Labour warning on low pay

Employers were yesterday warned by the Labour Party spokesman on Enterprise, Trade and Employment, Mr Tommy Broughan, against…

Employers were yesterday warned by the Labour Party spokesman on Enterprise, Trade and Employment, Mr Tommy Broughan, against using back-to-work schemes to prop up a low wage policy. He said that a study of the Jobstart programme, which provides employers with an £80 subsidy, showed that a third of employees were being paid a weekly wage of less than £140 and just 11 per cent of participants were earning more than £200. "In the case of the Back to Work Allowance, some employers are actually factoring in the payment when making up the full wage packet. This allowance is supposed to be focused on the long-term unemployed person and should not be interfered with by the employers," he said.