National Minimum Wage Debate

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Lord Young of Norwood Green

Main Page: Lord Young of Norwood Green (Labour - Life peer)

National Minimum Wage

Lord Young of Norwood Green Excerpts
Tuesday 1st April 2014

(10 years, 1 month ago)

Lords Chamber
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Asked by
Lord Young of Norwood Green Portrait Lord Young of Norwood Green
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To ask Her Majesty’s Government what plans they have to mark the 15-year anniversary of the minimum wage, which took effect on 1 April 1999.

Viscount Younger of Leckie Portrait The Parliamentary Under-Secretary of State, Department for Business, Innovation and Skills (Viscount Younger of Leckie) (Con)
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Since 1999, the national minimum wage has grown faster than average earnings without an adverse effect on employment. Going forward, we want to ensure that the benefits of growth are shared equally. The best way to mark this anniversary is to commit to continue to deliver benefits to the low paid through the national minimum wage for the next 15 years and for many years thereafter.

Lord Young of Norwood Green Portrait Lord Young of Norwood Green (Lab)
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I thank the Minister for his reply and congratulate the Government on their new-found conversion to the benefits of the minimum wage—and even the living wage. It makes a pleasant change from the previous opposition of the Conservative Party and the CBI and their predictions that it would cause massive job losses. Does the Minister agree that the minimum wage depends on effective enforcement? What are the latest figures and are we actually naming and shaming those who are still not obeying the law? Are there any plans to increase the minimum wage?

Viscount Younger of Leckie Portrait Viscount Younger of Leckie
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My Lords, the naming and shaming scheme, as the House will know, came into effect on 1 October 2013. The new rules are part of the Government’s efforts to toughen enforcement of the national minimum wage and to increase compliance. By naming and shaming employers, it is hoped that bad publicity will be an additional deterrent to employers who would otherwise be tempted not to pay the national minimum wage. The Government have accepted the Low Pay Commission’s recommendation of the first real increase since 2007. We welcome its assessment, and 2014 could mark the start of a new phase of bigger real increases in the minimum wage.