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Exclusion from the minimum youth wage rate is leaving many 16 and 17-year-olds on levels of poverty pay, reveals research by the Greater Manchester Low Pay Unit.

Its study of more than 3,000 job vacancies at careers service centres across the UK shows the average hourly pay rate for 16-year-olds is just £2.76 - 79 per cent of the minimum youth wage rate. Seventeen-year-olds fare slightly better, with an average hourly rate of £2.86.

The research, The Youth Labour Market, July 2003, also reveals worrying trends in Modern Apprenticeship pay levels. Those with training to NVQ Level Two paid 16 year olds an average of £2.11 an hour, while equivalent roles not classed as Modern Apprenticeships paid £3.12.

This undermines the Government's plans to promote apprenticeships as the favoured alternative to further and higher education for school leavers. While only 2 per cent of non-trainee and apprentice jobs are paid less than £1.50 per hour, 16 per cent of Modern Apprenticeships were paid salaries below this level. In total, 10.2 per cent of all jobs for 16-year-olds paid less than £1.50 an hour in 2002, compared with 7.2 per cent in 2000.  www.gmlpu.org.uk

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