Government considers minimum wage for apprentices

The prospect of the first national minimum wage for apprentices rose today when the Government announced that the Low Pay Commission had been asked to consider the move.

Ministers announced new terms of reference for the commission, which recommends the rate for the statutory rate, currently £5.73 an hour for adults, £4.77 for 18 to 21-year-olds and £3.53 for under 18s.

Business Minister Pat McFadden said: "The Low Pay Commission has been instrumental in ensuring the great success of the minimum wage. They carefully examine the latest economic data before making recommendations that balance the needs of low paid workers and businesses.

"This is the same sensible approach they will take with regards to apprentices. The new arrangements must give apprentices a fair deal and protect them from exploitation, but at the same not impose undue burdens that would deter businesses from taking them on."

Apprentices Minister Iain Wright added: "An apprenticeship is an excellent opportunity for young people to train in the workplace. I am committed to ensuring that an apprenticeship is an option for all young people and we are establishing an entitlement to deliver this.

"I know the Low Pay Commission is sensitive to this and understands the need to balance the proper protection of young people from exploitation against the need to ensure a supply of high quality apprenticeship opportunities."

The Commission has been asked to report to the Prime Minister and the Business Secretary by the end of February 2010.

TUC general secretary Brendan Barber said: "Protecting apprentices from low pay and exploitation through the minimum wage would be a small cost to a minority of employers but would go a long way to boosting the quality and reputation of apprenticeships.

"Apprentices that receive decent pay are far more likely to complete their training."