HC Deb 14 June 1993 vol 226 cc451-2W
Mr. Milburn

To ask the Secretary of State for Employment, (1) pursuant to his answer of 25 February,Official Report, column 715, how many instances have now been notified to him of jobcentres advertising jobs at rates of pay below the relevant wages council minimum;

(2) pursuant to his answer of 25 February, Official Report, column 715, how standard managerial controls operate in cases where jobcentres have advertised jobs at rates of pay below the relevant wages council minimum.

Mr. Forsyth

Responsibility for the subject of the question has been delegated to the Employment Service agency under its chief executive. I have asked him to arrange for a reply to be given.

Letter from M. E. G. Fogden to Mr. Alan Milburn dated 14 June 1993: As the Employment Service is an Executive Agency, the Secretary of State has asked me to write to you direct to respond to your Parliamentary Questions to him about Jobcentres advertisting jobs at rates of pay below the relevant Wages Council minimum and how standard managerial controls operate in such cases. This is something which falls within the responsibilities he has delegated to me as Chief Executive. One of your questions is about the number of instances of Jobcentres advertising jobs at rates of pay below the relevant Wages Council minimum. Jobcentres should not handle such vacancies and the number of cases where they do so are few and far between. I am of course aware of the recent case in Darlington where a vacancy was accepted which did not meet the minimum wage requirement. Previous to this two vacancies were inadvertently accepted last Autumn which were publicised in the Channel 4 programme "Cutting Edge". Your other question was how the management controls operate where such cases do arise. I can best answer by describing what happened in the Darlington case. When the case was brought to the attention of my Jobcentre Manager, the vacancy was immediately removed from display. The employer was contacted and the Wages Council minimum rate of pay was explained. After contacting the Wages Inspectorate the employer agreed to pay the minimum wage for the job. The vacancy details have been updated and put back on display. As well as informing the employer of the requirements of the Wages Council minimum wage my manager arranged for all 400 displayed vacancies to be double-checked to ensure that any which fell within the scope of the Wages Council Order did comply with the minimum rates of pay. I am sorry this incident arose. It has highlighted a possible loophole in our guidance, in that the employer's business was not covered by a Wages Council Order, though it is accepted that the particular occupation was. My people are looking again at the guidance issued to my Jobcentres, which was substantially revised just six months ago. Further guidance will be issued from my Head Office within the next four weeks. It is up to individual managers to determine how best to monitor the many requirements we have about receipt and display of vacancies in a way which best meets the local labour market situation and I can assure you that the arrangements work well. I hope this is helpful. As decided by the Administration Committee of the House of Commons, Chief Executive replies to written Parliamentary Questions will now be published in the Official Report. I will also place a copy of this letter in the Library of the House.