National Minimum Wage
June 22, 2018
The National Minimum Wage, often referred to as the NMW, was introduced in Britain back in 1999. It was introduced to ensure that employers paid their employees an hourly wage that was acceptable in law. When it was first introduced, the NMW for 25 years and above was £3.60. Each April, the rate increases slightly to provide a substantial wage for a satisfactory standard of living. The long term aim that NMW hopes to achieve is to eradicate the issue of poverty pay, whereby families and individuals are working, yet find themselves living beneath the poverty line.
As of April 2018, the NMW for every age bracket follows: apprenticeship is £3.70, U18 is £4.20, 18-20 is £5.90, 21-24 is £7.38 and 25+ is £7.83. Although, as outlined above, the NMW does serve a purpose, opinions are divided across the nation. Why should a 28 year old be paid more than a 16 year old for doing the same job? The only difference being their age. This is where people begin saying that this is age discrimination.
As previously mentioned, let’s take the scenario of both a 16 year old and a 28 year old working in the same position. The 28 year old will be paid £3.63 more than the 16 year old because they are 12 years older than the 16 year old. Seem fair? Not really, especially if they are doing the exact same job. Then again, the 16 year old could be better at their job than the 28 year old, yet won’t be paid equally as the 28 year old. To me, I don’t believe that this is equal in any way, shape or form.
Another argument which I see frequently regarding NMW is that an 18 year old is classed as an adult, isn’t paid a full adults wage yet is expected to pay full adults price for things such as public transport. In Scotland, once an individual is over the age of 16, they are expected to pay for an adults fee on public transport, whether that may be trains or buses. They need to pay for a full price ticket, yet their hourly wage perhaps wouldn’t even cover it because they’re not earning the full basic adults wage. If you are going to class a specific age as being an adult, then class it across all areas which are applicable; not only certain areas.
Then again, some companies are willing to pay above the NMW. This leads to inequality because you could be employed for one company, being paid the basic NMW, then your friend or relative working for another company, yet are being paid above the basic NMW. Although the NMW must be intact for all companies, meaning you cannot be paid less, but you may be entitled to a higher wage. On the other hand, some companies will determine your rate of pay strictly upon your experience and skills. Whilst job browsing, I have noticed that some adverts have said the hourly pay is “pending”, because it depends on your experience within that area. Therefore, someone with three years of experience may be paid more in their job than someone with only six months of experience. To top it all off, some companies have a banding system in operation. This may include band A, B, C etc, or 1,2,3 etc. Those who are higher in the ranking system are paid more as opposed to those in the bottom. And the longer you are employed in that position, the more frequently your rate of pay will increase.
I completely respect those jobs which are highly skilled and well paid above NMW, because they are stressful and require a lot of focus. However, for those jobs which aren’t as highly skilled and are above NMW depending upon your employers don’t provide equality. An example being retail. You may work for New Look, but could be paid more for working in River Island, doing the exact same job, only for a different company
2 comments
It is unfair really like you pointed out..a 16 yr old can work as hard as a 28 yr old so why shouldnt they be paid the same?? Great reading. xx
ReplyDeleteThank you, that's the exact point I'm trying to address here!
Delete