The Government has confirmed its 2024 target for the National Living Wage to reach two-thirds of median earnings.
In today’s 2020 Budget, the Chancellor confirmed that the Low Pay Commission (LPC) would be asked to make recommendations on the National Living Wage with a view to reaching a level of two-thirds of median earnings by 2024, provided economic conditions allow. The Government’s 2020 remit to the LPC has also been published today.
Responding to the Chancellor’s announcement, Bryan Sanderson, Chair of the LPC, said:
“We welcome the confirmation of our 2020 remit in today’s Budget. The target for the National Living Wage to reach two-thirds of median earnings by 2024 is an ambitious one. We will need to listen closely to what employers and workers are telling us, and to very carefully assess the economic evidence in making our recommendations. The current concerns around the coronavirus only reinforce the importance of taking economic conditions into account.”
“We will be launching our written consultation in the coming days, to start the process of making recommendations on the 2021 minimum wage rates.”