Close pay loophole now says TGWU

17 February 2004


"Fair estimate" agreements were originally intended to protect slower workers by ensuring they did not earn less than four-fifths of the minimum. But some employers are paying all piece workers the four-fifths rate.

The DTI estimates that around 70,000 people are affected. Its Fair Piece Rate proposals are currently in public consultation.

Murray Simpson, chief executive of the Textile Services Association, told LCN he did not think that many employers in the textile care industry were paying on a piece-work basis, certainly the TSA had not come across any. He also stressed the TSA's support for the minimum wage.
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