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Minimum Wage: Scotland

Department for Business, Innovation and Skills written question – answered on 7th November 2014.

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Photo of Margaret Curran Margaret Curran Shadow Secretary of State for Scotland

To ask the Secretary of State for Business, Innovation and Skills, what estimate he has made of how many people earned less than the national minimum wage in Scotland in each year since 2010-11.

Photo of Jo Swinson Jo Swinson Parliamentary Under-Secretary of State (Department for Education) (Women and Equalities) , The Parliamentary Under-Secretary of State for Business, Innovation and Skills

The most reliable estimates come from the Annual Survey of Hours and Earnings. These are set out below for Scotland. However, there are limitations to the survey. In particular, there is limited scope to use the data to identify where the National Minimum Wage apprentice rate would apply, rather than the equivalent age rate, prior to 2013-14. The apprentice minimum wage rate is lower than for the equivalent minimum age rates for workers. Not taking into account when the apprentice rate would apply will therefore tend to over-estimate the level of non-compliance. An estimate for 2013-14 is also provided below taking into account where the lower apprentice rate would apply.

Year

Estimates of NMW non-compliance in Scotland

Not taking into account when the apprentice rate would apply

Taking into account when the apprentice rate would apply

2010-11

19,000

-

2011-12

20,000

-

2012-13

20,000

-

2013-14

16,000

11,000

Source: ASHE datasets for 2010-14

NMW rates are caclulated by taking age into account, data on apprentices is only available for 2013-14

The Government is committed to increasing compliance with minimum wage legislation and effective enforcement of it. Everyone who is entitled to the minimum wage should receive it. Individuals should contact the Pay and Work Rights Helpline on 0800 917 2368. HMRC investigates every complaint made.

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