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The Representativeness of the Annual Survey of Hours and Earnings and Its Implications for UK Wage Policy

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Listed:
  • John Forth
  • Alex Bryson
  • Van Phan
  • Felix Ritchie
  • Carl Singleton
  • Lucy Stokes
  • Damian Whittard

Abstract

The Annual Survey of Hours and Earnings (ASHE) is based on an annual 1% sample of employee jobs and provides many of the UK's official earnings statistics. These statistics are produced using official weights designed to make the achieved sample in each year representative of the population of employee jobs in Britain by gender, age, occupation and region. However, we show that jobs in small, young, private‐sector organisations remain significantly under‐represented after applying these weights. To address this issue, we develop new weights and demonstrate their importance through policy‐relevant examples. Our new estimates suggest that the bite of the National Living Wage is greater than previously reported, and the gender pay gap is wider. We conclude that a new official review of the methodology for ASHE is merited to improve the accuracy and reliability of data informing earnings analysis and research in the United Kingdom.

Suggested Citation

  • John Forth & Alex Bryson & Van Phan & Felix Ritchie & Carl Singleton & Lucy Stokes & Damian Whittard, 2026. "The Representativeness of the Annual Survey of Hours and Earnings and Its Implications for UK Wage Policy," British Journal of Industrial Relations, London School of Economics, vol. 64(1), pages 21-36, March.
    • Handle: RePEc:bla:brjirl:v:64:y:2026:i:1:p:21-36
    DOI: 10.1111/bjir.70010
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    References listed on IDEAS

    as
    1. John Forth & Carl Singleton & Alex Bryson & Van Phan & Felix Ritchie & Lucy Stokes & Damian Whittard, 2025. "The Impact of a Rising Wage Floor on Labour Mobility Across Firms," British Journal of Industrial Relations, London School of Economics, vol. 63(4), pages 746-757, December.
    2. Sarah Louise Jewell & Giovanni Razzu & Carl Singleton, 2020. "Who Works for Whom and the UK Gender Pay Gap," British Journal of Industrial Relations, London School of Economics, vol. 58(1), pages 50-81, March.
    3. Gary Solon & Steven J. Haider & Jeffrey M. Wooldridge, 2015. "What Are We Weighting For?," Journal of Human Resources, University of Wisconsin Press, vol. 50(2), pages 301-316.
    4. Mark Pont, 2007. "Coverage and non‐response errors in the UK New Earnings Survey," Journal of the Royal Statistical Society Series A, Royal Statistical Society, vol. 170(3), pages 713-733, July.
    5. Lucy Stokes & Alex Bryson & John Forth & Martin Weale, 2017. "Who Fared Better? The Fortunes of Performance Pay and Fixed Pay Workers through Recession," British Journal of Industrial Relations, London School of Economics, vol. 55(4), pages 778-801, December.
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