HC Deb 08 May 2001 vol 368 cc5-6
2. Mr. Malcolm Savidge (Aberdeen, North)

How many people in Scotland have benefited from the national minimum wage since its introduction. [159290]

The Minister of State, Scotland Office (Mr. George Foulkes)

More than 120,000 people in every constituency in Scotland, including Aberdeen, North, have benefited from the national minimum wage since it was introduced by the Labour Government in April 1999. I remind my hon. Friend and the House that on 1 October the national minimum wage will the increased by almost 11 per cent.—that is greater than the increase in average earnings—except in the admittedly unlikely event of the election of a Tory Government who are committed to scrapping it. It is absolutely vital that that does not happen.

Mr. Savidge

In Aberdeen, the national minimum wage has proved particularly beneficial to women. Can my hon.

Friend indicate how far that has been the general pattern? Given the general success of the policy, does he agree that when the non-voting record of certain parties comes under scrutiny—with apologies to Shakespeare—"Gentlemen from Scotland, then a-bed, shall think themselves accurs'd they were not here."? Stand up for Scotland? They cannot even stay up for Scotland!

Mr. Foulkes

My hon. Friend is right in every respect. Some 70 per cent. of the beneficiaries of the minimum wage have been women. It has had the greatest effect on women's pay since the Equal Pay Act 1970. I am pleased to see that some Tories are rising, to ask questions as they said that jobs would be lost because of the national minimum wage. In fact, nothing could be further from the truth. Unemployment has gone down and employment has gone up in every part of the United Kingdom. I notice that SNP Members are not even standing to ask questions on this. As my hon. Friend rightly said, they were not here to go through the Lobby to vote for a national minimum wage. How can they stand up for Scotland when they do not even turn up for Scotland?

Sir Robert Smith (West Aberdeenshire and Kincardine)

Does the Minister recognise that, while the Liberal Democrats welcome the fact that the minimum wage has stopped the worst employment practices in terms of low pay, many people do not work in paid employment but run a small business or a farm? Because of the current foot and mouth epidemic, many of those people's incomes are below the minimum wage. Will he therefore ensure that the Prime Minister recognises that, although the number of foot and mouth cases may be tailing off, the economic consequences will be felt in the rural economy for many years after the last case has been reported?

Mr. Foulkes

The hon. Gentleman makes a very sensible point, although it grieves me somewhat to say so. The Government understand the difficulties created by foot and mouth. That is why we have put in place a great deal of help for farmers and people involved in agriculture, and for those affected indirectly. The hon. Gentleman will know that the increase in the minimum wage was announced in March, which has given people a significant amount of time to prepare. I am sure that he would not want people currently struggling on low pay to suffer as a result of the foot and mouth epidemic. Obviously, we must take account of the effects of foot and mouth disease, which are felt by employees as well as employers.