Drunk on cheap labour hypocracy

Firstly I am not a socialist but a conservative with a small c. Today's headline from the Conservative Party Conference about industry being drunk on cheap labour was the most hypocritical statement I have heard for a very long time.

I know that we expect lies from our politicians but they seem to be getting better at it. Let us put the record straight. Mitie is a good example: they pay around 75% of their revenue to their workforce and their biggest customer is the public sector. The denominator of wages levels is the customer. Mitie's public sector customers are NHS, Councils and central government and all are crying poverty and wages are squeezed.

To give credit to Boris Johnson as Mayor of London he insisted that all staff within the mayors control be paid the London Living wage. There are two factors that govern wages.

1. Market forces of supply and demand
2. Government intervention on minimum wage

I mentioned in my last post FM's vulnerability in supplying the public sector and this is an example how little they understand about the market.