How does the min living wage increase affect you ?

Rebecca King  20 March 2017 10:46:02

April 2017 will see the national minimum living wage increase from £7.20 to £7.50 per hour. In your business at this level this could potentially affect receptionists, drivers, cleaners and certainly valeters. In the valeting sector this is a fundamental increase in the cost of doing business. Direct labour costs run around 80% and this increase represents a 4% increase in labour cost.

Autoclenz is all about the people, but more importantly the right people.  Our operators are put through a gruelling industry leading compliance checking process to check their driving licenses, their ability to legally work in the UK and that they are who they say they are. There is a cost to this and more importantly there is a cost to adhering to the new minimum living wage of £7.50 per hour coming in next month which supports engaging the right people.

Over 30% of operators we are asked to engage with when winning new contracts from competitors do not pass our compliance checking process for reasons such as having no driving license, no passport / paperwork or working on a student visa to name a few. This “grey” labour promotes lower rates with no questions asked, but the risks that go with this option far outweigh any potential short term gains.

Who is working in your valet bay today ?


To find out more about the difference at Autoclenz please call Rebecca on 01283 554682

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