§ Mr. PikeTo ask the Secretary of State for the Environment what are the rules governing profit-related pay in relation to local authority direct labour organisations; and what changes he proposes to make.
§ Mr. Robert B. JonesSubject to the statutory requirement for local authority direct services organisations —DSOs—to meet the prescribed financial objective for the service in question, and to the normal rules of financial propriety and regularity, local authorities have discretion to structure DSO pay in whatever way they think appropriate, including linking it to financial surpluses achieved. My right hon. Friend has no plans to introduce rules on this matter.