Labour is the only party that can be trusted to strengthen the minimum wage

The Tories and the Lib Dems' past opposition to the minimum wage shows why we should be sceptical of their warms words on low pay.

One of the questions I like to ask when I'm interviewing candidates to work in my office is what they think is Labour's greatest achievement. The answer I most often get is the National Minimum Wage.
 
We are right to be proud of it. When Labour introduced the minimum wage in 1999, it made an immediate difference to workers on the lowest pay. Women in particular benefited. And thousands of decent employers all over the country were pleased too; it tackled exploitative and unscrupulous competitors using low pay to undercut costs.

It's easy to forget, now that all the main political parties claim to support it, just how bold and radical the introduction of the minimum wage was. But when it was introduced by Labour, the Tories were outright opposed. They said that it would cripple business, and would destroy thousands of jobs.
Of course, that simply wasn't the case. Our careful approach when in government, working in partnership with employers and employees, maintaining the right balance between wage growth and the impact on employment, ensured its success.

The Lib Dems, too, are Jonny-come-lately's to the value of the minimum wage. In 2003, Vince Cable said increases in its level set "a dangerous precedent". So why would we believe his warm words about it last week? But perhaps the most convincing proof of the Cameron government's lack of enthusiasm is that the real value of the minimum wage has declined by 5% since 2010.

Labour is the only party with a track record of bold action on low pay, the only party that can be trusted to boost and strengthen the minimum wage. And it's action that is desperately needed. In 38 out of the 39 months that David Cameron's been in Downing Street, average wages have fallen; people are on average £1,500 worse off. Low pay is contributing to the crisis in living standards facing Britain.

So, building on the successful approach we used in government, Ed's commitment today is that Labour will strengthen the minimum wage. Fair pay is central to Ed's vision of a different kind of economy, one in which both workers and business play their part. The only way we're going to build a strong economy is to make sure it works for working people. That means competing on high skill, high wage jobs.

The minimum wage needs to rise faster than it has in recent years so that it catches up to where it was in 2010. There is also evidence that the minimum wage puts very little pressure on employers in sectors that could afford to pay more. Analysis by IPPR and the Resolution Foundation has shown that increasing the minimum wage to the level of the living wage would cost large employers in sectors like finance, construction and computing less than one half of one per cent of their total wage bill. Around one million workers would see their pay rise.

Of course, it's right that we work closely with business to ensure we get the detail right. I'm pleased that Alan Buckle, Deputy Chair of KPMG International, has agreed to lead a review to look at how to strengthen the powers of the Low Pay Commission. We must also have effective enforcement - that is why Labour has committed to increasing the fines for non-payment of the minimum wage and to giving local authorities a role in enforcement alongside HMRC.

We're right to take pride that it was a Labour government that introduced the minimum wage. We are right to be proud of the difference it's made. The next Labour government will strengthen the minimum wage.

I'm proud Ed has promised today that we will take action. It is Labour policies that will tackle the low pay that is driving the cost of living crisis and holding back growth.

 
Kate Green is Labour MP for Stretford and Umston and shadow equalities minister
 
The real-terms value of the minimum wage has declined by 5% since 2010. Photograph: Getty Images.

Kate Green is Labour MP for Stretford and Umston and was shadow minister for women and equalities before resigning in June 2016.

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The real question about George Osborne and the Evening Standard? Why he'd even want the job

The week in the media, from Osborne’s irrelevant editorship to the unrepentant McGuinness and Vera Lynn’s stirring ballads.

The big puzzle about George Osborne’s appointment as the editor of the London Evening Standard is why he wanted the job. The Standard is now just a local freesheet, a pale shadow of its old self. In Tube carriages, discarded copies far exceed those being read. Its columnists are lightweight [Ed: as an occasional columnist myself, thanks, Peter] and its news stale, mostly written the previous day. Critics of Osborne’s appointment describe the Standard as “a major newspaper”. It is no such thing. The idea that the editorship will allow the former chancellor to propel himself towards the London mayoralty is laughable. In last year’s election for mayor, the Standard, according to University of London research, ran twice as many positive headlines about the Tories’ Zac Goldsmith as it did about Labour’s Sadiq Khan. The latter won comfortably. The paper was so supportive of Khan’s predecessor, Boris Johnson, that it became known as “the Daily Boris”. But Johnson, with a high profile from television, hardly needed its backing to beat a tired and largely discredited Ken Livingstone.

