Environment Secretary George Eustice has said that the national living wage for those on the Seasonal Agricultural Workers Scheme (SAWS) would remain at £10.10.
His comments came after he was challenged by NFU president Minette Batters over a Home Office document sent to labour providers appeared to suggest that there could be 40 per cent inflation on the wage rate.
The NFU explained that guidance provided by the Home Office to the labour providers prior to NFU Conference indicated wages could be in excess of £12.31 an hour, not the £10.10 an hour previously suggested. This is due to the guidance saying wages must also equal or exceed both £10.10 an hour and £25,600 per year, and the hourly rate being based on a 48-hour working week.
The Home Office guidance continued, ‘These rates are in line with the Skilled Worker minimum salary threshold and hourly rate. The rates will be reviewed and updated regularly to reflect the latest available salary data.’ It added that picking bonuses or overtime rates could not be part of the calculation.
Mrs Batters said, “I find it unforgiveable that you are assuring this audience that we are going to be sticking with the £10.10 and yet that missive went out to the labour providers. Imagine what that has done to these growers, who have faced such uncertainty. How do we collectively resolve this?”
Mr Eustice replied, “It is regrettable when mistakes happen in guidance. The policy we’ve got is clear; there is going to be a minimum wage that will be higher than the national living wage for those coming in under the Seasonal Agricultural Workers Scheme. It will be £10.10 an hour, and we will ensure any clarification needed is given.”
The NFU has said it is seeking urgent clarity on the situation.
Photo source – NFU