Employment Relations (Flexible Working) Bill (First sitting)
Wednesday 7th December 2022
(2 years ago)
Public Bill CommitteesRead Full debate Employment Relations (Flexible Working) Act 2023 Read Hansard Text Read Debate Ministerial Extracts Amendment Paper: Public Bill Committee Amendments as at 7 December 2022 - (7 Dec 2022)
Tulip Siddiq (Hampstead and Kilburn) (Lab)
I beg to move amendment 1, in clause 1, page 2, line 19, at end insert—
“(6A) The Flexible Working Regulations 2014 are amended as follows.
(6B) For Regulation 3 substitute—
‘3. An employee is entitled to make a flexible working application from the day on which they start work.’”
It is a pleasure to serve under your chairmanship, Mr Davies. Before I talk about the amendment, I want to spend one minute paying tribute to my hon. Friend the Member for Bolton South East, not just for her relentless campaigning on flexible working, which she started doing even before she came into the House in 2010, because she is a barrister by trade—everyone knows the working hours for barristers—but for her campaigning on Primodos, for the Rohingyas and on community pharmacies. She is the kind of MP who is needed in opposition, because she holds the Government to account. I am really pleased to say that she has had cross-party support on flexible working, which is such an important topic for all of us, especially after the pandemic.
In 2019, the Government committed to consulting on flexible working. We learned a lot of new things from the consultation, but we knew a lot of the points about how flexible working benefits older workers, carers, parents and disabled workers. The document for the consultation that the Government commissioned went as far as to say that
“flexible working is a key part of the Government’s ambition to build back better, ensuring that our flexible labour market is primed for the opportunities and challenges of the post-Covid-19 economy.”
It also put forward some important recommendations on areas for improvement—most notably, to the 26-week qualifying period before a new employee can make a flexible working request.
When I tabled my amendment, I wanted to suggest that we make it a right for all workers to be able to request flexible working from their first day in a job. That would mean that employees would not have to wait the current 26 weeks to make a request, and it would do more to ensure that flexible working becomes something that everyone can enjoy and to which everyone has the right, not just a privileged few. I was therefore very pleased to see that the Government had obviously listened to me, because they are planning to introduce measures through secondary legislation that will give employees the right to request flexible working from the moment that they start a job. I welcome that wholeheartedly, as it will make a huge difference to employees across the country.
I seek a couple of clarifications and answers from the Minister, as I have him in front of me. Most importantly, when does he expect the measures that I mentioned to be introduced, and through what legislative mechanism does he think they can be introduced? Also, have the Government considered that workers might want to know what flexible working arrangements are available in a role before they start or to put in a request before the first day, and will the new legislation reflect that? I am sure that the Minister has seen the survey by Timewise that found that just three posts in 10 are advertised as offering any form of flexible working. That is despite the Government’s own consultation finding that 97% of those asked said that having flexible working options in job adverts would help them to apply for the job.
This is an important step in the right direction. I applaud the Government for supporting it. However, it clearly is not enough, because too many requests for flexible working arrangements are turned down. I have heard that at first hand from constituents. Also, for my sins, I am part of a group called West Hampstead Mums. At the mothers’ group meetings, there was always talk about how people would not even bring up the subject with their bosses because they were worried about being discriminated against or overlooked for positions if they asked about flexible working, which is their right. Will the Minister comment briefly on that culture that means that mothers, women, disabled workers and others do not feel that they can even ask their employers for flexible working?
When I introduced my ten-minute rule Bill on the same topic, I looked at how employers have the right to turn down requests for flexible working on a whim. There are very few solid, good reasons that they have to give for turning down flexible working requests. Will the Minister comment on that? Do the Government plan to deal with the fact that too many such requests are rejected? I am sure the Minister is aware that one in three requests for flexible working arrangements are turned down for no good reason, as I mentioned.
If we want to make flexible working a reality for everyone in this country, which is why we are all here today, we must go further. Employees should be aware of what kind of flexible working is available in every role before they apply and of whether they can challenge their bosses if they are told that their flexible working request has not been granted without good reason.
I support my hon. Friend the Member for Bolton South East and the Government, but will the Minister clarify those few important points? That will enable us to put the amendment and the legislation into practice to benefit women, disabled workers, carers and particularly working mothers across the country.
Yasmin Qureshi (Bolton South East) (Lab)
It is a pleasure to serve under your chairmanship, Mr Davies. I rise to speak in support of the amendment.
I was successful in the private Members’ Bill ballot and at my first meeting with departmental officials, many of whom are present in the Committee Room, I raised the issue that flexible working should be a day one right that should be enshrined on the face of the Bill. However, we have now been promised that that will be done in secondary legislation. Will the Minister confirm that?
We need to make it clear to everyone that flexible working will be a day one right. From conversations with pressure groups and campaigners, I know people are saying, “Well, the words ‘day one’ are not on the Bill itself.” I have explained to them why that is the case, but I seek clarification from the Minister about that.
I thank my hon. Friend the Member for Hampstead and Kilburn for tabling the amendment and for her ten-minute rule Bill, which came long before my private Member’s Bill. She has campaigned tirelessly for flexible working. I thank her for that and for the kind words she said about me.
The Parliamentary Under-Secretary of State for Business, Energy and Industrial Strategy (Kevin Hollinrake)
It is a pleasure to serve with you in the Chair, Mr Davies.
I thank the hon. Member for Hampstead and Kilburn for drawing the Committee’s attention to an important point that I was going to address in my main speech, but I am happy to address it now. The good news is that we are in violent agreement about the day one right. As she will know, last year the Government consulted on a range of measures to support the uptake of flexible working arrangements, including whether to remove the existing 26-week qualifying period and make the right to request flexible working a day one right. We published that consultation on Monday. The response explains that the Government will give the right to request flexible working to all employees from the first day of employment. Indeed, we made that commitment in our 2019 manifesto, so we agree that it is the right thing to do.
The hon. Member for Hampstead and Kilburn raised a number of points that I will cover in my main speech, but I am happy to address them now. On timescales, the legislation should pass through both Houses during the course of next year, taking effect in 2024 in order to give businesses time to adapt. On the number of requests granted, according to our research 83% of requests are granted and fewer than one in 10 are refused—that is the information we have.
The hon. Lady asked about adverts. Employers may well use adverts to promote a position that is flexible, and we would encourage them to do that. We see this legislation as key to getting people back into work, particularly those who have left their workplace and are considering returning. To us, that should be an option for the particular employer. Certainly, it is our intention that the right to request flexible working should become well known and therefore become a discussion point between employers and employees for any role, not just for jobs that may be advertised as flexible.
Tulip Siddiq
The Minister is reassuring me with all his clarifications. However, could I ask what his source is for saying that only one in 10 requests is turned down? Every piece of evidence that I have looked at, including when I did my ten-minute rule Bill, said that one in three requests was turned down. If the statistics are better, I am very happy to hear it.
Kevin Hollinrake
The source was the post-implementation review of the 2014 right to request flexible working regulations, which was published in September 2021 and found that, in most workplaces, 83% of the time, where a request has been made, a request was granted.
Tulip Siddiq
I am very grateful for the information, but 2014 was a very long time ago.
Kevin Hollinrake
No, the review was of the 2014 regulations, but it was published in September last year, so the actual consultation was much more recent than that.
Dr Lisa Cameron (East Kilbride, Strathaven and Lesmahagow) (SNP)
I thank the Minister for the points he is making, and I think this is an excellent Bill. I welcome flexible working from day one, as does the SNP. Does the Minister agree that it will be an important step in addressing the disability employment gap? That gap is far too large and means that we are missing out on the potential of many people in the population who have a lot to give to the economy, and can really contribute in a positive way, but, so far, have not been afforded the opportunities that they should have been.
Kevin Hollinrake
I entirely agree. Whether they are related to a disability, childcare responsibilities or semi-retirement, such provisions mean that we can bring talented people back into the workplace, which is good for the talented people and for the workplace. I therefore entirely agree with the hon. Lady’s point.