If Osborne believes that the Standard offers him a significant political platform, it is just further proof that he belongs to an ignorant elite.

 

Violent legacy

More than anyone else, Martin McGuinness, who has died aged 66, represented how the IRA-Sinn Fein combined uncompromising violence with negotiating charm to achieve its aims. Unlike Gerry Adams, McGuinness admitted openly and proudly that he was a senior IRA commander. In Londonderry on Bloody Sunday in 1972 he carried a sub-machine gun, but apparently without using it. Later that year, he was among a delegation that held secret talks with British ministers and officials. The following year, he was arrested near a car containing prodigious quantities of explosives and ammunition.

Like many who recall the IRA’s campaign in mainland Britain – three huge bombs detonated less than half a mile from me – I could never quite accept McGuinness as a government minister and man of peace. Whatever he said, he did not renounce ­violence. He just had no further use for it, a decision that was reversible.

 

A peace of sorts

When I hear politicians saying they could never contemplate talks with al-Qaeda, I smile. They said the same about the IRA. The idea of negotiation, John Major said, “turns my stomach”. A month later, news leaked of secret talks that would lead to a ceasefire. You can call it hypocrisy but politicians have no practical alternative. Significant terrorist campaigns rarely end without deals of some sort. Even then, dishonesty is necessary. The parties to the Good Friday Agreement with Sinn Fein in 1998 never admitted the true terms, perhaps even to themselves. In return for a role in government, the IRA ceased attacks on the British mainland, army, governing classes and commercial interests. It remained in control of working-class Catholic enclaves in Northern Ireland, where it continued to murder, inflict punishment beatings and run protection rackets. Not a pretty bargain, but it brought peace of a sort.

 

Real war anthems

“We’ll Meet Again” and “The White Cliffs of Dover”, sung by Dame Vera Lynn, who has just celebrated her 100th birthday, are the songs most closely associated with the Second World War. This, when you think about it, is peculiar. Most wars are associated with stirring, patriotic anthems, not sentimental ballads. Even the First World War’s “Keep the Home Fires Burning”, before it mentions hearts yearning for home, stresses the noble, manly instincts that drove soldiers to fight: “They were summoned from the hillside/They were called in from the glen,/And the country found them ready/At the stirring call for men.” Lynn’s songs had only the wistful sadnesses of parting and reassurances that nothing would change.

Their “slushy” tone troubled the BBC. It feared they would weaken the troops’ fighting spirit. Despite Lynn’s high ratings among listeners at home and service personnel overseas, her radio series was dropped in favour of more virile programmes featuring marching songs. Unable to sing to her forces fans over the airwaves, Lynn bravely travelled to the army camps in Burma. A BBC centenary tribute showed veterans of the war against Japan weeping as her songs were played back.

The wartime role of this unassuming plumber’s daughter makes me – and, I suspect, millions of others – feel prouder to be British than any military anthem could.

 

Ham-fisted attempt

After his failed attempt to increase National Insurance contributions for the self-employed, Philip Hammond, it is said, will have a £2bn hole in his budget. It will be more than that. Thanks to the publicity, tens of thousands more workers in regular employment will be aware of the tax advantages of self-employed status and hasten to rearrange their affairs. Likewise, newspaper accountants of old, after circulating memos imploring journalists to reduce lavish claims for “subsistence” while covering stories away from the office, would find a sharp rise in claims from hacks previously unaware that such a perk existed.

 

Battle of Hastings

My fellow journalist Max Hastings, attending a West End play, was once dragged on stage by the comedian James Corden, told to help move a heavy trunk and slapped on the bottom. Ever since, I have approached plays starring comedians warily. I dropped my guard, however, when I bought tickets for a contemporary adaptation of Molière’s The Miser starring Griff Rhys Jones, and found myself drenched when Jones spilled (deliberately) what purported to be fine wine. It was of course only water and, unlike
Hastings, I shall not demand a refund.

Peter Wilby was editor of the Independent on Sunday from 1995 to 1996 and of the New Statesman from 1998 to 2005. He writes the weekly First Thoughts column for the NS.

This article first appeared in the 23 March 2017 issue of the New Statesman, Trump's permanent revolution