Low Pay: Resolution Foundation Report

Lord Young of Norwood Green Excerpts

Tuesday 11th November 2014 Lords Chamber

[Lord Ashton of Hyde]

The right reverend Prelate is right to bring this subject up. The minimum wage is a minimum as a catch-all; the Government support people and businesses paying above that, if they can pay the living wage, but only when it is affordable and not at the expense of jobs. In BIS, the department I represent, we have recently increased the pay of the lowest-paid workers in the department so that everyone receives the living wage. We support that as long as it is not at the expense of jobs.

[Lord Young of Norwood Green (Lab)]

My Lords, I welcome the Minister’s last point—that BIS is paying everybody in the department the living wage—but it would be even more welcome if he could give us a guarantee, as the Government say they support the living wage, that every government department should pay its employees the living wage. Also, should there not be a condition that people who have the advantage of gaining a public sector contract should be paid the living wage as well?

[Lord Ashton of Hyde]

The noble Lord is being a bit mischievous in trying to get me to give guarantees on behalf of every government department. I agree with him that it is a recognisable and suitable aspiration and we would like to do that.