The University of Warwick Institute for Employment Research (IER) was commissioned by the Low Pay Commission (LPC) to undertake research into how employers set the pay of apprentices. The research was commissioned prior to the COVID-19 pandemic but the fieldwork has been carried out during it. Originally, the interviews were planned for April-May 2020, but due to the pandemic were delayed until August-September 2020.
The overall aim of the research was to explore:
• how employers set the pay of apprentices, in absolute and relative terms;
• the impact of the increases in the Apprentice Rate (NMW AR) on pay setting;
• why some employers pay apprentices above the NMW AR but below the age rate; and
• whether training hours influence decisions around pay.
Employers were also asked about the impact of the pandemic on their short- and medium term apprenticeship recruitment plan