Thursday, October 24, 2024

UK

Workers to be given twice as long to strike under Government proposals

Nina Lloyd, PA Political Correspondent
Wed 23 October 2024 

Workers would be given twice as long to strike under proposals being considered by the Government.

Unions could be able to stage walkouts for up to a year after balloting members, according to a consultation document produced by the Department for Business and Trade.

Under existing legislation, if workers vote to strike, the mandate expires after six months and another poll must be carried out for any following action to be valid.


Business and Trade Secretary Jonathan Reynolds and Angela Rayner said Tory ministers were to blame for a wave of strikes under the previous government.


The Government said doubling this time period would “strike the correct balance” between ensuring action is based on a recent vote and reducing the need for “costly and time-consuming” re-ballots.

The proposed measures are part of a major overhaul of workers’ rights overseen by Deputy Prime Minister Angela Rayner and Business Secretary Jonathan Reynolds.

The Employment Rights Bill, which had its second reading in the Commons this week, seeks to improve employment conditions through changes including reforms to parental leave and protection from unfair dismissal.

Strikes would also need only a simple majority in a vote instead of the 50% turnout required at present for the result to be legally valid at present under Government plans.

Existing rules mean that 10% of a workforce must be union members for an application to be made to get recognition to negotiate with employers, but ministers are planning to lower this to 2%.

The Government is also considering relaxing requirements on unions to show that they have repudiated so-called “wildcat” strikes by workers which they have not authorised or organised.

A general notice posted online and notifying the officials and employers involved could be enough to show it does not support the action, rather than the present requirement to give individual written notice to all staff believed to be taking part, the consultation document suggests.

The Bill came under heightened scrutiny on Monday after Whitehall’s own economic analysis showed it could cost businesses up to £5 billion a year, with opposition critics claiming it would create an “existential crisis” for some firms.
Ministers have argued the reforms are aimed at ensuring industrial relations are based on proportionality and accountability.

In a foreword to the consultation document, Ms Rayner and Mr Reynolds said the Government wanted to repeal “ideological, ineffective anti-union
legislation” introduced under the Tories.

They said that under the Conservatives, “strikes did not happen because workers or trade unions had too much power” but because “ministers chose to avoid grown-up negotiation.”

“Our existing framework for industrial relations and collective bargaining is full of inefficiencies and anachronisms that work against cooperation, compromise and collaboration,” they said.

“We want to create a positive and modern framework for trade union legislation that delivers productive and constructive engagement, respects the democratic mandate of unions, and works to reset our industrial relations.”


Labour's workers' rights reforms pass first Commons hurdle

Lucy Jackson and Hamish Morrison
Mon 21 October 2024 

Deputy Prime Minister Angela Rayner said the reforms were the 'biggest upgrade to workers’ rights in a generation' (Image: Chris Furlong/PA Wire)


LABOUR’S workers’ rights reforms have passed their first hurdle in the Commons – as the Government promised to “turn the tide” on poorly paid and insecure work.

Deputy Prime Minister Angela Rayner told MPs before the vote on Monday night that her Employment Rights Bill marked the “biggest upgrade to workers’ rights in a generation”.

The vote passed by 386 votes to 105, after a Tory amendment which criticised the bill being "rushed" into parliament within 100 days of Labour entering power was voted down.


READ MORE: Edinburgh Tram workers win toilet break dispute after strike threat

The bill will, among other measures, ban the practice of fire and rehire and task the Low Pay Commission to take into account the cost of living when setting the minimum wage, Rayner said.

While the bill has been welcomed by trade unions, concerns the package of reforms had been watered down were the source of conflict between Labour’s union backers and the party during manifesto negotiations earlier this year,

Unite, Labour’s largest union backer, refused to endorse the party’s manifesto ahead of the election this year in part because they believed the programme did not go far enough on workers’ rights.

The Tories criticised the bill saying it would put huge new burdens on businesses, pointing to a Government analysis which said it could cost firms up to £4.5 billion.

Rayner hit back at that attack from Tory MP James Wild, saying: “The impact assessment also makes clear that it would have a positive impact on growth and more than 10 million workers will benefit from Labour’s plan in every corner of this country.

“And the money in their pockets will go back into the economy and will support businesses, in particular, those on the high street.”

(Image: Contributed)

Speaking for the bill at the opening of the debate, Rayner (above) said: “Over decades, the good secure jobs that our parents and our grandparents could build a life on were replaced by low pay and insecure work – wages flatlined, in-work poverty grew, growth was strangled and the Tories left behind a battered economy which served no one.

