§ Mr. Kenneth Clarkeasked the Chancellor of the Exchequer whether a Government request to a company carrying out a public contract containing the counter-inflation conditions that that company should renegotiate a pay settlement to bring it within the Government's pay guidelines will include a request that the company should seek repayment of moneys already paid to employees in breach of the guidelines.
§ Mr. Joel BarnettAny contractor carrying out a public contract containing the new counter-inflation conditions is required to sign an undertaking that he intends that any further pay settlement to be entered into by him will be in accord with incomes policy. Contractors are specifically advised to contact the Department of Employment if they are in any doubt whether a settlement would be in accord with incomes policy. The question of renegotiation is not therefore expected to arise.