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South Africa

Volume 82: debated on Wednesday 3 July 1985

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asked the Secretary of State for Trade and Industry why his Department is analysing the sections of companies' responses under the EC code of conduct which relate to pay on the basis of supplementary living levels which are in general 30 per cent. higher than the minimum living levels rather than on the basis of minimum living levels plus 50 per cent.; and when his Department intends to analyse responses on the basis of the 50 per cent. plus basis called for in the EC Code itself.

The code of conduct does not define precisely the target level of pay for black African workers. The explanatory guidance published with the code in Cmnd. 7233 interprets this target as equivalent to either of two recognised independent standards. In common with the great majority of reporting companies, my Department has adopted the supplemented living level for a family of five as the most appropriate standard. I have no plans to change this practice.

asked the Secretary of State for Trade and Industry in a case where a company has used a poverty datum level other than that used by his Department in its analysis of company responses under the EC code for companies with interests in South Africa, how he calculates the number of those employees in grades above the lowest paid grade who are paid at a level above the upper datum level used by the company and below the level used by the Department without further reference to the companies concerned.

Reference is made to the companies concerned, both in the United Kingdom and in South Africa, if such problems arise.

asked the Secretary of State for Trade and Industry how many of the companies submitting full reports under the EC code of conduct for companies with interests in South Africa for the period ended June 1984 used, in responding to section 3 of the code, the supplementary living level or minimum living level plus 50 per cent. for families of size 5 in areas where the all households (average) level was higher.

As indicated in my reply to the hon. Member on 21 May 1985, average family sizes in different regions of South Africa are not known. The all households (averge) data tabulated in surveys are statistical means and do not relate to actual family sizes.

asked the Secretary of State for Trade and Industry how many companies submitting reports under the EC code of conduct for companies with interests in South Africa for the period ended in June 1984 do not include all of their women employees, in their responses to all the parts of section 3 of the reporting format on pay; and if Her Majesty's Government ask any further questions of such companies.

Reports from 10 companies gave insufficient information about the wages paid to some female employees. The companies concerned were invited to amplify their reports.

asked the Secretary of State for Trade and Industry how many companies his Department questioned further on any matter relating to their responses to the EC code for companies with interests in South Africa for the period ended 30 June 1984; and what were the broad areas of such inquiries.

The information requested could only be provided at disproportionate cost. The subsidiaries of all the major British companies reporting under the code are visited in South Africa at least once a year, and less important companies somewhat less frequently. Reports are discussed with companies in the United Kingdom as necessary. All aspects of the code may be covered by such discussions.

asked the Secretary of State for Trade and Industry how many of the 77 companies making clear that their response to the EC code for companies with interests in South Africa for the period ended June 1984 was available from the company also made clear that its availability was indicated in their annual report and accounts.

asked the Secretary of State for Trade and Industry whether all companies are reminded of the Government's policy to encourage them to comply fully with the code of conduct for companies with interests in South Africa at the same time; or whether they are reminded on an individual basis.

All British companies known, or thought, to have interests in South Africa warranting a report under the code are periodically reminded individually of the Government's policy to encourage companies to comply fully with the code.