WIREDGOV

The CBI yesterday commented on the Office of National Statistics 2016 Annual Survey of Hours and Earnings, which was taken from data as of 13 April 2016.

CBI Director, People and Skills, Neil Carberry said:

“This data confirms a picture of low but robust wage growth across the UK economy before the EU referendum.  It’s clear that the introduction of the National Living Wage has supported lower earners’ incomes, building on several years of higher than average increases in the old National Minimum Wage. 

“Businesses have been exploring how best to manage the impact of National Living Wage and these figures show some evidence that they have increased wages for those paid slightly above the rate, in order to maintain the difference. 

“The CBI is clear that all companies should pay at least the appropriate rate of minimum wage.  These ONS figures show a higher level of non-compliance than we have seen previously, but this is likely to be due to this survey being completed in the month that the new National Living Wage was introduced.

“Businesses will welcome further progress in closing the gender pay gap.  The gap is caused by a wide range of factors, and there is a way to go to address it. But it’s crucial it is not confused with unequal pay, which is already illegal.  It’s important that the Government and firms work together on approaches that really change outcomes, such as the availability of childcare, career progression and improved careers advice.”