To address the point that the hon. Member for Hampstead and Kilburn raised about whether an employee or potential employee can challenge the employer, it is about a dialogue. That is the key to this, and, as part of the legislation, there will be a dialogue between employer and employee around flexible working, so a discussion can happen at that point. The employer would have to set out a reason for refusal—there are eight reasons, such as customer service or productivity—so, at that point, there is not an appeal process. It is important to have a balance between the rights of employers and of employees, and I think that this strikes the right balance.
Rachael Maskell (York Central) (Lab/Co-op)
I welcome the Minister to his place and it is a pleasure to serve under you as Chair, Mr Davies. When Government pass legislation around employment law, they normally provide guidance to employers. Given that many people make decisions about the employment that they take up depending on the arrangements around flexibility, will the Minister ensure that there will be guidance about having that conversation at interview, and about making it the norm that discussions around work patterns are included in that conversation, to enable people to make informed choices about their future employment?
Kevin Hollinrake
The hon. Lady raises an important point. Of course, as she will be aware, we engage heavily with ACAS on such provisions, and it does some excellent work in providing guidance for employers. This measure will be no different, in terms of advice that might be available to employers and employees.
We consider the measure to be a key part of the policy package, bringing an estimated 2.2 million additional people into the scope of the legislation and encouraging early conversations about flexibility. The Government will introduce the day one entitlement through secondary legislation, alongside the measures included in this Bill, so we do not believe there is any need to amend the Bill to achieve that change.
The Government already have the power to make flexible working a day one right via secondary legislation and intend to lay the statutory instrument to remove the 26-week qualifying period when parliamentary time allows, so that it takes effect at the same time as the measures in this Bill. On that basis, I would invite the hon. Member to withdraw her amendment.
Tulip Siddiq
I am still a bit uncertain about the statistics cited by the Minister, because the research I looked at by the TUC found that three in 10 requests for flexible working are turned down. Maybe there are different figures, but I have never seen such positive numbers in the surveys I have looked at. However, the Minister has given me a lot of reassurance on all the questions I have asked, and it sounds like the Government are serious about making flexible working a right for employees. I am grateful that the Government have taken the issue so seriously, and I beg to ask leave to withdraw the amendment.
Amendment, by leave, withdrawn.
Question proposed, That the clause stand part of the Bill.
Yasmin Qureshi
I am overwhelmed that so many of my colleagues are in the room today. When I was told that the Bill was going into Committee and I had to find 17 Members of Parliament to come to a sitting at a very early hour of the morning, it was a daunting task, but when I approached my colleagues on both sides of the House, they kindly and graciously agreed to attend. Seeing them here in person is overwhelming, and I thank them all from the bottom of my heart for coming today and helping us to get the Bill through Committee stage. I thank the Minister and his staff, who have always been very helpful and provided excellent guidance. I know that Members are normally afraid of the Whips, but the hon. Member for Castle Point has been very helpful throughout our proceedings, and I thank her for that.
I am delighted that we are here today to take a step closer to introducing important changes to the right to request flexible working. The changes help to set the right conditions for employees and employers to realise the benefits of flexible working. For those not familiar with the policy background, the right to request flexible working was introduced in 2003 for the first time for employed parents and carers of children under the age of six and disabled children under the age of 18. The legislation has been amended several times, most recently as part of the Children and Families Act 2014, when it was extended to all employees with 26 weeks’ continuous service.
The right allows employees to request changes to their work arrangements, and it also requires employers to properly consider those requests, although they do not necessarily have to agree to them. The existing framework acknowledges that there is no one-size-fits-all approach to flexible working. It is designed to help employees and employers find arrangements that work best for both sides. I recognise that not all organisations will be able to accommodate all forms of flexible working, so the Bill makes some changes to the legislation while retaining its fundamental approach to balancing the needs of both parties. Being able to work flexibly can support individuals to participate in the labour market and support businesses to effectively recruit and retain talent. This flexibility must be considered in all its forms—when people work, as well as where they work.
On Second Reading, we had a good discussion on the business impacts of flexible working, with Members keen to point out both concerns and opportunities. Members spoke of the importance of flexible working in helping to remove some of the invisible restrictions that hold people back. They can include the need to live in high-cost accommodation close to the centre of cities and the need to maintain working arrangements that are hard to combine with caring or other responsibilities. We all clearly agreed that we want to achieve more flexible working that meets the needs of both industry and individuals. The Bill will do that by encouraging two-way conversations about flexibility, allowing employees to make more than one request in a 12-month period and speeding up the administrative process.
Rachael Maskell
It is a pleasure to serve under you, Mr Davies, and I congratulate my hon. Friend the Member for Bolton South East on getting her Bill to this point.
I was a national equalities official for the trade union MSF in 2003, when we had the initial debates about flexible working. I, too, remember some of the challenges when it came to making even small steps, such as giving the right to request—the right to ask a question, as we put it back in the day—for a limited number of people. From then until 2006, I was part of a coalition of trade unions who really fought to extend such provision to carers and others, and worked with organisations such as Legal and General, which piloted work on extending the rights of carers. It saw the business case and opportunity, which was vital in pushing legislation. Obviously, legislation moved forward in 2014 and today we are making further steps for stronger employment across our country. We must remember that there are 17.5 million parents and carers across our country—people at a time of life when they need flexibility to manage domestic issues and to be in reliable employment.
Something not mentioned so far in today’s debate is the impact on disabled people and the flexibilities they require in the workplace. Only 52.3% of disabled people are in employment, compared with 82% of the general population. Ensuring flexibility will enable more disabled people to work, whether their impairment is physical or mental. That has to be a really positive step forward in ensuring that their dignity is restored as well.
For some, the issue is flexibility to undertake education—or indeed, wellbeing or life. That is why removing the requirement to set out all the details of personal circumstances and to do the company’s work for it by justifying how to make the adjustments is so important.
The issue is ultimately about recruitment and retention, and it will be positive for the employer as well as for the worker. In York, we have high employment but women in particular are significantly underemployed. That has a real impact on productivity—an issue that the Government have wrestled with for the past 12 years. I trust that the Bill will increase productivity, as people have the ability to flex their hours or perhaps their location of work.
The pandemic has changed how we look at work and the workplace, and the opportunities of technology are moving that further forward. Some 36% of adults work at home at least one day a week, but 70% want that opportunity. This legislation will provide those workers with that opportunity, and I trust that more will become possible with the advance of technology. We must also remember that some people need to be in a physical location for work, although the hours they work can certainly be flexed. I remember working in the NHS: an employer could facilitate a patient’s rehabilitation by enabling them to flex their time and start earlier in the day with occupational or physiotherapy. More could be achieved with greater flexibility.
Earlier this week, I was really taken by a presentation given by my hon. Friend the Member for Kingston upon Hull West and Hessle (Emma Hardy) about the University of Hull’s remote working report, which was launched here. It found that women in particular and people in the 35 to 44 and the 45 to 54 age brackets benefited from flexible working, and as a result more people are remaining in Hull, which is helping its economy to grow. Ultimately, there are economic benefits from greater flexibility, but the University of Hull also drew our attention to the opportunities of new places of work such as co-working spaces. In York, we now have a location for co-working at the Guildhall. That flexibility not only benefits the employee, but co-working spaces enable a sharing of minds across different businesses, which can enhance a business. The creativity that can come from the flexibility provided by this legislation could be a real boost for our economic opportunities.
I trust that we will see the real benefit of the measures in the Bill, but we must also think of the climate benefit of people not necessarily travelling to work every day, which has to be a plus, and we must think of people’s wellbeing. We know that we have a wellbeing crisis across the country, with many people struggling after covid or for other reasons. To be able to work around individuals’ needs as well as business needs is ultimately a win-win for employer and employee that lifts morale and productivity.
Finally, we need to ensure that there are good systems of accountability and communications. For those outside the work environment or working hours, we must make sure that we use the tools available so that people are still completely included. My hon. Friend the Member for Bolton South East has done the workers of our country and employers a favour in bringing forward this legislation.
Fleur Anderson (Putney) (Lab)
It is a pleasure to serve under your chairship, Mr Davies. It is a real pleasure to be here for this Bill Committee—what a great start to the day! I thank my hon. Friend the Member for Bolton South East again for bringing the Bill this far, for her relentless campaigning and for not giving up on a Bill that will, as she said, make a difference to millions of people across the country. I also thank my hon. Friend the Member for Hampstead and Kilburn for all her campaigning and my hon. Friend the Member for York Central for the campaigning she outlined.
