HC Deb 11 March 1968 vol 760 cc973-4
52. Mr. William Hamilton

asked the Minister of Labour if he will make a statement on the wage increase negotiated by draughtsmen employed by Beckman Instruments Limited, Glenrothes, Fife, and the reasons for his direction to the firm to cease payment of the increase.

Mr. Hattersley

The settlement appeared contrary to the requirements of the incomes policy and the company was so advised when the proposal was notified. This view was reinforced by the Report of the National Board for Prices and Incomes on the pay and conditions of service of engineering workers generally. The particular case is now under examination by the Board.

Mr. Hamilton

Can my hon. Friend say why there was a 12 weeks' delay between the payment of the increase and the indication from the Ministry that it should not be paid? Does he recognise that only 15 men are involved and that the total weekly cost of the pay increase is less than £20? Is it not absurd to carry the incomes policy to this length?

Mr. Hattersley

I accept that there was a delay, although not that it was as much as 12 weeks. The reason was that the Government rightly and properly first of all asked the parties involved to postpone the increase on a voluntary basis before a direction was made. The other reason was the necessity to make sure that our direction was based on information which confirmed our view that the policy was being breached.