle to pay the higher wages. However, Sir George Bain, former chair of the Low Pay Commission, said that such fears were “overblown,” and the situation is “s too complicated to call in advance.”