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Press Release 31 January 2001 LOW PAY COMMISSION LISTENS The Low Pay Commission finished its programme of oral evidence today. The Commission was hearing oral evidence in preparation for its Third Report. Professor George Bain, Chairman of the Low Pay Commission, said: "Listening to employers, employees and those directly affected by the minimum wage is a crucial part of the Commission’s work in making recommendations to the Government. Once more we were very impressed by the quality of the evidence we received. This helps the Commission gain a practical knowledge of the issues that people face. The Government has announced that it would implement changes as a result of our Report by October 2001. It has been emphasised to us repeatedly, both in the oral and written evidence, that the length of notice which employers receive to prepare for changes arising from our Report is critical to their ability to cope with changes. We have concluded, therefore, that we need to submit our Report earlier than the terms of reference proposed. Our intention is to submit a recommendation on uprating the main rate as soon as possible after we have taken a decision on it. We therefore propose to submit that part of the Report covering the main rate in early March. We hope that doing so will give employers sufficient notice to cope with the primary change on which we have been asked to make a recommendation. We shall submit the second volume of the Report once we have taken the relevant decisions on the other issues. We hope to do this by May." Notes to Editors 1. The Low Pay Commission is a statutory body whose role is to advise the Government on the National Minimum Wage. 2. The Commission has produced four reports. These are available from the Stationery Office Bookshops or the Commission’s website at: http://www.lowpay.gov.uk 3. The members of the Low Pay Commission are: Adair Turner (Chairman), Vice Chairman, Merrill Lynch Holdings Ltd; Professor William Brown CBE, Professor of Industrial Relations, University of Cambridge; David Coats, Head, Economic and Social Affairs Department, Trades Union Congress; John Cridland, Deputy Director-General, Confederation of British Industry; Paul Gates OBE, General Secretary, National Union of Knitwear, Footwear and Apperal Trades; Ian Hay OBE, Chairman, Food Trade Association Management Professor David Metcalf, Professor of Industrial Relations, London School of Economics; Margaret Prosser OBE, Former Deputy General Secretary, Transport and General Workers Union; and Angie Risley, Human Resources Director, Whitbread PLC. 4. The National Minimum Wage for those over 21 is £4.50 per hour. For those aged 18 to 21 or over 21 but in the first six months of a new job with a new employer and receiving accredited training, the rate is £3.80 per hour. The Government has accepted the Commission's recommendation that subject to confirmation in early 2004 - there should be further increases to £4.85 and £4.10 from 1 October 2004. Low Pay Commission Elizabeth House 39 York Road London SE1 7NQ Tel. 020 7855 4553 | |
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