Living Wage
Debate between Earl of Courtown and Baroness Sherlock
Baroness Sherlock (Lab)
My Lords, the KPMG report shows that 72% of 18 to 21 year-olds are earning less than the living wage compared with 17% of those in their 30s, yet the Government have chosen to exclude under-25s from getting what they call the new living wage—in fact, a new minimum rate for over-25s. I would like the Minister to tell the House why. The Paymaster-General, Matthew Hancock, said the reason was that young people were not productive enough to merit a living wage. Is that the reason? If not, what is?
The Earl of Courtown
My Lords, as the noble Baroness is aware, the national minimum wage, which covers young people under 25, has had the biggest increase in its rate—3%—since 2006. This means that the national minimum wage is closer to the average wage than ever before. She asked a number of other questions that I do not—