Nursery workers ‘could be paid less than the minimum wage’

Family|September 5th 2017

Nurseries may have to pay their staff less than the minimum wage to break even now that parents are entitled to 30 hours of free childcare per week.

This new entitlement has been the subject of a great deal of controversy because nurseries claim the rates paid by the government to cover the additional preschool hours are insufficient.

Now the think tank New Economics Foundation has claimed the funding is so below par that nurseries may no longer be able to pay their staff a living wage. It insists they will only be able to break even if they pay a salary of £7.33 per hour. The current minimum wage for workers over the age of 25 is £7.50 per hour.

The Foundation based this claim on the fact that the current average rate for nursery care of the three- and four year-olds is £5.10 per hour but the government is only offering funding of £4.27.

Lucie Stephens is head of co-production at the New Economics Foundation. She said:

“It’s right that the government is looking at ways to deal with the crippling cost of childcare for parents. But they have to put their money where their mouth is.”

She added:

“If the government is to have any chance of delivering the ‘free childcare’ it promised to parents, it simply must invest what is needed. As it stands, the policy is, quite simply, unworkable.”

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  1. Dr Grumpy says:

    Yet again the Tory government under values and under funds services! They did this with the NHS and its internal market giving a flat rate for the same operation right across the U.K. They made no differentiation into the differences in the costs associated with particular operations and this seems to be more of the same Would they undervalue MP’s expenses to the same degree? I think not!

  2. Paul says:

    Not interested. Shared parenting. A presumption of 50/50 shared parenting would end this criss overnight. If 25% just of all those kids were spending quality time with their dad then the system would be affordible for the kids without that option. Its the simplest solution in the world. Women have the right to work. To facilitate that fathers NEED the right to be parents. Without bringing in 50/50 shared parenting the child care issue will always be a white elephant sucking away at the budget. Successive governments will be for offering a bit more cash them taking it away in another hair brained stealth cut. Nobody is ever gonna be happy with the budget they are given. Labour will offer to gold plate the swings and slides then the Conservatives will get it in the neck for taking away their milk tokens. ‘We’ll all shout boo hiss its behind you.’ For people with no kids the whole thing must be tedious pantomime at best. As for paying less than minimum. Try getting people to work for less. You never heard of undustrial action? Even McDonalds have just recently discovered it lol lets see how that goes.

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