New Minimum Wage Rates to Come Into Effect from 1 April 2022

Changes to the Isle of Man rates of minimum wage will take effect from 1 April 2022.

The new rates of minimum wage, approved by Tynwald in February, mean an increase of the headline minimum wage rate from £8.25 to £9.50 per hour, representing an increase of £1.25 per hour from 1st April 2022. The rates for those aged 16-17 and for Development Workers will also be increased from £6.15 to £6.80 and £7.30 to £8.05 respectively.

Dr Alex Allinson MHK, Minister for Enterprise, commented:

‘We have been given a clear mandate from Tynwald to increase our rates of minimum wage over the next few years in order to align with the calculated Living Wage for the residents of the Isle of Man. Recent increases in energy prices and the overall cost of living have made this measure more important than ever. The Island Plan reinforces this commitment and this increase signals the start of our journey towards this goal.

‘This is the first increase since 2019 and whilst it is recognised that this will impact some businesses, many have in effect already raised wage levels in order to retain and attract new workers in such a competitive market. It is also imperative that the Isle of Man does not fall behind our close counterparts in the UK, and is able to maintain a strong and competitive proposition when working to fill labour shortages and promote the Island as a secure, vibrant and sustainable place to live and work.’

The new rates of minimum wage coming into effect on 1 April 2022, compared to the existing rates, can be seen in the table below.