Retail trade union Usdaw has welcomed that the Chancellor has accepted recommendations from the Low Pay Commission (LPC), so that those on low incomes are “properly rewarded” for their work.
Chancellor Rachel Reeves on Tuesday (Nov 25) increased National Living Wage for over-21s to £12.71, giving a push of 4.1 per cent. For 18 to 20-year-olds, the minimum wage is now £10.85, seeing a rise of 8.5 per cent. Apprentice minimum wage rate also saw a rise of 6 per cent.
Making the announcement, Reeves said, “I know that the cost of living is still the number one issue for working people and that the economy isn’t working well enough for those on the lowest incomes.
"Too many people are still struggling to make ends meet, and that has to change. That’s why today I’m announcing that we will raise the National Living Wage and also the National Minimum Wage, so that those on low incomes are properly rewarded for their hard work.
"These changes are going to benefit many young people across our country, getting their first job.”
Joanne Thomas – Usdaw general secretary says, “Usdaw very much welcomes these significant pay increases for the lowest paid, after years of pay not keeping pace with prices under the Tories.
"This is because Labour changed the Low Pay Commission’s remit so that they now take account of the cost of living. Today’s announcement also demonstrates further progress towards ending rip-off youth rates with higher percentage increases for under-21s.
“Labour in government is delivering the new deal for workers that Usdaw long campaigned for, despite determined opposition from the Tories, Lib Dems and Reform. Alongside these minimum wage increases, the Employment Rights Bill will deliver fairness by stopping rogue employers undercutting those who treat their staff properly.
"When passed, it will give workers security, respect and the decency of an income they can live on.
“These are welcome protections for workers that should help them through cost of living pressures. This is the transformational change that the country voted for and Labour is delivering, after 14 years of Tory chaos, austerity and attacks on workers’ rights.”