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Incremental Pay

Volume 895: debated on Thursday 17 July 1975

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asked the Secretary of State for Employment whether the agreed maximum of £6 a week is to be applied so as to prevent the implementation of incremental pay scales; and, if so, whether he intends that the lost increments will be recovered when the limit no longer applies.

The policy set out in the White Paper (Cmnd. 6151) provides that increases under already-established incremental scales are payable, provided that this does not raise the overall wage bill by more than £6 per head. Where this condition is not satisfied, incremental increases should not be paid in addition to the £6 limit and the cash amount should be applied as a straightforward supplement to earnings. We shall be discussing with the TUC and CBI what will follow the policy set out in the White Paper.