Information on Loughborough

Loughborough MP welcomes fair tips

Posted on 01/08/2008
P. Klein

wage packet

Andy Reed MP welcomes the announcement on fair tips and the minimum wage and calls for rogue employers who con staff to be exposed.

This July marks 10 years since Labour voted to introduce the National Minimum Wage in 1998. When it came in ten years ago people like David Cameron strongly opposed it. The Tories said the minimum wage would cost the country 2 million jobs. The reality is totally different. An extra 2.3 million jobs have actually been created since then. Nearly one million low paid employees, two thirds of them women, have benefited from the National Minimum Wage.

Reed said:

"It is a great achievement of the labour party’s that we are celebrating 10 years of the national minimum wage. It has provided a basic level of pay underpinning the labour market over the last 10 years and provided help to millions of people.

I became an MP to fight for the rights of working people in Loughborough. Looking back I think the minimum wage is one of Labours proudest achievements in Government.

The next step is today’s announcement that the Government intends to change the current minimum wage rules on tipping, to ensure that in the future tips will be additional to the Minimum Wage.

Dealing with this is a matter of fairness and common sense. When we go to a restaurant or to have our haircut and we leave a tip, we expect it to go to the staff member in addition to their pay, not to go through the payroll to make up the Minimum Wage.

This move will benefit workers in service industries throughout Loughborough, people we all rely on, but who often don’t have the strongest voice. Changing the rules will build on the success of the Minimum Wage and be a step forward for decency and fairness at work.”

"With the National Minimum Wage there is no excuse not to pay up and I want to ensure people are paid that."