Tourism and Hospitality

Baroness Liddell of Coatdyke Excerpts

Wednesday 21st January 2015 Lords Chamber

[Lord Gardiner of Kimble]

My Lords, I think that the Government are very clear: where employers are in a position to pay the living wage, we very much encourage it. However, I repeat that a lot of the businesses involved are SMEs and family businesses, and that may not be possible. Still, we very much encourage that, where it is possible, it should be done.

[Baroness Liddell of Coatdyke (Lab)]

My Lords, I am well aware that many of these employers in the tourism sector are SMEs and have particular difficulties, but the tourism industry is a major part of the British economy. Was the Minister as shocked as I was to see a major hotel chain named and shamed last week as not paying the national minimum wage? Could he advise the House what proportion of those employed in the tourism industry are on the national minimum wage, how many are on the living wage, how many are on zero-hours contracts and what initiative the Government are prepared to take to raise the level of skill and training in the tourism and hospitality sector?

[Lord Gardiner of Kimble]

My Lords, the first thing is to say that there are two trail-blazer programmes specifically designed to enhance training in the tourism industry. That is very important. The government apprenticeship schemes and the Tourism Industry Council are working extremely hard at focusing on improving skills. Anyone who does not pay the minimum wage is breaking the law. I do not know the precise breakdown of the figures as to who is paying the living wage but, as I say, we encourage those who are in a position to do so to pay it. Of course, zero-hour contracts are in part a feature of the tourism industry because it is seasonal. Obviously if there is any wrongdoing or abuse it needs to be investigated, but it is a feature of the tourism industry.