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Retail makes biggest cut in number of workers on low pay

The retail sector made the joint biggest reduction in the number of workers on low pay last year.

It was on par with the administrative industry which, together, reduced the number of workers on low pay by 110,000 in 2018.

The Resolution Foundation said this could be for a range of reasons, including a decline in women working part-time, much of which occurred in retail.

A spokesperson added: “Wholesale and retail have experienced a larger decrease in low pay than would have been expected given the share of employees on the minimum wage in 2015.

“This could be for many reasons, but technological change and changes in people’s shopping preferences have led to fewer lower-paid jobs, as employment in this sector has declined.”

The report revealed that employees in low pay has fallen from 20.7% in 2015 to 17.1% in 2018 – the lowest proportion since 1980 – but warned that the UK “still has a significant low-pay problem”.

 

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