“Today, this Labour Government led by working people for working people will start to turn the tide.”

READ MORE: Shona Robison says 'no more money' available for local government pay

The Deputy Prime Minister also pledged the bill would avoid a repeat of the P&O Ferries scandal, which saw 800 workers sacked without consultation in 2022.

It will also repeal the Minimum Service Levels Act which restricted the ability of workers in some industries to go on strike and the Trade Union Act 2016 which Rayner said “tried to smother trade unions in form-filling and red tape and tried to prevent them doing their job”.

Speaking during the debate, SNP MP Chris Law (below) said that whilst the SNP "broadly welcomes" the core elements of the bill, it does not go "far enough".

(Image: Parliament TV) "Labour have not gone far enough or acted swiftly enough with this bill," he told the Commons.

"Gaps remain in the plans, with around half of the promised reforms being kicked into the long grass through consultation, meaning they won't see changes implemented next year, the year after, or perhaps even 2027.

READ MORE: Police Scotland staff to be balloted on pay offer which union says ‘falls short’

"The Employment Rights Bill is meant to be a defining piece of Labour's first 100 days in office. But what good is meeting that deadline if the meaningful reforms are missing and will not come into effect for years?

"This is government looking overly cautious and hesitant."

Law said crucial commitments such as single-worker status, the right to switch off and addressing pay discrimination through mandatory reporting of ethnicity and disability pay gaps were "missing entirely" from the bill.

He referenced comments made by the Scottish Trades Union Congress (STUC) general secretary Roz Foyer, who said the bill was only the "first step" to improving workers' rights.

He also reiterated calls for employment law to be devolved to Scotland – a move backed by the STUC and a pledge made by Scottish Labour in their 2021 manifesto.

Law added: "I look forward to their [Scottish Labour MPs'] support going forward in ensuring employment law is devolved to Scotland in this Parliament, so that workers in Scotland never again have to see their employment rights eroded by any future Tory-led government."


Employment Rights Bill passes second reading in House of Commons

Will Abbott
Tue 22 October 2024


250,000 workers in Yorkshire and the Humber are 'in scope' of the Employment Rights Bill, according to government figures. The Bill passed its second reading on Monday, October 21 (Image: Supplied)


The Employment Rights Bill returned to Parliament yesterday (Monday, October 21) for its second reading, and passed with 386 ayes and 105 noes.

The Bill intends to introduce new protections for insecure workers, including guaranteed hours and reasonable notice or compensation for lost work.

250,000 workers in Yorkshire and the Humber are 'in scope' of the Bill, according to government figures.

The same figures suggest that 10.7 per cent of the total workforce in the region are in scope of the policy - the highest proportion of any region in the UK.

The press office of the Ministry of Housing, Communities, and Local Government shared a claim in the run up to the reading that the Bill could save up to £600 in lost income from hidden costs of insecure work, such as childcare arrangements and last-minute transport arrangements.

The £600 figure comes from a Living Wage Foundation report which had suggested: "33 per cent of shift workers face higher costs as a result of cancelled or last minute shift patterns – an ‘insecurity premium.'

"These costs can add to more than £50 a month (£600+ a year), which was the case for almost a fifth (17 per cent) of workers experiencing the premium."

An impact assessment for the Bill has also been published by the government.

As part of the government's Plan to Make Work Pay, the waiting period for Statutory Sick Pay (SSP) will be removed, as well as the Lower Earnings Limit for the pay.

The Lower Earnings Limit currently means that a worker must be earning £123 per week, at least, to qualify for SSP.

Judith Cummins comments after chairing Employment Rights Bill reading

Will Abbott
Wed 23 October 2024


Judith Cummins, MP for Bradford South, chaired the second reading of the Employment Rights Bill on Monday (Image: Supplied)


Judith Cummins, MP for Bradford South and deputy speaker of the House of Commons, has shared a message following the second reading of the Employment Rights Bill on Monday, which she chaired.

The Bill passed its second reading with 386 ayes and 105 noes.

Ms Cummins said: "It is essential that our legal system gives proper protections to workers and ensures that unscrupulous employers are held to account.

"With living costs rising in recent years, we must act on a plan to make work pay."

The Bill intends to introduce new protections for insecure workers, including guaranteed hours and reasonable notice or compensation for lost work.

It will also establish a new Fair Work Agency with new powers to enforce holiday pay.

Opposition MPs have raised concerns at the cost to businesses following the Government’s own impact assessment (the impact assessment can be read here).

