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Business, Innovation and Skills: Minimum Wage (Tips) (12 Nov 2009)

Patrick McFadden: Measures to prevent tips from being counted towards salaries in calculating the minimum wage were introduced by the Government on 1 October this year. The public do not expect the tips that they leave for staff to be used to make up the minimum wage, and the change that we have introduced brings clarity for customers, staff and employers. We will ask the Low Pay Commission to review the...

Business, Innovation and Skills: Minimum Wage (Tips) (12 Nov 2009)

Patrick McFadden: Yes, I am very happy to clarify that. My hon. Friend is right that, in the past, the law treated tips differently depending on whether they were left by cash or by credit card. The change that we have made clarifies the position and makes it clear that all tips and gratuities, whether left by cash or by credit card, can no longer be used to make up the minimum wage. That is right; it is an...

Business, Innovation and Skills: Employees' Rights (12 Nov 2009)

Patrick McFadden: Last year, the Government launched a £6 million, three-year information campaign to make sure that vulnerable workers are aware of their rights and of how to report abuses. As part of our efforts, we recently launched the pay and work rights helpline on 0800 917 2368. It combines the functions of five previous helplines, making it easier for vulnerable workers to report bad treatment at...

Business, Innovation and Skills: Employees' Rights (12 Nov 2009)

Patrick McFadden: It is perfectly normal for member states to be given three years to implement such directives. We will legislate to implement the directive in the coming months, but I have to tell my hon. Friend that if the Opposition had their way, the issue would not be whether the measure was implemented next year or the year after that, but whether it was implemented at all. The Leader of the Opposition...

Business, Innovation and Skills: Employees' Rights (12 Nov 2009)

Patrick McFadden: The helpline is open to all. It will, of course, be up to the enforcement agency to decide whether to take up cases referred to it.

Business, Innovation and Skills: EU Agency Workers Directive (12 Nov 2009)

Patrick McFadden: The Government are committed to getting the legislation on to the statute book by the end of this Parliament; my right hon. Friend the Prime Minister confirmed that in his recent speech to the TUC. Last month, we published draft regulations that are scheduled to come into force in 2011.

Business, Innovation and Skills: EU Agency Workers Directive (12 Nov 2009)

Patrick McFadden: If you will permit me, Mr. Speaker, I will answer the question. Yes, we have heard calls for social and employment legislation to be repatriated, and for us not to go ahead with the legislation. I do not know where the right hon. and learned Member for Rushcliffe (Mr. Clarke) stands on the issue, but I do not believe that that would be in the interests of the country, when agreements have...

Business, Innovation and Skills: EU Agency Workers Directive (12 Nov 2009)

Patrick McFadden: It is perfectly normal for legislation to be passed by this House and then for a period to elapse before its implementation. There is nothing unusual about that, and there is no undue delay to the matter. When such directives are agreed in Europe, it is perfectly normal for member states to be given up to three years to implement them. We have stuck by what we said we would do on the...

Business, Innovation and Skills: Small and Medium-Sized Businesses (12 Nov 2009)

Patrick McFadden: A number of interventions are working to help access to finance for small and medium-sized businesses. These include the enterprise finance guarantee, by which some 6,200 businesses have been offered loans totalling £630 million to date, and the capital for enterprise fund, by which £60 million has been offered to 40 businesses.

Business, Innovation and Skills: Small and Medium-Sized Businesses (12 Nov 2009)

Patrick McFadden: I absolutely accept that access to finance and credit is critical to small businesses. That is why we have acted on this. In the hon. Gentleman's constituency, which he mentioned, 11 loans have been offered to businesses through that scheme. That is just one part of the country—as I said, the total is 6,000 overall. The issue he raises is vital, which is why we have launched those...

Business, Innovation and Skills: Small and Medium-Sized Businesses (12 Nov 2009)

Patrick McFadden: My hon. Friend raises a very important point. That is one reason why the Government have tried to be a better customer and to pay more of our invoices within 10 days, rather than 30 days, as was the case previously. I am glad to say that most Departments have stepped up to the plate on that issue, including the Department for Business, Innovation and Skills—more than 90 per cent. of my...

Business, Innovation and Skills: Small and Medium-Sized Businesses (12 Nov 2009)

Patrick McFadden: I certainly do not accept that the Government's efforts to promote credit and help small businesses get access to credit have failed. As I said, our scheme is working. Some 6,000 businesses have benefited, and hundreds of millions of pounds have been lent. We have also reached agreement with the banks in which we have stakes in order to ensure that they keep lending. Another factor is the...

Business, Innovation and Skills: Royal Mail (12 Nov 2009)

Patrick McFadden: We want to see an efficient and modern Royal Mail and have made £1.2 billion available in financing to enable Royal Mail to implement its transformation plans. We welcome the agreement reached last week between Royal Mail and the Communication Workers Union, which has resulted in a period of calm to enable negotiations on taking forward the modernisation plan. The critical challenge, of...

Business, Innovation and Skills: Royal Mail (12 Nov 2009)

Patrick McFadden: We have certainly not downgraded Royal Mail. We have backed it to the hilt financially. The £1.2 billion that I referred to comes on top of £1.7 billion to support the post office network and on top of more money earlier in this Government to support Royal Mail. Our commitment is not open to question. The issue is transformation in the face of the technological change that affects...

Business, Innovation and Skills: Topical Questions (12 Nov 2009)

Patrick McFadden: Our Department is focused on working with business to help Britain through difficult economic times, to try to ensure that Britain is as well placed as possible for economic recovery, when it comes, and to equip people for the jobs of the future. In recent weeks, we have had a particular focus on the latter point with the publication of the higher education framework and yesterday's skills...

Business, Innovation and Skills: Topical Questions (12 Nov 2009)

Patrick McFadden: In July, officials met representatives of the British Blind and Shutter Association, when the industry's "Make it Safe" initiative on how to reduce the risk from loop blind cords and chains was discussed. The Department and the industry have agreed a plan to make their guidance available to the widest possible audience, and is working with the Royal Society for the Prevention of Accidents to...

Business, Innovation and Skills: Topical Questions (12 Nov 2009)

Patrick McFadden: I reject entirely the charge that the Government are indifferent to the difficulties faced by small businesses. We know that small businesses are vital to creativity in the country and to employment, and we appreciate the passion and commitment that it takes for people to start and grow a small business. That is why the Government have backed small businesses, why we shall continue to do so...

Business, Innovation and Skills: Topical Questions (12 Nov 2009)

Patrick McFadden: I very much agree with my hon. Friend. It sounds like the fund is doing a very good job, serving as another example of how we can get finance to small businesses during difficult economic times and help them to make the investments that are so vital for our economic future.

Business, Innovation and Skills: Topical Questions (12 Nov 2009)

Patrick McFadden: I will happily accede to my hon. Friend's request for a meeting. As I have said—I was quoted earlier by my hon. Friend the Member for Ellesmere Port and Neston (Andrew Miller)—we do not want to see the recession and these difficult economic times used as an excuse to deny people the employment rights to which they are entitled. I will happily meet my hon. Friend to discuss this issue.

Business, Innovation and Skills: Topical Questions (12 Nov 2009)

Patrick McFadden: Competition in the parcels industry has been far more developed than in the letters business for many years. This is a competitive market, and there is a lot of competition within it. My regret is that, in this area of future growth for Royal Mail—probably in contrast to the letters business—the recent industrial disputes could drive customers away from Royal Mail. It would be a...

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