05 September 2024
The Low Pay Commission (LPC) has released a statement on steps being taken to address their updated remit.
Their new remit, given to them in July 2024, asked them to factor the real cost of living into their estimates and recommendations for the National Living Wage (NLW), referred to as the Genuine Living Wage. In addition, they were asked to come up with a plan to bring the lower age threshold for NLW down to 18 years old.
In this statement the LPC has revised their estimate for the 2025 NLW up to between £11.82 and £12.39, with a central estimate of £12.10.
To make steps towards the abolition of the 18–20-year-old rate, their interim aim for 2025 is to reduce the gap between it and the NLW rate. This potentially indicates a larger percentage uplift for younger workers in the coming year.
As always, the above is predicated on wider analysis of the labour market, economy, and impacts on business and the low paid.
The LPC have been asked to deliver their full report and recommendations to government by the end of October, coinciding with the budget.Information provided in this news article may be subject to change. Please make note of the date of publication to ensure that you are viewing up to date information.