Fife Council is short-changing care workers because of its failure to honour an agreement to help contractors pay the living wage, an MSP has claimed.
Jenny Gilruth, who represents Mid Fife and Glenrothes, said she had been contacted by care workers for the local authority who were missing out on the £8.25 hourly rate.
Her intervention was met with fury by the leader of Fife Council, who said her claims are “outrageous”.
The Scottish Government struck an agreement with councils that all adult services care workers would be paid the Living Wage from last month.
Speaking in the Scottish Parliament, Ms Gilruth said council contractors Real Life Action, which employs some of her constituents, is waiting for the council to hand over cash to help them pay the Living Wage.
“The company claims that, despite a number of requests to local authorities, it has not yet received confirmation that any additional funding will be provided to support implementation of the new Scottish Living Wage,” she said.
“Does the minister think that it is acceptable for Fife Council to get around paying the Scottish living wage to its employees through contracted employers such as Real Life Options?”
Kevin Stewart, the local government minister, says it has fully-funded councils to meet their pledge that all adult service care workers are paid the living wage.
“We have provided significant investment to meet that commitment,” he said.
David Ross, the leader of the Labour-run local authority, robustly defended his council’s record on the living wage.
“The council has reached agreement with 50 out of the 52 external care providers it contracts with, on payment of the living wage,” he said.
“Real Life Options is one of the two we have yet to reach an agreement with.
“All care providers have been offered at least the payment of £15.30 an hour recommended by Cosla and the council pays above this rate in some of the more rural parts of Fife to take account of increased expenses.
“This should give them plenty scope to pay the living wage as we expect and cover their overheads.
He added: “For Jenny Gilruth to suggest the council is trying to avoid paying the living wage is just outrageous and I’m astounded to hear this is what she’s saying.”