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Proceeding contribution from Baroness Wilcox (Conservative) in the House of Lords on Tuesday, 26 June 2007. It occurred during Debates on delegated legislation on National Minimum Wage Act 1998 (Amendment) Regulations 2007.


National Minimum Wage Act 1998 (Amendment) Regulations 2007

I think that we are considering the National Minimum Wage Act 1998 (Amendment) Regulations 2007 and the National Minimum Wage Regulations 1999 (Amendment) Regulations 2007 together. Section 3 of the Act sets out the classes of persons in relation to whom regulations may be made that exclude them from qualifying for the minimum wage or prescribing an hourly rate other than the main rate of minimum wage. That is okay. The 10 regulations in the National Minimum Wage Regulations 1999 (Amendment) Regulations 2007 amend the National Minimum Wage Regulations, and the principal rate of the national minimum wage is increased. The Minister kindly outlined all the other things that fell from that. The regulations insert three new classes of persons who do not qualify for the national minimum wage. As I heard it, those include workers who attend a period of work experience as part of a course of further education, and workers participating in two specific European vocational training schemes. The regulations also amend the Act, so that Regulation 31(1)(i) of the principal regulations will not apply to deductions made by or payments to a local housing authority or registered social landlord in respect of the provision of living accommodation, save where a connection exists between the provision of the living accommodation and the employment with the local housing authority or registered social landlord. Regulations 6 and 7 provide that, where the deduction or payment in respect of the provision of living accommodation is exempted from Regulation 31(1)(i) by Regulation 31(3), it will not be taken into account under Regulation 31(1)(g) or (h). That is all very well and good. The worry with all these things is that a minimum wage works only if it is properly enforced, otherwise law-abiding employers lose out every time while unscrupulous employers receive an unfair advantage. This will affect 1 million more people. How many successful prosecutions have there been thus far? How much strengthening is being done, in terms of appropriate staff and funding, to carry out this extra work for this extra amount of people? We may find ourselves disadvantaging the law-abiding employer and making the provision look unfair. It would be very helpful if the Minister could give me some information on that today. If not, perhaps it could be put on the record somewhere.


Secondary information

Type
Proceeding contribution
Reference
693 c5-6GC 
Session
2006-07
Chamber / Committee
House of Lords Grand Committee
Subjects
Housing Further education Exemptions Higher education Minimum wage Training Social rented housing Work experience Students Uprating Leonardo da Vinci programme
Legislation
National Minimum Wage Act 1998 (Amendment) Regulations 2007
Link
View this Proceeding contribution on www.publications.parliament.uk