Holly Lynch – 2016 Parliamentary Question to the Department for Business, Innovation and Skills

The below Parliamentary question was asked by Holly Lynch on 2016-04-11.

To ask the Secretary of State for Business, Innovation and Skills, what equality assessment the Government has made of its policy to provide the national living wage only for people aged 25 and over.

Nick Boles

The Government published its Impact Assessment of the National Living Wage (NLW) on 7 December 2015 which included equality analysis of the policy.

The NLW has provided a higher wage floor for those aged 25 and over because of the need to protect the employment prospects of younger workers. The priority for younger workers is to secure work and gain experience so they can compete in the labour market. Additionally, those aged 21 to 24 have a marked difference in labour market dynamics when compared to older workers, evident through their median earnings, employment rates and unemployment rates.

The design of the NLW reflects provisions in the National Minimum Wage Act allowing rates to vary up to the age of 25, under clause 3.