Beckett: confirmed appointment

Professor Bain tells the World at One he has an open mind Duration: 3'02"

Low Pay Chief Appointed

Professor George Bain, £130,000-a-year principal of the London Business School, admitted that agreeing a figure for a new statutory rate would be "difficult" and conceded that jobs could be lost.

His appointment was confirmed by the President of the Board of Trade, Margaret Beckett. Professor Bain said he would need to balance the views of unions and employers before the Commission recommends a rate to the Government.

The 58-year-old Canadian-born academic will meet Department of Trade and Industry officials later this week to discuss how many representatives from both sides of industry will be on the Commission. He expects appointments to be made this month.

"We have been asked to report within a year and I hope we can make a recommendation by April. Depending how quickly the Government accepts our recommendation, a minimum wage could be put into operation by next summer," said Professor Bains.

"Everyone is agreed that we want to set a rate which will do something for the low paid without costing jobs. It will be a difficult task, but not impossible," he said.

Professor Bain pointed to new evidence emerging from the US which showed that a minimum wage in the catering industry actually led to jobs being created.

He insisted there was a need for a minimum wage in Britain, especially after the previous Conservative government abolished Wages Councils, which set minimum rates in many low paid industries.

John Monks, TUC general secretary, welcomed the appointment of Professor Bain, saying: "George Bain is a respected and independent figure who will command the confidence of both employers and employees.

"We very much look forward to putting our case to him and the other members of the Commission when they are appointed," he said.