Question

To ask the Secretary of State for Business, Innovation and Skills, what estimate he has made of the number of people earning less than the national minimum wage in the care sector in each year since 2010-11.

The current best estimate of non-compliance is published by the ONS in their low pay release[1], derived from the Annual Survey of Hours and Earnings (ASHE)[2]. Figures show that non-compliance in the care sector is actually lower than non-compliance in the general economy.

• In 2011, 0.6% of employees were paid below the NMW in the care sector; compared to 0.8% in the whole economy.
• In 2012, 0.7% of employees were paid below the NMW in the care sector; compared to 0.9% in the whole economy.
• In 2013, 0.7% of employees were paid below the NMW in the care sector; compared to 0.8% in the whole economy.

This estimate, as well as all estimates of non-compliance, has some limitations. However, there are no reasons to suppose that these limitations affect the social care sector more or less than the economy as a whole.

[1] http://www.ons.gov.uk/ons/rel/ashe/low-pay/april-2011/stb-2011-low-pay-estimates.html

http://www.ons.gov.uk/ons/rel/ashe/low-pay/april-2012-results/stb-2012-low-pay-estimates.html

http://www.ons.gov.uk/ons/rel/ashe/low-pay/april-2013/stb-2013-low-pay-estimates.html

[2] ASHE is a survey of employees completed by employers which we can use to look at workers earning at or below the NMW rate.