Working hard for you


STEPHEN TIMMS MP
Working hard for East Ham

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   National Minimum Wage (20/08/08)

Last month marked ten years since Labour introduced the National Minimum Wage.

It is one of Labour's proudest achievements in Government.  Nearly a million low paid employees, two thirds of them women, have benefited from the National Minimum Wage.  And we have built on it by steadily raising the level, and also by bringing in better safeguards at work, like longer paid holidays and the right to request flexible working for parents and carers.

When families are struggling with rising fuel, energy and food prices, the minimum wage is more important than ever.  It provides a basic floor protecting everyone in the labour market.

When the minimum wage was being planned ten years ago, people like David Cameron strongly opposed it. The Tories said the minimum wage would cost two million jobs. In fact, well over two million extra jobs have been created since then.  We have more people in work in the UK than we have ever had before, and over a million fewer people of working age on benefit.  The number of people claiming unemployment benefit has been well below a million for several years – and it still is, even in this credit crunch.  Under the Tories, it never fell below a million.  On two occasions it hit three million.

Labour is coming down hard on those people that don't pay workers the minimum wage.  Even tougher penalties are included in the Employment Bill, currently before Parliament, to crack down on rogue employers who con staff.  I will be voting in favour of the Bill.  If you think a rogue employer is not paying up, get in touch with me on 020 7219 4000, or call the national minimum wage helpline: 0845 6000 678.

The Government recently announced a change to the minimum wage rules on tipping, to ensure that in the future, tips to restaurant staff will be on top of the Minimum Wage.  Some restaurants have been paying below the minimum wage, with tips expected to make up the difference.  This is a matter of fairness and common sense.  When we go to a restaurant or to have our hair cut and we leave a tip, we expect it to go to the staff member in addition to their pay, not to go through the payroll to make up the Minimum Wage. 

This move will benefit workers in service industries we all rely on, but who often don’t have the strongest voice.  Changing the rules will build on the success of the Minimum Wage and be a step forward for decency and fairness at work.

I'm proud that, while the Tories opposed the minimum wage and still criticise it, our Labour Government is taking steps to strengthen it – ensuring that working people know their rights and employers know their responsibilities.

Behind every statistic is a life changed by the opportunity to work and get on in life.  You can also log on to www.labour.org.uk/minimumwage to see the practical difference this policy has made to people’s lives.

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