Destitution: Low Median Wage

Debate between Baroness Vere of Norbiton and Lord Hendy

Thursday 23rd November 2023 Lords Chamber

[Lord Hendy]

To ask His Majesty’s Government what steps they intend to take to address the UK’s low median wage and its contribution to the level of destitution presently under consideration by the UN Special Rapporteur on Extreme Poverty and Human Rights.

[The Parliamentary Secretary, HM Treasury (Baroness Vere of Norbiton) (Con)]

My Lords, boosting economic growth is the only sustainable way to increase wages. This Government have overseen significant falls in poverty since 2009-10, with 1.7 million fewer people in absolute poverty after housing costs. Supported by the national living wage, the proportion of low-paid jobs fell to 8.9% in 2023, from 21.3% in 2010.

[Lord Hendy (Lab)]

I thank the Minister for her Answer. While extortionate price increases have recently moderated, the real value of wages has been static since 2007—a nominal 6.2% increase in median wages last year translated into a 1.2% drop in their real value, according to the ONS. Half the working population earns less than £29,600. The Joseph Rowntree Foundation reports that 19.2 million people live below the minimum required to be warm, dry, clean and fed, with 3.8 million in destitution. The increase in the national minimum wage still leaves it, in real terms, no higher than it was 20 years ago. Wages need to rise. Only extensive collective bargaining can achieve that. Will the Minister make that happen?

[Baroness Vere of Norbiton (Con)]

I fundamentally disagree that collective bargaining will be the way to lift wages; I believe that economic growth will be the way to lift wages. What I would like to say—and I would criticise this Government and previous Governments for not making the most of this—is that, when we look at the national living wage, the increases we made yesterday mean that, next year, someone working full time on the national living wage will see their real after-tax take-home pay go up by 30% since 2010. I think that is a very significant achievement.

Seafarers’ Wages Bill [HL]

Debate between Baroness Vere of Norbiton and Lord Hendy

Wednesday 12th October 2022 Grand Committee

[Baroness Vere of Norbiton (Con)]

Yes. I tend to do one letter addressed to all noble Lords present. A copy will be placed in the Library. It will be lengthy, but it will be set out by topic and cover, with as much detail as I can, things that I have not been able to cover today and any additional information that would be helpful to noble Lords.

[Lord Hendy (Lab)]

My Lords, I am grateful to all noble Lords who have spoken in the debate, and to the noble Baroness for her explanation and response to the points raised in this group of amendments. I am very grateful in particular that she will look again at the Delegated Powers and Regulatory Reform Committee’s recommendations. I should have said earlier that I am a member of that committee.

I wonder whether, having heard the almost unanimous view expressed this afternoon about the effective delegation of authority to harbour authorities, the Government would be prepared to look at that a little further. Having said that, I beg leave to withdraw my amendment.

P&O Ferries

Debate between Baroness Vere of Norbiton and Lord Hendy

Tuesday 29th March 2022 Lords Chamber

[Lord Hendy (Lab)]

The noble Baroness is to be congratulated that a package of measures is to be introduced, late thought it may be, but will that package include the preservation of the right to collective bargaining and consultation, which this company so clearly flouted?

[Baroness Vere of Norbiton (Con)]

When it comes to collective bargaining and negotiations with the unions, we need to get to the bottom of whether the existing law was disregarded in this case. Mr Hebblethwaite seemed to suggest that it might have been, which was unwise.

Flybe

Debate between Baroness Vere of Norbiton and Lord Hendy

Thursday 5th March 2020 Lords Chamber

[Baroness Vere of Norbiton]

My noble friend is absolutely right. We cannot be clear enough that this affects only Flybe, and that at many airports, Flybe makes up only a small number of the flights. At Teesside, I believe that Flybe passengers account for only 14% of passengers, so that airport remains very much open for business, and there are some excellent airlines operating out of it. Passengers should therefore continue to fly with confidence. For example, at Leeds Bradford, Flybe accounts for just 5% of passengers. Again, passengers should feel confident in booking with other airlines out of Leeds Bradford—and, indeed, many other regional airports.

[Lord Hendy (Lab)]

My Lords, Flybe is not the first notable company to go bust in recent times—one thinks of Carillion—but does the Minister agree that the protection of workers in these circumstances is totally inadequate? Will the forthcoming Employment Bill be an opportunity to enhance and protect their rights in relation to prior consultation on circumstances that might lead to the collapse of a company; to place obligations on the company to provide more by way of retraining and assistance with finding alternative employments; and to enhance redundancy pay? One sympathises with the passengers in this case and the customers of other companies, but it is the workers who, I understand, heard of their loss of jobs—their loss of careers in some cases—on the radio, as we did, this morning.

[Baroness Vere of Norbiton]

On the issue of communications with employees, hearing it on the radio is less than ideal. I am sure it is not how any noble Lord would treat any of their employees. It is not acceptable and there are better ways of keeping employees up to date with what is going on. I cannot agree with the noble Lord that all is doom and gloom for employees and that everything must be improved. As I set out in the opening Statement, there are many routes that employees can now take. The Government stand ready to help, working alongside the unions, and the Insolvency Service is able to make payments.