So many people have campaigned for the Bill here in the House and outside it. I thank the TUC, the Pregnant Then Screwed campaign, the Chartered Institute of Personnel and Development’s “Flex From 1st” campaign and the Multiple Sclerosis Society, to name just a few of the campaigning organisations that will be cheering us on from around the country today, because they know the difference this will make to working people.
This is a huge step towards the right to work flexibly being enshrined in law and to tacking the employment gap that exists for carers, women, people with disabilities and low earners. This is good for employers and good for employees. There is a chronic shortage of workers in many areas of employment, and the Bill will go a long way towards bringing people back to the workplace and giving people confidence that their flexibility needs, many of which will be non-negotiable for them, will be able to be heard, understood and acted on by employers.
In my own working life, I have seen the need for this flexibility many times. I have had four children and returned from maternity leave four times. Every single time, my children are well and fine until my first day back at work, when they suddenly get ill, and it is at the beginning of my return to work that I need flexibility most. That is why this being a day one right is so important. After that, I get back into the routine, my children get into the routine, and off we go—it is fine—but it is the return to work that I have always found the hardest; I do not know why that always happened, but I cannot be alone.
I have also seen in my working life how a move from one workplace to another triggered anxiety and mental health issues for someone. I was able to arrange flexible working for him, with time off and then a slow return to work, working in different places; it was about what worked for him. He has now been working in that place of employment for years, but he only needed that flexibility right at the beginning. As a manager, I was able to accommodate that, but agreeing it with my managers was not entirely easy, and it was not seen as a right. Having the right to ask for flexible working from day one will be so important for those kinds of cases and so many others.
I was reassured by the Minister’s answers to many of the questions that I was going to ask. Ensuring that this is a day one right and seeing that in the secondary legislation will be very reassuring to us all. Another issue is moving at pace. It has been a year since the consultation closed. I have heard the Minister say that this will go through in the course of next year and be enacted early in the year after. Could it be sooner than that? Could we see it going through early next year and being enacted next year? Every day that it is not enacted is detrimental to so many workers. We really need that workforce back in the workplace.
Kevin Hollinrake
I thank the hon. Member for Bolton South East for bringing this Bill before the House. I twice had the honour of bringing forward legislation through a private Member’s Bill in my many years as a Back Bencher. We are all in this place to try to make a difference. Sometimes we differ on how we should do that, but bringing forward legislation is a great honour. I pay tribute to the work of the hon. Member for Bolton South East—not just her work on this Bill, but her campaigning prior to it, which we heard about very clearly in earlier contributions.
I also pay tribute to the Committee members here today and to my predecessors, not least the Under-Secretary of State for Digital, Culture, Media and Sport, my hon. Friend the Member for Sutton and Cheam (Paul Scully), who did much work on this issue prior to my taking over the role, and my hon. Friend the Member for Watford, who did such great work on it. I echo the comments made about the Comptroller of His Majesty’s Household, my hon. Friend the Member for Castle Point, who does such great work in the private Member’s Bill space and has done for many years.
The key thing about this Bill is that it has great benefits not just for businesses but for workers and not just for workers but for businesses—it is a win-win situation for all. I know that some will have concerns about it; certainly I have had feedback already from some businesses that are concerned, but I think that when they look at the detail, they will be reassured. The No. 1 thing that the Bill will do is make a more constructive workplace and, crucially, bring more people back into the workplace. That is good for everybody. We all know that businesses are suffering a shortage of workers.
On Second Reading, we heard from hon. Members from both sides of the House about their personal interest in flexible working; some of them are serving on this Committee. During that debate, I was struck by the breadth of issues that flexible working can help to address. Contributions were made on issues ranging from increasing economic opportunities for people living in rural communities, to supporting those with fluctuating illnesses such as ME, and enabling businesses to continue operating during disruptive events—not least global pandemics.
When flexible working arrangements are agreed between employees and employers, the benefits are not simply accrued by the employee; they often extend far beyond that. For the business, it could be a chance to retain the skills and expertise of an experienced worker or to encourage one to come back to work, or lead to a more diverse senior leadership team. In other circumstances, there could be wider, societal benefits, such as for the elderly relative able to spend more time with a family member during their non-working hours.
As you know, Mr Davies, before I entered Parliament, I ran my own business. I know at first hand the importance of looking after a team. With a good discussion and a bit of flexibility, working patterns can be adapted to get the most out of the employment relationship. At the same time, I recognise that there will be times when a requested pattern is unworkable. That is why, rather than prescribing or guaranteeing certain ways of working, the legislation needs to leave space for employees and employers to work out the right arrangements for their particular circumstances. Only in this way will we realise the potential productivity gains. I was struck by the comments from the hon. Member for York Central, who talked about the productivity improvements that can come from such ways of working. They can be realised through a more engaged and flexible workforce. I am pleased to reiterate today that the Government fully support this Bill.
I know that the Bill’s progress will be particularly welcomed by the Minister of State at the Department of Health and Social Care, my hon. Friend the Member for Faversham and Mid Kent (Helen Whately), who has long campaigned for better access to flexible working. We came into Parliament at the same time, in 2015, and she was campaigning on this in my early days as an MP, many years ago. Although she is not on today’s Committee, I want to take this opportunity—I notified her that I was going to do so—to recognise her efforts in driving forward the flexible working agenda.
I am pleased to confirm that earlier this week, the Government published their response to the consultation on measures to encourage flexible working. The consultation considered several changes to the current legislative framework, and I am pleased to see those updates brought forward by this Bill. In response, as I said earlier, we have committed to introducing secondary legislation to make the right to request flexible working a day one right, thereby giving all employees this right from the first day of employment.
It has been great to see a positive reaction to the response from the business community this week. The British Chambers of Commerce commented:
“Having free and open discussions from the outset will help ensure workplace arrangements are the best they can be for everyone.”
The BCC was a member of the flexible working taskforce, which included the Federation of Small Businesses, employer groups and ACAS. ACAS does such great work, and I have met with it twice already, including with the ACAS council, and discussed these matters. The Chartered Institute of Personnel and Development added that the measures will
“enable organisations to attract and retain a more diverse workforce and help boost their productivity and agility.”
Copies of the full consultation response have been placed in the Libraries of the House.
The measures in this Bill adjust the existing right to request flexible working. This is already very good enabling legislation, but these are important changes that will facilitate better access to all forms of flexible working, whether that relates to when, where or how people work. The changes will particularly support those who need to balance their work and personal lives and may find it harder to participate in the labour market, from older workers to new parents and those with disabilities—the hon. Members for York Central and for East Kilbride, Strathaven and Lesmahagow raised that issue—or long-term health conditions. This Bill will be an important step in supporting them to remain and progress in work.
When more flexible working arrangements are agreed as a result of this Bill, employers will also benefit from a more committed workforce, higher levels of employee retention and lower recruitment and training costs. We know that as a result of this legislation, more people will return to work. According to our research, the No. 1 thing on the wish list of those who have left the labour market and are considering returning is flexible working. It was very interesting to hear from the shadow Minister about her own childcare responsibilities, and I am sure that all parents on the Committee will recognise instances such as those she described. More broadly, by making work accessible to a wider pool of talent, the measures will help to create a more diverse working environment and workforce, which studies have shown leads to improved financial returns.
As the hon. Member for Bolton South East has set out, the two clauses of this Bill are relatively straightforward. They make changes to the provisions in sections 80F and 80G of the Employment Rights Act 1996 to encourage a better dialogue between employers and employees about the benefits of flexible working, increase the possible frequency of requests, speed up the administrative processing of requests and promote equal access to flexible working arrangements. These changes are timely and important to help both individuals and businesses secure the benefits of flexible working, and they represent a sensible, proportionate update to the right to request flexible working, a framework that enables a discussion from both sides.
I was struck by some of the shadow Minister’s points. She talked about the invisible restrictions holding people back; that is key to this legislation, because only dialogue can expose those restrictions. She asked whether we can make the process quicker—let’s see. It is important to give businesses a little time, because it will cost them. It will not be a great deal of money—we reckon less than £2 million a year—but there is an administrative cost. The timeline is that the legislation will complete its passage through both Houses in 2023 and then take effect in 2024.
