Friday, 12 October 2018 06:27

TORIES TOLD TO "END AGE DISCRIMINATION" IN MINIMUM WAGE RATES AT BUDGET

SNP MP: "CHANGE THE LAW OR GIVE SCOTLAND THE POWERS TO DO IT OURSELVES"

The SNP has called on the UK government to "end age discrimination" in minimum wage rates at the Budget – or devolve the powers, so the SNP government can change the law in Scotland.

David Linden, one of the youngest MPs at Westminster, has written to the Chancellor demanding the UK government “stop discriminating against young people” and change the law to ensure that all workers are entitled to a real Living Wage – currently £8.75 in Scotland, £10.20 in London.

Under current UK legislation, younger workers can be discriminated against with lower wages, despite doing the same job. Since 1st April 2018, workers over the age of 25 are entitled to a minimum wage of at least £7.83 an hour, while those aged 21 to 24 are only entitled to £7.38 an hour, those aged 18 to 20 only £5.90 an hour, those under 18 just £4.20 an hour, and apprentices can be paid as little as £3.70 an hour.

The 28-year-old SNP MP for Glasgow East, who left school at the age of 16 to work as an apprentice, said the UK government had “failed younger people” by refusing to change the law – leaving younger workers thousands of pounds a year worse off.

While the powers to set the minimum wage remain reserved to Westminster, after Tory and Labour MPs blocked devolution, the SNP is working to encourage employers to pay the Living Wage in Scotland. The SNP government’s Living Wage accreditation scheme has ensured over 1000 employers now pay a real Living Wage in Scotland – with plans to ensure a further 25,000 people benefit from their employer becoming Living Wage accredited in the next three years. 81.6% of Scottish workers earn the real Living Wage, the highest rate in the UK.

Commenting, David Linden MP said:

“The UK government must stop discriminating against young people, and use the Budget to ensure that all workers are entitled to a real Living Wage.

“If Westminster won’t change the law then it must devolve the powers to Holyrood - so the SNP government can introduce a real Living Wage for all workers in Scotland.

“Millions of families across the UK have suffered from falling wages and squeezed incomes under the past decade of Tory austerity – but younger workers have also faced discriminatory minimum wages rates, meaning they can legally be paid less for doing the same job.

“The Tories have failed younger people by stubbornly refusing to end this discrimination, which penalises workers just because of their age, and takes no account of their needs, responsibilities and living costs – leaving many workers thousands of pounds worse off.

“The arguments for this discriminatory Tory policy just don’t stack up. The SNP government is working hard to encourage employers to pay a real Living Wage in Scotland – but as long the powers remain reserved to Westminster fairness will remain out of reach for far too many.

“Instead of continuing to block devolution, and prevent a change in the law, the Tories and Labour must get behind SNP calls for reform – to ensure a fair and equal system for all workers.”


Letter from David Linden MP to the Chancellor - 

Dear Philip, 

RE: Discriminatory Minimum Wage Rates

Over the past decade real wages in the UK have fallen, living costs have risen, and millions of families are struggling to get by as a result of Tory austerity cuts.

With Tory plans for a hard Brexit threatening to squeeze incomes and damage living standards even further, it is vital that the UK government takes meaningful action at the Budget to finally end austerity and boost household incomes.

This must include introducing a real Living Wage for all workers - and an end to the discriminatory minimum wage rates that unfairly leave younger workers thousands of pounds a year worse off.

As you know, the real Living Wage is currently £8.75 per hour in Scotland and £10.20 in London - but as a result of discriminatory UK government legislation younger workers are often paid far less, despite doing the same job as their colleagues.

Since 1st April 2018, workers over the age of 25 are entitled to a minimum wage of £7.83 an hour (significantly below the real Living wage), while those aged 21 to 24 are only entitled to £7.38 an hour, those aged 18 to 20 are only entitled to £5.90 an hour, those under 18 are entitled to just £4.20 an hour, and apprentices can be paid as little as £3.70 an hour.

The UK government has failed younger people by stubbornly refusing to end this discrimination, which penalises workers just because of their age, and takes no account of their needs, responsibilities, and living costs. 

The arguments for this discriminatory Tory policy do not stack up. If the UK government does not intend to change the law, then it must devolve the powers to the Scottish Parliament so the SNP government can introduce a real Living Wage for all workers in Scotland.

Yours,

David Linden MP

====

National Minimum Wage rates from April 2018: https://www.gov.uk/national-minimum-wage-rates

Workers are £800 a year poorer post-crisis: https://www.bbc.co.uk/news/business-45487695 

End wage discrimination of young workers says Glasgow MP: https://www.eveningtimes.co.uk/news/16205917.end-wage-discrimination-of-young-workers-says-glasgow-mp/

Scottish government unveils 'living wage nation' plans: http://www.bbc.co.uk/news/uk-scotland-scotland-business-41956518

1,000th Scottish Living Wage employer: https://beta.gov.scot/news/1-000th-living-wage-employer

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