Boost for apprentice pay in construction industry

Union negotiators in the construction industry have agreed a deal to boost apprentice pay by up to 10%.

The biggest increases are for third-year apprentices with NVQ2 and NVQ3, increasing the incentive for young workers to achieve a qualification.

"There has been real progress in apprentice rates over the last few years," said Alan Ritchie, general secretary of construction union UCATT. "The hourly rate for a first-year apprentice has increased by 27% since the apprentice rates were introduced, and for those completing an NVQ Level 2 in year 3 the rate has gone up by 25.2%."

But this increase is not the end of the story for UCATT. "I will be looking for more radical solutions over the next 12 months," promised Ritchie. "We need an apprentice scheme that is the best in the country. I want our industry to attract the brightest new entrants. That means getting the pay rates right, but it also means looking at how we look after our apprentices."

The new rates (shown below, with weekly equivalents based on a 39-hour week) come into effect from 27 June. They were agreed earlier this month by the Construction Confederation and the Construction Industry Joint Council signatory unions.

The rates are payable from the date that the individual enters into employment as an apprentice, whether s/he is working on site or undergoing full-time training on an approved course.

Apprentices in the second year of training and aged 22 or over must receive at least the adult National Minimum Wage (currently £4.85).

Apprentice rates

Hourly (weekly) rate

Apprentice type Old rate New rate Rise

Year 1 £3.50 (£136.50) £3.75 (£146.25) 7.1%

Year 2 £4.48 (£174.72) £4.84 (£188.76) 8.0%

Year 3 without NVQ2 £5.50 (£214.50) £5.66 (£220.74) 2.9%

Year 3 with NVQ2 £6.54 (£255.06) £7.20 (£280.80) 10.0%

Year 3 with NVQ3 £8.22 (£320.58) £9.00 (£351.00) 9.5%

On completion with NVQ2 £8.22 (£320.58) £9.00 (£351.00) 9.5%