MP Delighted By Minimum Wage Increases
The announcement by Patricia Hewitt that the minimum wage is to be increased to £4.85 per hour, and that a new minimum wage will be implemented to protect 16-17 year old workers, has been warmly welcomed by Joe Benton MP.
Joe Benton said:
“The minimum wage is a flagship Labour Party policy; it has made a real difference to thousands of people’s lives in Bootle and millions of people’s lives across the country.
“Raising the existing adult and youth minimum wage levels will bring a real change to these people’s lives. The new rate for 16-17 year olds means the protection of a minimum wage is now extended to more people than ever before. Younger workers are more likely to be exploited by unscrupulous bosses so I am very pleased they will have the protection of a new minimum wage.
These are the recommendations in the low pay commission’s 2004 report, which the Government is accepting. They will take effect from 1 October 2004.
The adult rate of the minimum wage should be increased from the present hourly rate of £4.50 to £4.85 in October 2004.
The youth rate (which applies to 18-21 year olds) should be increased from the present hourly rate of £3.80 to £4.10 in October 2004.
The Government should introduce a minimum wage for 16-17 year olds, set at an hourly rate of £3.00 in October 2004.
Apprentices aged 16 and 17 and participants on specified pre-apprenticeship programmes should be exempt from the new rate
Labour’s Patricia Hewitt said:
“Today’s announcement means 1.6 million workers will benefit from an hourly rate of £4.85 while young people between 16 and 17 will be given protection from exploitation for the first time.
Ms Hewitt said that the young people’s rate had been recommended by the Low Pay Commission to provide a balance between encouraging young people to stay in education or training and tackling those employers offering extremely low levels of pay and minimal training to young workers.
“Our first priority is to encourage young people to remain in full time education or training that is why we are offering extra support and incentives through Education Maintenance Allowances from September.
“But where young people chose work without training we have a clear duty to protect them from exploitative rates of pay,” she said.
Patricia Hewitt added:
“We do not want to discourage employers from offering training places, which is why apprentices are excluded from the youth new rate.
“However, the Government believes that there is a good case for improving the financial support available to apprentices and we expect to be able to make an announcement on this shortly.”
