Scotland
Location of low pay
Key points
- The proportion of employees workers earning less than £7 per hour is highest in Clackmannanshire and Dumfries & Galloway.
- More generally, the geographic pattern of low pay is very different from that for lack of work (see the indicator on the location of people in receipt of out-of-work benefits).
- Low pay is a particular issue in rural Scotland, where the tourist industry, agriculture and related activities – low paid sectors and often seasonal - are significant employment sectors. Poverty and Social Exclusion in Rural Scotland. A Report by the Rural Poverty and Inclusion Working Group, Scottish Executive, 2001, page 15.
- Scotland has a similar proportion of employees earning less than £7 per hour as other parts of the United Kingdom, except for London and the South East of England.
Graph 1: By LA
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Map
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Graph 2: Compared to the UK
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Definitions and data sources
The first graph and map show the proportions of employees paid less than £7 per hour by local authority. The data is based on where people live rather than where they work. To improve its statistical reliability, the data is the average for the years 2005 to 2007.
The second graph shows, for 2007, how the proportions of employees paid less than £7 per hour varies by region, with the data shown separately for men and women.
The data source for both the graphs and the map is the Annual Survey of Hours and Earnings (ASHE). The proportions have been calculated from the hourly rates at each decile using interpolation to estimate the consequent proportion earning less than £7 per hour. Note that, for 2007, there is no low pay data for Orkney, Shetlands or Eilean Siar and these areas are therefore not included in either the first graph or the map.
Overall adequacy of the indicator: high. ASHE is a large annual survey of employers.
External links
- See the Low Pay Commission, and its third report on the National Minimum Wage
- See the HM Revenue & Customs site for information on tax credits.