Who cares about the low paid in Bristol?

This comment article is written by Paul Smith

New research published by the Joseph Rowntree Foundation suggests that Bristol’s economy is missing out on more than £600m per year… the value generated if all the people living in Bristol seeking employment got a job which paid the Living Wage.

If charity begins at home, fair wages in the city should be given as much prominence as fair trade abroad. It would be interesting to see all those businesses which promote the Bristol Pound as a way of growing the local economy also pay the Living Wage, given that the low paid spend a higher proportion of their incomes locally than the well off.

Meanwhile, Bristol City Council struggles with being a Living Wage organisation. Following pressure from the Labour group, the mayor has approved the Living Wage to apply to council staff but not to contractors which work for the council. There is a real danger that this policy will create a perverse incentive to outsource even more council work to organisations which undercut the council by paying below the living wage rate. This would turn a good policy into a short-lived benefit for council staff.

George Ferguson appeared to be opposed to the Living Wage during his election campaign, worried about the implications for business. He has since said he supports it but wants to move to it carefully saying he was “concerned” about the idea of bringing it in for all contractors, which he said would be “impractical and difficult to police”.

But what about those who are most vulnerable in our city? A recent report fronted by the ex-Lib Dem cabinet minister Paul Burstow from the Local Government Information Unit and private contractor Mears demonstrates how low pay in the home care sector could force it into crisis.

This care for ourselves and our older relatives is too frequently sustained through contracts based upon poverty wages and impossible contract conditions. Not only has the cuts in local government finance lead to 15-minute appointments but has also seen about a third of people lose local authority home care altogether as eligibility criteria are raised. The report claims that 160,000-220,000 care workers are still paid less than the minimum wage.

The report recognises that there are many reputable companies employing fair employment practices and developing their people, however the pressure from local authorities on costs is having a knock-on effect to both care companies and their staff. The Burstow Commission calls upon local authorities to include enough funding in their contracts to allow providers to pay the Living Wage – a contract rate of £15.74 per hour (the Living Wage is currently £7.85 per hour).

I feel that it is a terrible judgement on our society that the care of our older and more disabled and vulnerable citizens is valued so little. Bristol must apply the Living Wage to its contractors and show that it is serious about the quality of care. A quality service cannot be built upon poverty pay.

It should also be remembered that building Bristol’s economy depends upon citizens having decent incomes far more than it does upon gimmicks. Let’s make caring special in Bristol.

Picture: Mark Bennetts/Shutterstock