Day 134 - 13 Jun 95 - Page 58


     
     1        profits will then drop.  Clearly, economic factors play a
     2        part in decisions about pay, but if you take a short-term
     3        view, then it will come back to haunt you later.
     4
     5   MR. JUSTICE BELL:  While you have 688 out, that is as from the
     6        9th June 1991, and what I have in mind is the New Earnings
     7        Survey figures, for instance, although I appreciate they
     8        are earlier, but the comparison which was made there
     9        between New Earnings Survey figures and McDonald's
    10        figures.  The McDonald's figures were the basic and the New
    11        Earnings Survey's were across the board?
    12        A.  Yes.
    13
    14   Q.   688 points out what the maximum rate was as opposed to the
    15        minimum for certain jobs.  Do you have any idea what
    16        proportion of crew, 18 plus, for instance, would be nearer
    17        the maximum rate than the minimum or can you just not help
    18        on that?
    19        A.  I do not think I could give any figures on that, no.
    20
    21   MS. STEEL:   There is just one other thing I wanted to ask you
    22        about wages:  On page 666, which is tab 27 -- this is June
    23        1987 -- the second paragraph, halfway through, it says:
    24         "This year, for the first time, everyone will receive the
    25        increase in their basic pay in addition to any performance
    26        reviews they have received e.g. if you were 15 pence over
    27        the old rate you will remain 15 pence above the new rate".
    28        Can you explain what the position was before the date of
    29        this memo?
    30        A.  I will try, but it is goes back quite a long way.  I am
    31        re-reading this.
    32
    33   Q.   You were in the Personnel Department by this time?
    34        A.  Yes.
    35
    36   Q.   Yes.
    37        A.  But it is still eight years ago and I have not -- that
    38        this from, so that is quite a long time.  So, this memo is
    39        saying that the increase will be passed on and previously
    40         -- I am not really sure if I can think -- I can only think
    41        that it would have been that the increases may have been
    42        only on the minimum rates, but I am --
    43
    44   MR. JUSTICE BELL:  Look ---
    45        A.   -- Not sure about that.
    46
    47   Q.   -- I think you really should have a bit of help since it is
    48        so long ago.  There were minimum rates of pay at one time?
    49        A.  Yes.
    50 
    51   Q.   What it is suggested is that if the minimum went up, say, 
    52        15p between one year and the next, the Wages Council 
    53        minimum rate, McDonald's did not have to increase everyone
    54        in its employ by the increase in the minimum rate because
    55        they might already be above the minimum by virtue of
    56        enhancements, I think was the word, which was used of their
    57        pay during the period they have worked for McDonald's?
    58        A.  Yes.
    59
    60   Q.   This memo, it has been suggested, meant that for the first

Prev Next Index