Summary

Minimum wage policy is set at a UK level. Scotland has made commitments to go further by promoting the real living wage in adult social care and childcare, but significant gaps remain. Some care workers still earn at or near the statutory minimum, and pay does not reflect the skill, responsibility and emotional labour required. The care workforce is predominantly female, meaning low wage floors have a direct and disproportionate impact on women’s financial security.

What this indicator measures

This indicator assesses whether wage policies for paid care workers ensure fair, adequate and accessible pay. It examines statutory wage levels, Scotland’s commitments to the real living wage, pay implementation across sectors, transparency, enforcement and whether wage policies support financial security for care workers.

Key findings

• The statutory minimum wage is determined by the UK Government and applies across all sectors
• Scotland has committed to ensuring the real living wage for adult social care workers 
• Wage progression in the care sector is limited, and pay does not reflect the level of skill or responsibility involved
• Real terms wage erosion has reduced the value of earnings for care workers over recent years
• Pay disparities exist between public, private and voluntary sector employers
• Many childcare workers are not guaranteed the real living wage unless they deliver funded hours
• Wage instability contributes to recruitment and retention challenges
• Low pay in care reinforces the structural undervaluation of predominantly female work

Impact on workers

Low wages limit financial security for many care workers and contribute to in-work poverty. Women, who make up the majority of the care workforce, experience long term impacts on income, savings and pensions. Many workers report stress, difficulty meeting living costs and the need for additional jobs or overtime to manage financially.

Accessibility considerations

Workers on insecure contracts, including zero hour arrangements, face greater wage instability. These inequalities affect women most, particularly those balancing paid work with caring responsibilities.

Budget context

Scotland has allocated funding to support the real living wage in adult social care and funded childcare, but this commitment does not fully address wage disparities across the sector. The value of the statutory minimum wage remains low relative to living costs. Without sustained investment and clearer implementation requirements, wage policy will continue to fall short of ensuring fair remuneration.

Lived experience

“The skills required to care are often seen as innate (particularly to women) and therefore they often aren’t seen or valued.”

Social care worker quoted in Voices from the Frontline.

Overall interpretation

Minimum wage policy provides a basic foundation, but it does not meet the needs of the care workforce. Scotland’s commitment to the real living wage is an important step, yet inconsistencies in delivery and ongoing pay disparities highlight systemic undervaluation. Creating fair and sustainable careers in care requires wage policies that reflect skill, responsibility and contribution, supported by enforcement, investment and recognition of care work as skilled work.