As for adverts, again we would rather not be prescriptive. We see this change as something employers can use to make a job sound more attractive, so we would prefer to leave it to employers to decide how to do that.
I turn to wider legislation. The shadow Minister mentioned the employment Bill, but we are bringing forward several pieces of legislation, of which this is only one. Things such as neonatal care leave, carer’s leave and more protections for workers during pregnancy or returning to work have all come through private Members’ Bills. Indeed, we are taking forward some legislation that my hon. Friend the Member for Watford first proposed to ensure that people, principally those who work in the hospitality sector, keep all the tips that they earn, which is absolutely right.
In conclusion, supporting this Bill is in line with the Government’s ongoing commitment to build a strong, flexible labour market that supports participation and economic growth. I thank all those on the Committee today and those who spoke on Second Reading for supporting the Bill’s progress so far. I look forward to continuing to work closely with the shadow Minister to support the Bill’s passage, and I extend particular thanks to you, Mr Davies, for your excellent chairing of today’s sitting.
Yasmin Qureshi
I thank the Minister for his response and reassurances. I think we all agree that the Bill will help millions of people in our country get back into work. It is good for businesses and good for employees. It is, as everybody says, a win-win.
I thank all the parliamentary staff, the Clerks, the Minister and his officials, and my colleagues, all of whom have supported me throughout the process—I could not have done this without them. I look forward to the Bill passing to the next stage.
Question put and agreed to.
Clause 1 accordingly ordered to stand part of the Bill.
Clause 2 ordered to stand part of the Bill.
Bill to be reported, without amendment.
Employment Relations (Flexible Working) Bill
Friday 24th February 2023
(1 year, 9 months ago)
Commons ChamberRead Full debate Employment Relations (Flexible Working) Act 2023 Read Hansard Text Watch Debate Read Debate Ministerial Extracts Amendment Paper: Public Bill Committee Amendments as at 7 December 2022 - (7 Dec 2022)
Yasmin Qureshi (Bolton South East) (Lab)
I beg to move, That the Bill be now read the Third time.
I am delighted that we are here today to take a further step towards introducing important changes to the right to request flexible working. The changes will help to set the right conditions for employees and employers to realise the benefits of flexible working.
Throughout the passage of the Bill, I have spoken of the importance of flexible working in helping to remove some of the invisible restrictions that hold people back in the workplace. These can include the need to live in high-cost accommodation in city centres or the need to maintain working arrangements that are hard to combine with caring responsibilities. Offering flexibility to balance work and home life can be key to ensuring participation and progression in the labour market and to opening up employment and promotion opportunities for everyone, regardless of their age, gender, disability or location.
The Bill is for the mothers who have to leave their jobs because those jobs do not support flexible working. The Bill is for those with chronic long-term conditions, the disabled and the most vulnerable in our society, who desperately need the flexibility so that they can continue to work while managing their health conditions and the toll that it can take on their mental health. The Bill is for working families—those with young children—who are working hard and trying to make ends meet in a cost of living crisis.
Throughout the Bill’s passage, Members from across the House have been keen to point out the business benefits associated with the take-up of flexible working arrangements. By removing these invisible restrictions, flexible working fosters a more diverse workforce, and evidence shows that this leads to improved financial returns for businesses. Furthermore, workers who have more flexibility are more motivated at work and are more likely to stay with their employer. Of course, there is a strong and unmet demand for more flexible jobs; research conducted by behavioural insight teams shows that offering flexible working can attract up to 30% more applicants for job vacancies.
The successful passage of this Bill would introduce changes to the existing right to request flexible working. That right was first introduced in 2003 for employed parents, and carers of children under the age of six and of disabled children under the age of 18. The legislation has since been amended several times, more recently as part of the Children and Families Act 2014; that was when the right was extended to all employees with 26 weeks of continuous service.
The right allows employees to request changes to their work arrangements and requires employers to properly consider those requests, although—and this is important—they do not have necessarily to agree to them. I recognise that not all organisations will be able to accommodate all forms of flexible working, so this Bill makes some changes to the legislation while retaining the fundamental approach of balancing the needs of both parties. It focuses on setting the right conditions so that employees and employers can have an open-minded conversation about what flexible working arrangements might be possible in any given context.
The Bill contains four measures. The first is to introduce a duty on employers to consult with their employees before rejecting their flexible working request. Put simply, the measure will prevent employers from defaulting to “no” without first engaging with the employee when responding to individual requests.
James Daly (Bury North) (Con)
As the hon. Lady has just said, the word “consult” will be in the legislation; as a fellow lawyer, she will recognise that the matter will be litigated at great length before the employment tribunal. Will she go into more detail about what “consult” specifically means and about the requirements on the employer? Will it simply be a conversation or a formal meeting? What does “consult” mean if employers are to act in line with statutory requirements?
Yasmin Qureshi
I think that in this context “consultation” means having a proper discussion with employees.
For many employers, what I have been discussing will already be a standard practice but the measure is an important step to ensure that we have consistency across the board. More positively, it will give both parties the opportunity to explore whether alternative workable options may be available before the conversation is closed and a final decision is reached.
The second measure will allow employees to make a second statutory flexible working request within any 12-month period. We all appreciate that a lot can happen in a year. Someone could unexpectedly become a carer or be diagnosed with a long-term health condition, meaning that their working arrangements are no long sustainable. The legislative framework needs to be sufficiently flexible to account for those realities. Amending it in this way will ensure that the right is more responsive to an individual’s needs and helps to avoid negative outcomes. The worst case scenario is when the individual feels that the only option is to drop out of work.
The third measure will reduce from three months to two months the statutory time frame in which employers are required to respond to a request. That is partly about encouraging responsiveness and partly about bringing the legislation up to date. In the event that an individual’s circumstances change unexpectedly, they will be likely to need a quick response so that they can adapt to the changes as efficiently and effectively as possible. More broadly, it is a fact that technology, processes and our understanding of flexible working have all advanced over the last decade and the legislation should be updated to reflect those changes.
The fourth measure will remove the requirement for employees to explain what effect the change applied for would have on the employer and how that effect might be dealt with. It seeks to make sure that the legislation does not unfairly favour those with more experience or who can better articulate themselves in written submissions.
I am pleased that, alongside the Bill, the Government have stayed true to their commitment to me and made the right to request flexible working apply from day one of employment. I am therefore grateful to Government Ministers for the position that they have taken on the Bill. As a package, these measures will help to secure more flexible working where it meets the needs of individuals and business, and will encourage a more constructive dialogue about different ways of working. The changes will also speed up the administrative process and, ultimately, provide more employees with better access to a diverse range of working arrangements.
I thank the organisations that have been a great support in the last few months, including those that have written to me and met me. To name a few, they are: Working Families, the MS Society, the TUC, Pregnant Then Screwed and Zurich Insurance. I especially thank the team in the Department for Business, Energy and Industrial Strategy—the Department for Business and Trade, as we now call it—who have been tremendous in their support throughout the process. All three Ministers whom I have had the pleasure to deal with about the Bill have also been very supportive.
This is a policy area in which both the Labour party and the Conservative party have made commitments. We agree that more can and should be done to help people and businesses to find work arrangements that allow them to participate and prosper in the labour market. I hope, therefore, that hon. Members on both sides of the House will share my desire to ensure that the Bill succeeds.
Dean Russell (Watford) (Con)
I rise in support of the Bill and I pay tribute to the hon. Member for Bolton South East (Yasmin Qureshi) for her incredible work to ensure that it reached this stage. I also thank the Minister and his team for their work to ensure that it happened.
I am slightly biased, because I was a Minister for a short period and worked on the Bill with the hon. Lady. Its importance goes beyond politics and party lines, so I am pleased that hon. Members have come together to ensure that it goes through to the next stage. I hope that, when it reaches the House of Lords, the Lords realise how important it is to this place and to society. During the pandemic, and in the lead-up to it, society changed and flexible working became much more important to us, because the technology had finally caught up with where society wanted to be.
