Trade and Industry written question – answered at on 5 February 2007.
To ask the Secretary of State for Trade and Industry whether the Government have (a) undertaken and (b) asked the Low Pay Commission to undertake research into the possible effect on youth unemployment of an equalisation of the minimum wage for those aged 18 to 21 years with that for those aged over 21 years.
The Government considered the position of 18 to 21-year-olds and undertook a range of analysis on the state of the labour market prior to the implementation of the equal treatment directive, which retained the current age bands. Data show that young workers experience substantially worse unemployment and employment rates than adults.
The Low Pay Commission also conducts regular research on all aspects of the minimum wage. It supported the retention of the age bands, and in its 2006 report stated that
"it was satisfied the Government intends to introduce the legislation in such a way that the rates for young people retain their viability"
Yes1 person thinks so
No0 people think not
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