James Wild MP challenged deputy prime minister Angela Rayner during Monday's reading, saying: "The estimated cost of the measures could be £4.5 billion a year.

"How does loading costs on to employers help to boost growth and job creation?"

The full Hansard transcript is available at https://hansard.parliament.uk/Commons/2024-10-21/debates/DC4CA46C-E3A4-4A75-A0AA-5143E3E12585/EmploymentRightsBill


Labour plans to let unions make pay demands with just 2pc of workers on board

Nick Gutteridge
Tue 22 October 2024 at 1:54 pm GMT-6·4-min read


Angela Rayner (centre) with Mick Lynch, seen the secretary-general of the RMT union, wants to make striking easier - Vuk Valcic/Alamy


Unions will be allowed to make pay demands at companies where as few as 2 per cent of staff are members, under plans unveiled by ministers.

Angela Rayner, the Deputy Prime Minister, wants to slash the threshold at which businesses have to formally recognise a union, as part of proposals that will make it easier to strike.

She is also set to axe the requirement for union bosses to secure at least 50 per cent turnout among members before they can call industrial action.

The Tories warned that the plans risk unleashing a wave of strikes and public sector pay demands that would have to be funded by higher taxes.

Currently, unions can seek recognition from an employer, giving them power to negotiate on pay and conditions, when 10 per cent of workers are members.


Angela Rayner also plans to relax union funding rules - Simon Dawson/Downing St

But under proposals published by Ms Rayner and Jonathan Reynolds, the Business Secretary, that threshold is set to be lowered to just 2 per cent.

The change is likely to mean that unions are granted much more influence in workplaces, even where they have a negligible number of members.
Plan to reverse curbs

Ministers are also looking to reverse legislation passed by the Tories in 2016 which raised the thresholds for calling strike action.

At the moment, unions in most sectors must get at least half of their relevant members to vote if a ballot for industrial action is to be deemed valid.

If a simple majority of those workers vote to strike then the walkout can go ahead.

For six key public services – including health, fire and education – an extra requirement was introduced that 40 per cent of overall members must back action.

Ms Rayner plans to repeal all those rules so that in future all that will be required to strike is a simple majority of those who responded to the ballot.

She has also unveiled plans to cut the notice unions must give employers of a walkout, from a fortnight to just a week.

Angela Rayner has said she wants the Government to boost workers’ rights - DPMO/Unpixs

In a joint statement, Ms Rayner and Mr Reynolds said: “This Government has already committed to repealing ideological, ineffective anti-union legislation.

“Whilst most employers do good by their workers, when this doesn’t happen, workers must have the ability to act collectively. This Government wants people to have a voice at work and let them exercise control over their working lives.”

A spokesman for the Department for Business said: “The Employment Rights Bill will bring trade union legislation into the 21st century by stripping back layers of burdensome and inefficient red tape that has prevented unions from being able to represent and negotiate on behalf of their workers.”

The changes come after a tussle between Amazon and the GMB over whether the union would be recognised by the internet shopping giant.

The GMB lost a ballot on seeking formal recognition by just 29 votes in July and later accused the firm of trying to “scare workers” into voting against.
‘Wave of strikes’

But the Tories warned that repealing their laws, which were designed to curb the unions, risked unleashing a fresh wave of industrial unrest.

Kevin Hollinrake, the shadow business secretary, said: “Every word and every provision has been designed and drafted by the unions and delivered by their useful idiots in the Labour Government.”

He added: “They present huge new powers to the trade unions, which by the Government’s own impact assessment will risk unleashing waves of strikes, raising public sector pay settlements and mean higher taxes on business and working people.

“Clearly, Labour have spent zero time engaging with businesses because they seem to be paying no attention to their valid concerns.

“Ministers must stand up to their trade union paymasters and revise their growth-killing bill, at the very least exempting small and medium-sized companies from these catastrophic measures.”

Kevin Hollinrake, the shadow business secretary, said Labour was not talking to business - Tayfun Salci

Ms Rayner is also planning to relax union funding rules so that more cash is diverted to political aims like supporting Labour.

She is set to reverse Tory-era rules which mean that at present union members have to opt in to their subscriptions being used for political purposes.

Instead they will be made to opt out, and will only be sent reminders that their cash is going into union political funds once every 10 years.

Tory sources accused the Deputy Prime Minister of hypocrisy, as Labour previously supported much tighter curbs on rolling shopping subscriptions.

When in opposition, the party wanted to force firms to remind their customers at least once every six months that they could cancel their subscriptions.





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