The challenge is that we live in a fast-paced, 24/7 world where it is easy to be switched on all the time. Sadly, some workplaces expect us to be switched on 24/7, which can be challenging for families, parents and everyone. It also means, however, that we can be switched on to work from home, when it is beneficial to be at home or to be flexible in the hours that we work, and so fulfil our duties as family members, parents, siblings and carers while delivering on the job at hand. Flexible working is often seen through the lens of workers, and that is absolutely right, but it is important that businesses know that it is also beneficial to them. Some employers already have lots of flexible working opportunities, and they do that not only for the right reasons, but because it is good for them, as it is good for employees, for productivity and for morale.
I want to raise several points about the Bill. First, it introduces a requirement for employers to consult with the employee before rejecting their flexible working request, which facilitates a more open and constructive dialogue between employers and employees. That is important, because to have that conversation in the first place enables action to be taken, but if the request cannot be achieved, the Bill would ensure there is an understanding of why, which ultimately may enable a future request. That is important because it opens employers’ eyes to the importance of flexible working to the employee.
Secondly, the Bill allows an employee to make two statutory requests in any 12-month period. That is important, because at the moment it is just one, and the problem is the stress on the individual. It is quite a moment when someone needs to go in and ask for time to be flexible within the workplace. For many, even asking makes them worry and fear that they will then be judged and that ask will be seen as negative. The Bill makes a level playing field by ensuring that both employee and employer are aware of why the flexible working request is important and what the benefits are, and ultimately what difference it will make to the employee.
Thirdly, the Bill reduces the decision period within which an employer is required to administer the statutory request from three months to two months, reducing undue delay for the employee, who is balancing multiple commitments. I have had a family member have to go into hospital, which all of a sudden throws everything out. It throws up the challenges of picking up one’s child from school and the worry about one’s family member—it picks up so many different issues that can affect someone within the workplace. It can affect what they are thinking about and where they can physically be at certain times. Making that request and knowing that one can get a response within two months rather than three makes a big difference. That could perhaps be even shorter, but I appreciate that for many employers, making a change within two months can be challenging in and of itself.
Fourthly, this important Bill removes the requirement that the employee must explain the statutory request, the effect the change would have on the employer and how that might be dealt with. That is crucial, because previously the employee had to explain to the employer how the request for time and flexible working practice would impact on the business. The challenge for employees is that they might not know the full context. They might not be able to make that argument. Someone working as a cleaner in a business might not know why the request has an impact on the wider business, but that does not mean the request is not still crucial or that it will have an impact on their ability to do their job.
Fifthly, it was pleasing to see in Committee that the amendment tabled on the entitlement to make flexible working applications from day one was accepted by the Government. That took a lot of time and effort to get right, because for some businesses the concern was that if they are doing it on day one, how can the person be judged on doing their job when they are not physically in work, and how can the impact of the request be judged? The amendment would enable any employee on day one to go in and say, “I’ve got a need to be flexible, but I can still offer something positive to the business and make sure that I am delivering.” This is about productivity and flexible working in the best possible way, but it is ultimately about ensuring fairness at the heart of workers’ rights and within businesses.
With the Employment (Allocation of Tips) Bill that I have been working on with my hon. Friend the Member for Ynys Môn (Virginia Crosbie), the key thing is workers’ rights, but it is also about fairness. In the workplace, we often go to work to make a life. We work to live or we live to work. Many of us in this place often live to work and we all love what we do 24/7, which is why we do what we do; it is about community and civic service. However, many people go to work to get a wage in order to go home and look after their family, and flexible working is a key part of that. When we are looking at this Bill, we have to make sure we are delivering on that part.
Madam Deputy Speaker (Dame Rosie Winterton)
Order. We shall now observe the national one-minute silence to mark the one-year anniversary of the full-scale Russian invasion of Ukraine.
Dean Russell
Slava Ukraini. I pay tribute to all those in Ukraine at the moment, and to those with family here in the UK and around the world who are thinking of their loved ones and those who were lost.
I will finish my speech shortly. I just want to make a few comments about why this Bill is so important. Flexible working is not something people request for the sake of it. They often ask for a reason, be it a family reason or about being able to do their jobs better. It might be about enabling them to work at different hours from some of their colleagues but still be productive. I pay tribute to the hon. Member for Bolton South East for bringing this Bill through. It will be transformative for this country, because it makes us competitive; it makes businesses competitive; it makes employees feel wanted and makes sure they are supported; it brings fairness into the workplace; and it makes sure that workers’ rights are at the heart of what we do, just as we have seen with many of the Bills that have been going through, especially the private Members’ Bills. I wholly support this Bill. I hope the House of Lords will make sure it passes quickly and can come into force as soon as possible.
Gareth Bacon (Orpington) (Con)
It is a pleasure to follow that excellent speech from my hon. Friend the Member for Watford (Dean Russell). I rise today in support of this Bill because I believe it is right that we, in this place, should lead the modernisation of working regulations in our country. That is what the Bill intends to achieve and I welcome it, so I wish to add my congratulations to the hon. Member for Bolton South East (Yasmin Qureshi) on bringing it to the House.
Of course, as a Conservative, 1 believe that free markets and competition in the supply of services are vital in order to ensure the best market prices for consumers. Indeed, our 2019 manifesto committed to
“encourage flexible working and consult on making it the default, unless employers have good reasons not to.”
Conversely, in a healthy economy, free of monopolies, employers must compete for employees by offering better salaries and better terms of employment than their competitors. Indeed, according to the Chartered Institute of Personnel and Development, as of May 2022 competition for talent in our country remains fierce, with up to 45% of employers reporting having vacancies that are “hard to fill”. The report states that organisations are already exploring the prospect of offering flexible working to attract talent. None the less, there is a strong argument to be made in favour of the provisions in this Bill; its new provisions would further cement the progress we have achieved in the past two decades.
It is worth mentioning that since 2014, thanks to Conservative Governments, all employees have the right to request flexible working arrangements after a sensible period of 26 weeks of continuous service. As my hon. Friend the Member for Watford pointed out, the Bill would add to that by requiring employers to engage with their employees before rejecting a request.
Another important change is the reduction in the time available to an employer to respond to a request. I think that these are reasonable measures. We should not forget that employers need time to consider and prepare to implement changes, especially to ensure that staff are available when needed. Likewise, employees need to be able to plan their life. Reducing from three to two months the time available to an employer to respond will ensure that requests are dealt with in an appropriate timeframe.
We must be clear about what the Bill does not seek to do. It would not compel employers to agree flexible working arrangements with their employees. That is important, because I think that mandating such an agreement would be a step too far; it would put employers in a very difficult position. However, by requiring employers to engage properly with their employees before rejecting an application, the Bill seeks to strike the right balance.
The new regulations could help employers and employees to find mutually beneficial arrangements. The impact assessment considers that
“flexible working can result in increased motivation and productivity from employees…reduced absenteeism, reduced vacancy costs”.
Those are evidently hypothetical and non-monetised benefits, but the cost to employers arising from the new regulation would be low: approximately £2 million annually. That makes the considerable potential benefits very attractive indeed.
I would like to draw attention to a contribution made on Second Reading. Unfortunately I was unable to attend the debate, but in preparation for my speech today, I read Hansard to find out what colleagues had said. Among the numerous contributions from colleagues on both sides of the House, I noted an intervention from my hon. Friend the Member for Warrington South (Andy Carter). He rightly pointed out that the Bill aims to help the vast majority of people who cannot use a laptop to work from home, as we can, and to make it easier to request varying times and adjustments, especially when someone’s job cannot be done from a desk at home.
If the Bill is passed, it will help those to whom access to flexible working arrangements will make the greatest difference. It will even prevent many people from abandoning the workforce altogether. That is why I will support the Bill today.
Aaron Bell (Newcastle-under-Lyme) (Con)
It is a pleasure to follow my hon. Friend the Member for Orpington (Gareth Bacon), who represents the constituency where I went to school. I congratulate the hon. Member for Bolton South East (Yasmin Qureshi) on introducing the Bill and on successfully getting it through Committee and back to the Floor of the House. May I also congratulate the hon. Member for Preston (Sir Mark Hendrick) on his Co-operatives, Mutuals and Friendly Societies Bill, which we passed a few moments ago? On a day on which we are showing solidarity with Ukraine, it is good that in the best traditions of this House we are working together to pass legislation that will make a difference to our constituents across the country.
