National Minimum Wage

Source: Low Pay Commission, Report, Autumn 2016
Presented to Parliament by the Secretary of State for Business, Energy and Industrial Strategy by Command of Her Majesty, November 2016

This report sets out the LPC’s recommendations for the minimum wage rates to apply from April 2017. This covers the National Living Wage (NLW) applicable to those aged 25 and over, the 21-24 year old rate, the 18-20 year old rate, the 16-17 year old rate, and the Apprentice Rate.

The report also sets out the evidence on:
– the economic context to our recommendations
– the impact of the introductory rate of the NLW on pay, employment and competitiveness
– what’s happened to the pay and labour market outcomes of young people (16-24 year olds)
– apprentice pay for different age groups and frameworks, and trends in non-compliance with the Apprentice Rate

Key Findings

National Living Wage ‘has not hit employment’
Source: BBC, November 29, 2016

The Low Pay Commission said it had found “no clear evidence” of changes in employment or hours since the higher minimum wage was introduced in April. It said employment had continued to rise even in sectors most obviously affected, such as cleaning, hotels, horticulture and retail. The finding contradicts warnings from economists over the wage’s impact….