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Another Survey regarding Staff Costs/Payments (30 hour funding)


BroadOaks
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Hey everybody i wanted to be even more intrusive into our Nursery Businesses and i hope some of you can help again :D

 

With the success of our last survey regarding nursery funding amounts and how i am hoping it might have actually helped highlight the different amounts per LA, i was hoping to now gather information regarding staff wages per area. Even though the cost of living is higher in certain areas of the country we do still have a National Minimum Wage and soon to be Living Wage come April!! HELP!!

 

If you don't want to be specific as adding the amounts below, please just include a few sentences about how the National Living Wage will effect you in April 2016.

 

SO the questions i would love answers to are:

 

How much do you currently pay the following staff;

 

Room Leader = £7

Manager = £10

Dep Manager = £8

 

Apprentice = NMW

18-20 Year Old = NMW

21 - 24 year Old = NMW

Over 25 year old = NMW

Any other roles ie SEN Champion = NMW

Any other ___________ =

 

So in April - when the Living Wage comes into effect @ £7.20 per hour for 25 years and over It will increase costs, but we are only a small setting so it won't be a major increase. We are also in the North West so the cost of living is quite low in comparison to the average i believe.

 

Hopefully we can gather some realistic data again :D

 

 

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No longer running a setting but my thoughts would be that the whole staff wages would have to increase by the same percentage as the staff currently on NMW and moving to LW ( same thing but different name methinks! )

 

I feel to not do so would be very unfair on the rest of the staff - they deserve the same increase.. our wages always increased the same percentage when we had to increase because of NMW - hated having to work at such a basic level of pay for anyone.

 

All deserve more in reality but who can afford it..

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Room Leader = Don't have room leaders

Manager = I am the Manager as well as owner = less than minimum wage at the moment

Dep Manager = £7.05

 

Apprentice = NMW

18-20 Year Old = NMW

21 - 24 year Old = NMW

Over 25 year old = NMW

Any other roles ie SEN Champion = Extra roles such as SEN/behaviour etc are split between myself and the deputy, no extra pay for this.

Any other ___________ =

 

 

Only have 2 members of staff who are over 25 so won't affect greatly and one of these is the deputy. We are based in the north west in an area classed as deprived. Had a meeting with the low pay commission a couple of weeks ago, lovely man named David Norgrove, told him how difficult it was for Nurseries with having to keep ratios in line as well as make it affordable for parents and how low funding affects us. He seemed to agree that our sector has it the worst over the whole country, not sure how they can help but it is them who recommend the rates for NMW to government.

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Just found this to add along with this survey.. some good info - a few years old but still!

 

http://www.netmums.com/coffeehouse/working-childcare-692/working-yourself-self-employed-76/wfy-discussion-ideas-research-79/967840-you-nursery-manager-deputy-member-staff-all.html

Edited by BroadOaks
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Manager £8.05

Deputy £7.85

Level 3 £7.25 - £7.45 depending on other stuff

Trainees £7.20

 

Its a long story regarding the trainee being that much! Oversight, mixed with job advertisement

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Don't forget minimum wage has gone up 20p this month. So my least qualified who used to earn £5.85 when she started just over 2 years ago is now earning £6.70 as of this month and us qualified staff have stayed on the the same hourly rate as we havent been able to afford increasing our wages, but with her going up to £7.20 in April this doesnt seem fair any longer as it puts her on the same amount as my right hand person. Would you take the percetage rate from £5.85 to £7.20 and increase the rest of the staff's wages at this amount? She just happens to be the one that does the least too! It will just increase the staff wages tremendously though.

Edited by MegaMum
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We have a new system based on min/living wage plus a %. (I cant remember the exact rates in the middle). Great at the moment but I worry how sustainable it is going to be???

 

Manager = min/living wage x 150%

Deputy Manager = min/living wage x 130% ?

Level 3 = min/living wage x 112% ?

Level 2 / unqualified = NMW

Apprentice = NMW

18-20 Year Old = NMW

21 - 24 year Old = NMW

Other - cleaner =NMW

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My Treasurer devised it. She wanted to protect the differences in the wage structure which acknowledge the level of responsibility, qualifications etc. As others have said because of the big jumps in the min then living wage, it makes us very vulnerable as a way to try and save money.

 

In my setting, it has always been 'accepted' that when min wage increased every Oct that the manager and deputy manager wages increased by same percentage. Unfortunately this didn't happen this year. It caused a great deal of upset and anger. This new tier system has now been put into practice and for the first time rewarded level 3 staff. Secondary posts eg SENCO etc are not paid any extra but it's all done by myself or deputy anyway.

Edited by lsp
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It is worth remembering that increases in hourly rates will put more staff into the bracket where they will need to be enrolled in auto enrolment pension schemes which again adds to the wage bill.

 

Anyone earning £10K will be automatically enrolled. For a term time setting if you include holiday pay that means an employee earning the living wage of £7.20 per who works a total of 1389 hours per year (38 weeks of term and 4.6 weeks pro rata holiday). That averages out at 32.6 hours per week or just over 6.5 hours per day.

 

Paid training time, staff meetings etc. all rack up the annualised hours and don't forget by 2020 the living wage will be £9.00 per hour so that will mean anyone working a total of 1112 hours per year e.g. an average of just over 26 hours per week or just over 5 hours per day.

 

Auto enrollment employer contributions start at 1% until the end of September 2017 and increase to 2% until the end of September 2018 after which they rise to 3%.

 

Food for thought!

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Our financial support worker (sounds posh doesn't it! Lol) has told me I don't have to join if I dont want to, but I do need to give the staff the option even though they are below the £10,000 threshold. She also said as we are such a small pre-school we might struggle to find a pension company to take us on. I still haven't decided yet as it will place another burden financially on the setting.

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  • 2 weeks later...

Thanks for the responses everybody and sorry for my delay in updating this thread. I think this new Minimum Wage from April 2016 will really cause some problems for many settings and along with the mentioned pension schemes on top and all the other costs involved it can really put pressure on many settings. Let's hope we get some positive news soon :)

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