Part of 1. 1. Questions to the Cabinet Secretary for Finance and Local Government – in the Senedd at 2:14 pm on 5 July 2017.
Well, I agree entirely with David Melding that low pay is the enemy of productivity, and we’ve seen that in the UK economy over the last seven years. When wages are held down, it becomes a perverse incentive for employers to keep people on where they could have taken other actions that would have led to greater productivity and, as a result, better wages for those people employed in them. I’m pleased to say, Llywydd, that as well as the National Assembly and Cardiff council, as the Member said, the Welsh Government is also accredited as a living wage employer with the Living Wage Foundation, and not only do we ensure that all directly employed staff, including apprentices, are paid the living wage, our agreement as a Government goes further than directly employed staff. In new Welsh Government contracts, we expect all contracted-out service providers to pay their on-site staff with the living wage, as well.