UK Parliament / Open data

National Minimum Wage Regulations 1999 (Amendment) Regulations 2009

I am pleased to see that the noble Lord, Lord De Mauley, welcomes the introduction of the amendment on tips, gratuities and so on. As I said earlier, the Low Pay Commission has the balance right on annual uprating. On people being asked in jobcentres whether they will accept less than the minimum wage, we would be appalled if that were the case. We are not aware of it. If the noble Lord has details, we will certainly check the situation and write to him to clear that up, so that there is no dubiety. It would certainly not be appropriate to speculate about what might be the reaction to the Low Pay Commission’s recommendations in a hypothetical circumstance that may or may not happen. I welcome the comments of the noble Lord, Lord Razzall, and his point that the Liberal Democrats have always supported the introduction of the minimum wage; history has shown that. On pooling, we are taking forward proposals on transparency and providing clear information for consumers about tips. We are working with businesses in the tipping sector, as well as consumer and worker groups, to develop best-practice guidance for business and clearer information for consumers. We have no intention of getting involved in the process of the tipping business. As the noble Lord, Lord Razzall, reminded us, pooling has been going for a long time. As long as it is not included in any calculations for minimum wage, determining the way forward is best left to individual businesses. However, clarifying the situation is certainly a good idea—such as for tipping by credit card, which is not always the best way to do so. On the Opposition’s view of the minimum wage, I can only say that the dire predictions did not come about. They did not come about because we had a representative Low Pay Commission, excellently chaired by Sir George Bain, which took getting the right balance into account when the minimum wage was introduced. All my information was that if we got that right, it would have a positive effect. It did, and something like 2 million people benefited as a result. I think that I have answered all the questions. Motion agreed.
Type
Proceeding contribution
Reference
712 c164-5GC 
Session
2008-09
Chamber / Committee
House of Lords Grand Committee
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