Young people are in spiralling debt after years of “wage discrimination” according to a new report from Scotland’s largest trade union body. The STUC report: ‘Young Workers Won’t Wait’ reveals how, because of low rates for young people, 66% of respondents said they were in debt with debt levels in the region of £3,000 – £10,000, whilst only 46% said they could always afford the basics in life, such as food, transport and bills.
The UK’s Minimum Wage (the ‘National Living Wage’) laws allow workers to be paid less based on their age, even if their job, skills, and experience match those of colleagues, a move STUC General Secretary Roz Foyer called “abundantly discriminatory”. While the minimum wage for workers over 21 is £12.21 it is £10 for workers aged 18-20 and £7.55 for workers aged 16 and 17.
Testimony submitted to the STUC outlined the experience of young workers working full-time for less pay when compared to other colleagues doing the same role. One respondent noted: “I regularly worked 40-45 hours per week… and did not pursue further education opportunities as I could not afford to do so. It was very frustrating to be paid less that my colleagues when I was under 21 as I was doing the same work as them, worse hours, and with no additional responsibilities.”