1. Questions to the Cabinet Secretary for Economy and Transport – in the Senedd on 4 July 2018.
3. Will the Cabinet Secretary make a statement on the application of the minimum wage in Wales? OAQ52459
The minimum wage is set by the UK Government and applies to all employers in Wales. We strongly support measures that increase household income and actively encourage businesses to consider paying the living wage as defined by the Living Wage Foundation.
Thank you for that answer, Cabinet Secretary. It's perhaps timely to welcome the appointment of Linda Dickens as the chair of the Welsh Government's fair work commission, because when it comes to the issue of the minimum wage and workers' rights generally, we can see that the ball game is beginning to change at UK Government level, where the hard line Brexiteers are now beginning to talk about the opportunities of deregulation—that is, removing workers' rights, standards and terms and conditions. So, the steps being taken by Welsh Government at this stage, I think, are very welcome.
My colleague Jo Stevens, the MP for Cardiff Central, raised last year the fact that there had been no prosecutions in Wales in 2016 for minimum wage breaches. I've just seen the announcement in respect of the 10 prosecutions that have taken place subsequently. Cabinet Secretary, it seems very clear that there is no will within the UK Government and no resource or commitment to dealing with the impact of the gig economy and the lack of worker rights. All of us as Assembly Members will know of companies and issues that arise where there are breaches of health and safety, terms and conditions, and where the minimum wage is clearly not being paid or is being abused through complex payment systems.
Do you not agree with me that, firstly, the fair work commission in Wales, establishing that as the ethos of employment within Wales is something that is very much desired? Secondly, isn't it about time that the issue of the minimum wage or certainly its enforcement should be devolved to a Government that's prepared to stand up for it?
The Member makes many, many important points and I'd suggest that anybody who talks with great enthusiasm about the opportunities of deregulation should first just take a quick look at what's happened with bus services and then assess whether opportunities of deregulation are something that are always attractive and beneficial to the wider population.
Can I thank the Member for welcoming the appointment of the chair of the fair work commission and say that, whilst enforcement of the statutory living wage is pitifully under-resourced and the minimum wage is pitifully under-resourced in the UK, this is something that our fair work board has recognised? So, as we transition from a fair work board to the fair work commission, it's been decided that enforcement and how we can make sure this happens in Wales will be an early part of the commission's consideration. The commission should be reporting back with early recommendations in the spring of next year and I would hope, given that it is going to be a priority area of concern, that enforcement of this important process will be part of the report, with recommendations next spring.
Cabinet Secretary, you'll know the Low Pay Commission is visiting Anglesey today and tomorrow to get the views of people affected by the minimum wage. Do you agree with me it's essential that all people are involved, from businesses, workers and trade unions—indeed, anyone with an interest in this important public policy area—to ensure that they deliver evidence so that next year's minimum wage is set at an appropriate level?
I'd agree that participation is crucial. The vast majority of businesses are incredibly responsible businesses and it's just a small minority that can be ruthless and exploit workers. In terms of ensuring that we get the best rates that can be paid, of course there are many concerns that need to be factored into it. They can't be factored into the setting of the wage rate unless participation by employers takes place, and for that reason I would certainly agree with the Member that participation is required.
Michelle Brown. Michelle Brown?
Sorry. No.
Question 4, Hefin David.