Plan Ahead

For a lot of businesses its budgeting and reward and recognition planning time.  I’ve been working with clients to create pay bands for their team, cascading of discretionary bonuses to directly engage employees which will drive performance of the individual and gain the best business outcomes.

From 1st April we will see an increase to the minimum wage of $1.50 an hour to $22.70, this is much more than most of us were expecting and for the majority of businesses it’s problematic, some businesses just won’t have been able to factor it in to their future budgets. In many cases it will be passed on to consumers through increased prices."

That’s a 7.07% increase on the current minimum wage and 44 per cent increase in the minimum wage since 2017, This is all at a time when businesses can least afford it. The reality is that when the tide comes in, all the boats go up in terms of wage relativity at all levels, and we also have the further spectre of Fair Pay Agreements coming at businesses.

Have you planned for this in your next years budget?  Have you planned for how to the manage the potential culture impact on your team members that are currently above minimum wage with the gap to base employees shrinking.

If you know a company that is needing reward and recognition planning, then recommend King and Co.

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