Congratulations to Lidl UK for deciding to increase the pay of staff in its stores to living wage level (Report, 18 September; Letters, 21 September). It shows up George Osborne’s national living wage of just over £9 in 2020, by which time it, too, will be not be enough to live on. Why is it taking so long for people to wake up on this simple issue? A proper living wage means that fit and healthy working people will earn enough to live without benefits. And it can be paid without squeezing the poorest, as this government has spent the past five years (and will the next five too) trying, and failing to do. By removing complex tax relief, housing and many other in-work benefits, it will save millions of pounds of tax and could even help slim down the Department for Work and Pensions, or allow it to focus on increasing tax revenues from the artful dodgers.
David Reed
London
• What has been lost in the debate around the national living wage is the impact it will have on staff training. My healthcare company, I suspect along with many others, rewards staff through a tiered pay structure that is linked to the attainment of NVQ qualifications. This in turn improves the quality of care to our customers and fosters a competitive and aspirational spirit among our workforce. With the imposed NLW in April 2016, the effect will be to bring new or unqualified staff into line with levels of pay that others have gained through their application and endeavour; this is less impactful at the NLW introduction rate of £7.20 an hour, but when it exceeds £9 in 2020 there will be no ability to afford to reward training with higher pay rates. What incentive will there be to continue our training schemes when we are no longer able to afford to pay differentiated pay levels?
Matthew Bennett
Maidenhead, Berkshire
• You report (Report, 17 September) that private sector pay has increased considerably more than public sector pay. What about workers employed in public services that have been outsourced to private companies? The hybrid situation of these workers means they are likely to have suffered a drop in pay, despite being employed by the private sector.
Sheila Cross
Northallerton, North Yorkshire