I do not intend to go into too much detail on the Employment Relations (Flexible Working) Bill, because I would be repeating what other hon. Members have already said. It would introduce a requirement for employers to consult before rejecting a flexible working request; allow an employee to make a second statutory request within any 12-month period; reduce the decision period; and remove the requirement, which is currently a bit of a burden, for the employee to explain the effect that the change would have on the employer. Those are all sensible, proportionate changes. I am conscious of the need not to burden businesses unnecessarily, and I know that the Minister addressed in Committee the fact that there will be small administrative costs to business as a result, but I think that these proportionate changes reflect the reality of the modern workplace.
A lot of changes have come about as a result of covid. My hon. Friend the Member for Warrington South (Andy Carter), who is not here today—I am sure he is in his constituency—was right to note on Second Reading that a lot of us were able to work well during covid because we have laptops and we do a job in which we can use them. Even in this place, which can sometimes be a pretty inflexible workplace, we showed a great deal of flexibility.
Many of our constituents do not have that flexibility. They have jobs that require them to be in the office or on the job at a particular time, but they also have complicated lives—they may be single parents or have caring responsibilities for their own parents or elderly relatives—and we really need to make life better for them. That is what the Bill will achieve, so again I congratulate the hon. Member for Bolton South East.
Mr Louie French (Old Bexley and Sidcup) (Con)
Does my hon. Friend agree that amid fierce competition for labour, employers that can offer flexible working are more likely to hang on to existing staff and attract new staff?
Aaron Bell
My hon. Friend is absolutely right. I will address why the day one right, which was introduced in Committee, is so important. We all want a dynamic labour market. Although we believe in free markets, they are not about benefit for the employer; they are about benefit for both sides. As my hon. Friend the Member for Orpington said, employees have the right to seek the best price for their labour, professional development and circumstances that work for them. My hon. Friend the Member for Old Bexley and Sidcup (Mr French) is absolutely right: employers need to recognise that, and those that do will see their businesses grow and thrive.
The lack of flexible working imposes barriers on everyone, but especially on women, the disabled, carers and older people. On that last point, I was contacted last month by a constituent in Chesterton asking what job opportunities with flexible working arrangements were available in the area. That person was 82—an 82-year-old inquiring about what we can do to support people like them back into the workforce in some way. In my view, it would be beneficial to do anything we can to help people after retirement age—or those who have just retired but may not be at retirement age—back into the workforce should they so wish.
I know that my right hon. Friend Chancellor of the Exchequer has been keen to boost economic activity in that area. A number of people have dropped out of the workforce since the covid pandemic. Getting those people back into the workforce—even on a part-time or flexible basis—would be of great benefit to the country, because they have stores of knowledge, experience and wisdom that can be added to the productivity of our businesses and public sector. That is why the Bill is so important.
I thank the Under-Secretary of State for Business, Energy and Industrial Strategy, my hon. Friend for Thirsk and Malton (Kevin Hollinrake), for overseeing the Bill and for engaging with it in Committee in December. If I may, as it is germane to the Bill, I thank him for meeting me and businesses from my constituency in a Committee Room on Monday. We had four exceptional firms from Newcastle-under-Lyme: Incap UK, Langley Alloys, Mondrem and GivEnergy.
It is worth noting that one of the people who came down to meet us is the chairman of one of those companies and is in his 70s. That goes to illustrate the point that I just made about the importance of retaining the wisdom that is out there among people who have run businesses in the past. We do not want that wisdom on the golf course; we would like some of it back in our boardrooms, informing our businesses about how they can grow, particularly our manufacturing businesses. We have a great deal of manufacturing in Newcastle-under-Lyme, as the Minister heard on Monday.
I pay tribute to the Minister for what he is doing. I worked in the private sector—as did he, setting up businesses—before coming to this place, and I think it is important that we have an understanding of business and of how it can benefit from the legislation introduced by the hon. Member for Bolton South East. We also spoke about the planning system, about apprenticeships and, most of all, about the need for productivity.
We have a productivity puzzle in this country. The question of why we have not been able to get as much growth as we might is all wrapped up not just in the way that our public sector works—indeed, Mondrem is working on making our public sector and councils more productive in the planning sector—but in how we can improve private sector productivity. Flexible working is a big part of that, for exactly the reasons that my hon. Friend the Member for Old Bexley and Sidcup set out in his intervention.
In the Children and Families Act 2014 the coalition Government introduced the right for all workers with 26 weeks’ service to request flexible working, as we discussed earlier. The provision was reviewed by this Government in September ’21, and 80% of employees were aware of it in their workplaces. I am sure that the true figure is higher and that it is available in more workplaces, because 96% of employers reported that it was, so there is clearly still work to do on awareness, and the Bill—as well as the associated coverage in the press—will help with that. Eighty-three per cent. of flexible-working requests were granted.
The Bill, as amended, provides for the day one right to make a request. That is absolutely correct. To refer again to the speech by my hon. Friend the Member for Orpington, we want a dynamic labour market, and employees must be free to move around to seek better opportunities, professional development or simply a higher salary. Someone who has a flexible working arrangement that works for them should not feel tied to that employer because they feel that they would not be able to get that arrangement on day one with another employer. Obviously, they could discuss at a job interview whether such an arrangement might be possible.
We do not want to put people in a position where they feel tied to an employer that has given them a flexible working arrangement because they might not be able to port that arrangement over, from day one, to a new employer. That could put people off, including women who are bringing up children, people who are looking after their elderly parents, and all the other cases that we have mentioned, such as people with disabilities who need adaptations. That would put people off moving between jobs when doing so is frequently a way to advance in one’s career, make a better life for one’s family and get oneself a more fulfilling job and life. It is a Conservative principle to support both sides of that negotiation, and we do that not by tying people to an arrangement—essentially a closed-shop arrangement— but by giving them the flexibility to duplicate what they have with their current employer from day one with a new employer.
I am conscious that I have been speaking for a while and that a number of Members wish to speak, so let me conclude by saying that this very positive Bill builds on the work of the coalition Government and private Members’ Bills that did not make it this far. I congratulate the hon. Member for Bolton South East, and I thank the Minister for his engagement. I look forward to the Bill passing its Third Reading shortly.
James Daly (Bury North) (Con)
I refer the House to my entry in the Register of Members’ Financial Interests: I am a practising solicitor and a partner in a firm of solicitors, which may be relevant to some of the comments I make.
I remember those halcyon days when the hon. Member for Bolton South East (Yasmin Qureshi) and I were in Bury magistrates court together. I tended to be defending the cases, and she tended to be prosecuting. How time goes by, because that is well over 10 years ago now. One of the things I have always known about her is that everything she does, as she has in the Bill she has put before the House and in the speech she made today, comes from a desire to change things for the better, and I congratulate her on that.
The reason I support the Bill—and I think any employer must accept the deficiencies within the system we have at the moment—is that, since before coming into this House, I have had an interest in young people on the autistic spectrum. One of the great scandals, apart from generally the support and treatment for young people who have conditions and challenges in their life, is lack of access to the labour market. Certainly, people on the autistic spectrum, who have so much to offer, not only have challenges getting into the labour market, but in many cases will need flexible working to be able to contribute by working.
Mark Eastwood (Dewsbury) (Con)
My hon. Friend mentioned young people with autism and employment opportunities. Would he agree with me that, before employment, there needs to be a significant improvement in educational standards from primary right through to secondary?
James Daly
Absolutely; that is clearly correct. We have to recognise that there are individuals in our country who are being excluded from the labour market, and ways have to be found to ensure that they have an equal opportunity.
Dean Russell
On that point, does my hon. Friend applaud the Watford inclusive jobs fair, which took place just this week? Step2Skills, Hertfordshire County Council, Watford and West Herts chamber of commerce and many other organisations came together to make that happen. When I visited, it was amazing that it had had over 500 people apply to join and over 30 business were attending. Does he think that would be a good way forward for every other constituency?
James Daly
Obviously, I applaud everything Watford-based, but my hon. Friend makes a very serious point—it was also made by the hon. Member for Bolton South East—which is that in order to make a difference, we must have such events. We must ensure that employers and others involved in the local economy, whether in Watford or elsewhere, take these issues seriously.
