Agricultural Wages Board: News release - Agricultural Wage Negotiations 2007 - AWB1/07
23 May 2007
The Agricultural Wages Board met on 15 and 16 May 2007 for the 2007 annual pay negotiations. The Board has proposed introducing a new Agricultural Wages Order that would come into force on Monday 1 October 2007
It is proposed that:
- The minimum basic Grade 1 pay rate for workers over compulsory school age should increase by approximately 3.2% from £5.35 to £5.52 per hour.
- The minimum pay rates for Grades 2, 3, 4, 5 and 6 should be increased by approximately 4.5%. This would increase the minimum rates as follows:
- Grade 2 from £5.74 to £6.00 per hour;
- Grade 3 from £6.31 to £6.60 per hour;
- Grade 4 from £6.77 to £7.08 per hour;
- Grade 5 from £7.18 to £7.50 per hour;
- Grade 6 from £7.75 to £8.10 per hour.
- The rates for Apprentices in Year 1 of an Apprenticeship/Advanced Apprenticeship should increase from £3.44 to £3.46 per hour and the rates for Apprentices in Year 2 should increase from £3.44 to £3.46 for 16-18 year olds, from £4.45 to £4.60 for 19-21 year olds and from £5.35 to £5.52 for those aged 22 and over.
- Other rates and allowances should increase by 4.5%.
- The value to be attributed to the provision of a House or Other Accommodation should be a specified sum rather than a sum not exceeding a specified amount.
- The “Other Accommodation” offset should increase to £4.30 per day.
- Where an Agricultural Wages Committee re-values the benefit attributable to the provision of a House, that re-valued sum should be specified as a weekly amount.
- Sub-section 8.5 of the Agricultural Wages Order should be deleted.
- Annual and Public Holiday/Additional Public Holiday leave should be incorporated into a new annual holiday entitlement for all workers.
- The commencement date for the holiday year be moved to 1 October annually and that transitional provisions be incorporated into the 2007 Order.
- The calculation of holiday pay for the Total Annual Holiday entitlement should include guaranteed overtime.
- Upon termination of employment employers should be entitled to recover all excess holiday pay, whether in relation to Agricultural Wages Order holiday or contractual holiday pay.
- Where the employer and worker agree that the worker is to forego one or more days of holiday (over and above Basic Holiday entitlement) and instead work on such days the employer should be required to keep a written record of the agreement in respect of each day of foregone holiday. Such records would be required to be retained for a period of three years.
- Where a worker does not in fact work on a planned day of foregone holiday, that entitlement to a day of holiday should be reinstated.
- Workers should be entitled to carry forward to the following holiday year any untaken days of Total Annual Holiday Entitlement once the Basic Holiday entitlement under the Agricultural Wages Order has been taken.
- The Board should continue to review the way forward on AWO pension provision in the light of proposed government legislation.
- The Board should review the possibility of further changes to the accommodation offset particularly in relation to multiple occupancy accommodation.
Other technical and consequential drafting amendments are also proposed.
Full details of the Board’s proposals can be obtained from the AWB Secretariat, Tel 020 7238 6523. Representations or other comments on the proposals must be lodged with the Secretary to the Board by Friday 22 June.
Notes for Editors
1. The Agricultural Wages Board is constituted under the Agricultural Wages Act 1948. It is an independent body with 21 members. Eight members representing employers are nominated by the National Farmers' Union and eight members representing workers are nominated by the Transport and General Workers' Union. There are five Independent Members, including the Chairman, who are appointed jointly by the Secretary of State for Environment, Food and Rural Affairs and the Welsh Assembly Government.
2. The minimum rates of pay specified in the Wages Order apply to any worker employed in agriculture anywhere in England and Wales. Where a worker's contract provides for payment at piece rates the worker's wages must not be less than the appropriate minimum for the actual hours worked.
3. The current minimum rate for the standard 39-hour working week applicable to Full Time Standard adult workers is £223.86 (£5.74 an hour).
4. With effect from 1 October 2007 the National Minimum Wage is due to increase to £5.52 per hour for workers aged 22 and over. The development rate for workers aged 18-21 will increase to £4.60 per hour. The rate for 16-17 year olds will increase from £3.30 to £3.40 per hour. The Board cannot set a minimum hourly pay rate which is below the National Minimum Wage.
Page last modified:
13 August 2007
Page published: 22 March 2005