39. Sir C. Osbomeasked the Secretary of State for Employment and Productivity why she agreed to civil servants' pay increases from 10½ per cent. to 14.4 per cent., which is contrary to the 3½ per cent. limit set out in the White Paper; and whether she will grant permission to private employers to pay similar increases.
§ Mr. Harold WalkerIncreases of varying amounts, including those referred to in the Question, are due to about 375,000 civil servants from 1st January, 1968, on the basis of pay research surveys. The158W staff concerned have not had an increase for two years. The ceiling of 3½ per cent. per annum is accordingly being applied so as to limit to 7 per cent. the increase payable frpm 1st January, 1968. Any balance due will be withheld for a year. Private employers are similarly expected to conform to the 3½ per cent. ceiling.