Jerome Mayhew (Broadland) (Con)
I am grateful to my hon. Friend for giving way, because many Members are seeking to intervene on this for some reason. I just want to draw the House’s attention to a veterinary practice in Rackheath in my constituency, where the building itself has been constructed to be flexible for people with autism to work there, both as veterinary practitioners and in the support services. Does that not go to show how, with foresight, we can make accessible for people with autism those areas of employment that were previously inaccessible?
James Daly
There is not much else I can say about that, other than that it is very good news.
Aaron Bell
I must raise this point because I know that my hon. Friend has visited the institution concerned. May I take this opportunity to praise the work of John Caudwell, the founder of Phones 4u—the 4u group is based in Newcastle-under-Lyme—and the Caudwell Children centre in Newcastle-under-Lyme, which works with children with autism, and which I know my hon. Friend visited the other day? As a private sector entrepreneur, John Caudwell understands all too well the need for employment opportunities for those with autism. That is exactly the point my hon. Friend is making, and I could not let this opportunity pass without raising it.
James Daly
I think I am going to have to say “I agree” a lot in respect of these interventions.
Robin Millar (Aberconwy) (Con)
My hon. Friend only has himself to blame for this: he has opened up a rich vein, because this is important. Only this week, I had the opportunity to sponsor an event in the House with the charity Hft, which works with people with learning difficulties, particularly on such simple issues as addressing obstacles to the workplace. Does my hon. Friend agree that, in the work equation we all make, and that as employers we need to make as well, there are important things such as dignity and meaning attached to work, and reducing barriers and improving the flexibility of working arrangements is key to unlocking that for so many people?
James Daly
I agree. As has been said in relation to the importance of flexible working for family and all sorts of other reasons, it is important that a statement is made in law. Flexible working is already in the legislation that has been referred to, but we must make it very clear that this Parliament supports it if it can happen.
One of the things that concerns me about flexible working is the definition. We have already discussed the best form of flexible working, and there are sectors of the economy and parts of the workforce that are currently enjoying it, but I want to make this serious point. During the pandemic, flexible working was a necessity. My local authority decided to allow the vast majority of its staff to continue working from home. That may be a good or a bad thing—who knows?—but that was its decision.
However, there are considerations to be made. I have serious concerns about the impact of taking a huge sector of the workforce out of Bury town centre because the money that those people bring in to the urban centre is very important. I support flexibility in the sense that the hon. Member for Bolton South East set out, but it is not an open invitation to local authorities simply to continue arrangements that were put in place during the pandemic. What we are looking for is not flexibility for flexibility’s sake, but a system that allows proper access to the workforce for people who are being excluded and gives flexibility to people who have very good reasons to request it.
We often talk in the generality about a lot of things in this place, but the vast majority of the workforce in this country work in small and medium-sized enterprises of nine employees or fewer, such as in the sector that I worked in all my life. We must not underestimate the requirements on small businesses. Politicians can stand up and say words that make them feel good about themselves, but people still have to pay wages. There has to be a business there to allow flexible employment. Flexible employment cannot be imposed upon a business that cannot afford it. In vast sectors of the economy, it is simply impossible because people need to be in an office.
In my sector—this is why I mentioned my entry in the Register of Members’ Financial Interests—the challenges during the pandemic of being a conveyancing solicitor working from home were incredible. I would argue strongly that people in my sector need to be in the office. There needs to be that team environment, because it increases productivity. I am sure that it would work very well in other sectors of the economy, but we have to be open and honest about this. We cannot just impose principles on business if they cannot afford to pay the bills.
Jerome Mayhew
My hon. Friend is absolutely right that there is a balance between the needs of the employer and the perfectly fair needs of the employees. Does he agree that this Bill seeks to get the balance right by imposing a duty of consultation, not an absolute right?
James Daly
That is the exact reason why I can support it. The administrative burden that it would place on employers would not concern them. Essentially, the law is changing very little from the current position, so I completely agree with that point.
We always talk about big employers with thousands of employees that can put in place all sorts of work models, but the self-employed and small businesses cannot take advantage of this. Too often, we miss those people out of the conversation when we talk about employment rights and other things that are crucial to those sectors. To be able to pay the bills in this place, we have to ensure that small businesses and the self-employed are not burdened by over-regulation. They must be able to flourish and support employees.
The other thing that is quite clear from my sector and, I suspect, most sectors of the economy is that, although we talk about flexible working, if an employer does not allow a skilled solicitor to have flexible working, they will get a job elsewhere in about five seconds. The question here is not simply about having flexibility for flexibility’s sake; it is about skills and the sector. With the market we have at the moment—there are the best part of a million vacancies—employers who do not take advantage of employees with the correct skillset for their area of work will lose them, and they cannot be replaced in the modern employment market. In many ways, the employment market is addressing this problem internally, but skills are absolutely essential to this discussion as well.
Jo Gideon (Stoke-on-Trent Central) (Con)
I thank my hon. Friend the Member for Bury North (James Daly) for what he has just said, which I will build on. I will restrict my comments to those sectors that are unable to offer the level of flexibility that this Bill might suggest.
Stoke-on-Trent Central has a very large manufacturing base, a very large logistics base and engineering works, and these are sectors in which it is quite difficult to provide the flexibility for homeworking. As is the case across the country, they also have a challenge with recruitment. I welcome the Bill and the work that has been done by the hon. Member for Bolton South East (Yasmin Qureshi), because flexibility is not just about hybrid working and homeworking; it is also about looking at working patterns. With manufacturing, for instance, shifts may have been established a long time ago, when the circumstances for employees were different. In order to attract new talent to those industries now, sometimes flexibility is hugely important.
There is a slight concern that we may be creating a two-tier system, whereby some people can work flexibly and some cannot. Analysis during the pandemic showed that more than 38% of workers earning £40,000 or more had hybrid working arrangements during a week in 2022, and that people in higher income brackets were more likely than those in other income brackets to work from home exclusively. Financial managers, directors and programmers were able to work from home, whereas those in occupations with lower average earnings, such as gardeners, carpenters and mechanics, were far less able to do so.
There is also something else to be aware of. I am not saying that we should be less flexible, but young people need to have the ability to learn from more experienced workers when they come into the workplace—the water cooler moment, the sharing of ideas and the innovation. If we have too many people working from home for too long, we run the risk that our ability to learn on the job and to innovate might be somewhat reduced.
Mark Eastwood
My hon. Friend mentions the ability to learn on the job. I suggest that what we have learned from the pandemic is how to use technology such as Zoom and Teams meetings. Does that not compensate for the lack of face-to-face contact?
Jo Gideon
During the pandemic, we all experienced the fantastic tools that are Zoom and Teams. We in this place continued to work, with some of us dressed appropriately all the way down and some of us maybe only from the waist up—I hear rumours. It showed a more human face to many people, because we saw babies, dogs and all sorts of things in the background. It rendered people much more than their profession, which was good.
For apprentices, however, nothing beats the ability to be next to somebody who has done the job for a long time and who can show them and help them. I agree with the point raised by many that the impact on disabled people, with the flexibilities they require in the workplace, will be enormously helpful. Only 52.3% of disabled people are in employment, compared with 82% of the general population, and this legislation surely will be an enormous help.
The other benefit of flexibility is that if people have less time in the workplace, they can spend more time on education. In areas like mine, the importance of upskilling to get the new high-tech jobs that we hope to have in the future cannot be overstated. I fully back the Bill; we need to reflect on some of the issues that may come up incidentally, but that is not a reason not to be more flexible.
Greg Smith (Buckingham) (Con)
For the second debate running, it is a pleasure to follow my hon. Friend the Member for Stoke-on-Trent Central (Jo Gideon).
Over recent years, not just since the pandemic, flexible working has revolutionised the way people go about their employment, their business and their day-to-day lives. That is visible in my constituency on the daily commute: getting on the train at Haddenham & Thame Parkway on a Monday or a Friday, the car park is noticeably emptier. When people get to Marylebone and try to get on the tube, they can get on the platform at the first time of asking; if they try it from Tuesday to Thursday, they have to wait four or five tube trains before they can get on one to get wherever they are going. On the trains, on the underground and on public transport generally, the sheer volume of people who have gone on to a more varied working week is clearly visible—the days of nine-to-five are well and truly gone, and people are working in much more flexible patterns.
