§ Mr. Biffenasked the Minister of Housing and Local Government if he has now decided whether the pay settlement for manual workers in the water supply industry is consistent with Government policy; what has been the percentage increase in productivity of these workers 200W over the past two years; and what is the expected change arising from this settlement.
§ Mr. K. RobinsonThe industry was informed on 4th February that there would be no objection under incomes policy to a pay increase for manual workers of 3½d. an hour.
It is not possible on the available information to make any precise calculation of increased productivity, but a representative sample of undertakings shows that during the last year there was a significant improvement in output per man-hour—possibly as much as 8 or 9 per cent.
Whilst the settlement was not dependent upon future increases in productivity, my right hon. Friend has made it clear to the industry that he is hoping for a further productivity increase.