National Minimum Wage

National Minimum Wage
34
Figure 2.10: Annualised Growth in the Adult National Minimum Wage and Median
Earnings for Those Aged 22 and Over, by Firm Size, UK, 1999-2011
Annualised growth for workers aged 22 and over (per cent)
6
5
4
3
2
1
0
April 1999-April 2011
NMW
uprating
Micro firm
earnings
April 1999-April 2007
Period
Other small
firm earnings
April 2007-April 2011
Medium-sized
firm earnings
Large firm
earnings
Source: LPC estimates based on ASHE: without supplementary information, April 1999-2004; with supplementary information,
April 2004-2006; and 2007 methodology, April 2006-2011, standard weights, including those not on adult rates of pay, UK.
2.33 Figure 2.11 shows that the bite for workers aged 22 and over rose across firms of all sizes
between 2010 and 2011. The bite for large firms rose by the smallest amount in 2011, by
0.6 percentage points to 48.6 per cent. But it remains just below the bite observed in 2007
(48.8 per cent).
2.34 Micro firms had the highest bite in 2011, 65.2 per cent, following a steady rise since 2000,
but other small firms saw the largest increase: at 1.3 percentage points, taking the bite to
58.7 per cent, and continuing the general upward trend seen since 2001. Medium-sized firms
saw a 0.8 percentage point increase in the bite from 2010, increasing the bite at the median
to 53.1 per cent, again continuing the upward trend observed since 2001.
6
5
4
3
2
1
0