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Low Pay UK data

How can we tackle the low pay challenge? 

Low pay is a critical issue affecting the UK economy – our position in terms of ‘incidence of low pay’ in comparison to other OECD countries is one of the worst and it is a long -term issue.

The Work Foundation is launching a new research programme, 'Low Pay UK' which will bring together stakeholders to examine low pay and develop a low-pay strategy.

Current solutions are inadequate to the challenge. As seen below, the introduction of the National Minimum Wage (NMW) had little impact on the wider incidence of low pay.

We therefore need to look at other ways of tackling the low pay challenge, for example, by raising productivity. Productivity within the low wage sectors in the UK in comparison to other EU countries, particularly those in Northern and Western Europe, is poor.