Toggle high contrast
Issue date
Commenting on the new national minimum wage rates that come into force today (Tuesday), TUC General Secretary Frances O'Grady said:

date: 30 September 2013

embargo: 00:01 hours Tuesday 1 October 2013

Commenting on the new national minimum wage rates that come into force today (Tuesday), TUC General Secretary Frances O'Grady said:

'Years of below-inflation rises mean that the UK's lowest-paid workers are now facing an historic living standards crisis.

'As the recovery takes hold we will need to see far bigger increases to the minimum wage to ensure that ordinary people and not just the super rich benefit from economic growth. This will need more than any one off pre-election boost - we will need sustained stronger rises if the real value of the minimum wage is to be restored.

'In addition, ministers must honour their promise to crack down on minimum wage cheats. Those who break the law must be prosecuted, publicly named and shamed and handed far heftier fines than at present.

'Many abuses are still going unpunished, with interns and apprentices particularly at risk of being underpaid.'

Research published by the TUC in September showed that if the minimum wage went up by a modest four per cent to £6.56 an hour it would free up a quarter of a billion pounds of public spending. The TUC says this shows that tackling low pay is not just good for pay packets but good for the public finances too.

The analysis also showed that if minimum wage increased to £6.88 - half way between its current level and the Living Wage - it would return £800 million to the public finances. Full coverage of the Living Wage could save the Treasury £3bn a year, says the TUC.

NOTES TO EDITORS:

National minimum wage rates from 1 October 2013

Current rate

Rate from October 2013

Per cent increase

Adults aged 21 and above

£6.19

£6.31

1.9

18-20 year-olds

£4.98

£5.03

1.0

16 year olds above school leaving age and 17 year olds

£3.68

£3.72

1.0

Apprentices under the age of 19 and older apprentices in the first year of apprenticeship (other apprentices are eligible for the relevant age-based rate of the NMW)

£2.65

£2.68

1.0

NOTES TO EDITORS:

- The TUC's campaign plan can be downloaded from www.tuc.org.uk/campaignplan

- All TUC press releases can be found at www.tuc.org.uk

- Follow the TUC on Twitter: @tucnews

Contacts:

Media enquiries:
Liz Chinchen T: 020 7467 1248 M: 07778 158175 E: media@tuc.org.uk
Rob Holdsworth T: 020 7467 1372 M: 07717 531150 E: rholdsworth@tuc.org.uk
Elly Gibson T: 020 7467 1337 M: 07900 910624 E: egibson@tuc.org.uk

Enable Two-Factor Authentication

To access the admin area, you will need to setup two-factor authentication (TFA).

Setup now