I congratulate the hon. Member for Bolton South East (Yasmin Qureshi) on her Bill. As others have said, it seeks to provide greater balance by giving everybody—no matter who they are, no matter how senior or junior they are, and no matter what their station within their particular business—the ability to better engage to get a working pattern that is right for them and for their business and that ensures we have a buoyant, growing economy. The growth of technology such as Zoom, Teams and all the other video conferencing software has, to a great extent, enabled the ability to work remotely that others have spoken about—to do three days in the office and two days at home, or whatever it might be.
However, I have considerable sympathy with the view expressed by my hon. Friends that we cannot just take that technology to be a replacement for the office. We cannot say that Zoom and Teams mean that everybody should always be able to work from home and never go into the office, because that brings many disadvantages—not least, from my perspective, for people starting out on their careers and trying to get up the ladder in their places of business. I would argue that it has always been the case that graduate entrants, apprentices or people starting off in whatever business or profession they have chosen do not learn the most from textbooks, from university or from whatever degree they have done, or by some process of osmosis; they learn from the people further up the ladder. They learn from going to the next rank up and saying, “I’m struggling with this particular bit of work, I’m struggling to get my head around this.” They learn by asking for the advice of more senior colleagues.
In encouraging flexible working, although I am a huge fan of it, we absolutely must not throw the baby out with the bathwater by going too far. I say that without any technical interest to declare, Madam Deputy Speaker, but I do have three small children at home. Without flexible working—particularly for my wife, because we all accept that being an MP is not particularly flexible and that we absolutely have to be here at certain hours—our childcare arrangements would be an absolute nightmare, and that would certainly be to the detriment of my children.
I will focus most in my comments on the issue of childcare. Enormous steps forward have been made, not least by Governments since 2010, in supporting families with childcare—the 30 free hours that the coalition Government brought in is one example. However, I know from my own constituency that lots of parents struggle with childcare and with being able to pursue the careers that they want. They find that difficult within the confines of many working practices and set-ups around the country. Everything we can do to ensure that working parents are able to pursue their career of choice and fulfil their professional dreams, while not being punished for having, loving and wanting to bring up children, is to the good.
When the Minister responds to the debate, I urge him to look beyond the Bill, which is a strong starting point, and to ensure that we continue to lock in family-friendly practices, where necessary through regulation—although I am generally sceptical about whether we have to regulate for everything to get the best result—so that we are as family-friendly as possible.
Another point that came up earlier highlights or double-underlines the need for there to be a balance—a balance that, as I said a few moments ago, the Bill does support. I am thinking of the impact that flexible working can have on localities and geographies: towns, villages and cities where business plays a big part. Think of the impact on hospitality during the rail strikes in December, when no one was able to come into London—on the cafés, pubs and bars, and all the businesses set up over the years to support workers who buy their cups of coffee and get their lunches on their way into work and socialise with colleagues or friends after it. We cannot allow too much remote working to undermine our towns and cities and the businesses set up within them.
To conclude, I would like to briefly commend the comments made earlier, not least by my hon. Friend the Member for Bury North (James Daly). We can use flexible working not just to support those with childcare needs or the other things I spoke about earlier, but to ensure that there is a clear path into employment for those who, as my hon. Friend mentioned, suffer with autism or other disabilities—to break down those barriers and ensure that there is a place of work, a career and a professional path for absolutely everybody in our society. That might mean slightly different hours or some days at home and some in the office, but we have to be certain that the Government, the state and this Parliament have made things as accessible and open as possible for everybody with a particular need, in a way that the old system—if I may call it that—did not allow. The Bill goes a very long way towards redressing the balance and opening up much greater flexibility.
Robin Millar
It strikes me that the argument my hon. Friend is making is that such flexibility must be inherent in our response to the changes we are seeing in society. There are changes in personal circumstances, such as the points he made about caring for his children—I was glad to hear that he would not throw them out with the bathwater. There are changes in the marketplace and, indeed, in the travel patterns of consumers—I think of my constituency of Aberconwy, which has a tourism-based economy that relies heavily on seasonal working. Is that the thrust of his argument?
Greg Smith
As ever, my hon. Friend puts it far more eloquently than I could. He has hit the nail on the head, certainly on the seasonal aspect of some businesses and the changing times that we have all seen, not just through the pandemic but in recent years. If we want to have the most dynamic, growing, buoyant economy, we have to ensure that the paths into employment and by which people hold down employment—seasonal, permanent or whatever it might be—are allowed for in regulation. It is important that we do not dictate too firmly to businesses how they must go about their practices, but we must ensure that they are fair and open with their employees, so that nobody feels left behind, unable to enter the workplace or held back in some other way.
Indeed, that principle goes beyond business and into the public sector. To back up an argument I made a few moments ago, I am a member of the Transport Committee, which has looked at the Driver and Vehicle Licensing Agency and the Driver and Vehicle Standards Agency. All right hon. and hon. Members probably grappled with delays in the issuance of driving licences and heard nightmare stories from their constituents. One of the causes of those delays, stemming from the pandemic, was the inability of DVLA staff to access the weight of documents that people had posted to Swansea and to process them from home.
James Daly
This is a multidimensional issue, but my hon. Friend has put his finger on a real problem that we have to address and to be honest about. Productivity is the blight of the British economy and, as my hon. Friend rightly says, we must do everything we can as a Parliament to ensure that people can access careers. If somebody on flexible working in the private sector is not working to a high standard, that business will go bankrupt. What is my hon. Friend’s view on productivity in the state sector and these working requirements?
Greg Smith
I am grateful to my hon. Friend for that intervention. As we look at this legislation, it is important that we do not just think about it through the lens of the private sector, but talk about public sector jobs as well.
I can only highlight the point I made a few moments ago about the challenges involved in getting driving licences issued in the time that our constituents wanted them to be issued. The problem in that example was an inability to do the job from home. Not only had the original documents been posted as good old-fashioned snail mail to Swansea; even when staff in the office scanned those documents and transferred them to a digital format, so that other staff could process them and judge whether a driving licence could be issued, the files were so enormous that they were not necessarily able to get through to the person working from home. We have to ensure that productivity is included in this debate. As others have said, certain jobs simply cannot be done from home. The technology is not necessarily there for absolutely everyone to receive hundreds of megabytes and gigabytes of data in order to do their job, so I very much agree with my hon. Friend the Member for Bury North.
To conclude, Madam Deputy Speaker—
Dean Russell
As someone who sometimes gets stuck on the motorways and gets delayed, it is important to note that the Bill is not just about working from home; it is about time as well. Sometimes, getting into work an extra half-hour or hour later and then working an extra hour at the end of the day can make an immense difference, especially to people who need to take their kids to school or who have caring needs. It is important to frame the debate so that we are clear on that. Does my hon. Friend agree?
Greg Smith
I absolutely agree with my hon. Friend. This is the point that I was attempting to make earlier about childcare—that it is not about working from home or working from the office, but about timings and the ability to drop the kids at school at 9 am and not be penalised for going into the office at, for instance, 9.30 or 10 am. Similarly, many parents need to pick up their children from school at 3, 3.15 or 3.30. Employees, whether in the private or the public sector, need the ability, indeed the right, to negotiate with their employers something that works for them when it comes to picking the kids up from school and making sure they are looked after before and after school. Many schools offer some wonderful after-school clubs, but it is not possible for everyone to attend a breakfast club or an after-school club every day, so those timings are very important.
To actually conclude, Madam Deputy Speaker—[Laughter]—I once again congratulate the hon. Member for Bolton South East on taking her Bill to its Third Reading with cross-party support, and I look forward to its gaining Royal Assent very soon.
Rob Butler (Aylesbury) (Con)
I congratulate the hon. Member for Bolton South East (Yasmin Qureshi) on bringing her Bill to this stage of the parliamentary process. Having introduced a private Member’s Bill myself and, thankfully, succeeded in getting it on to the statute book last year, I know what a difficult job it is, and that it only works with the co-operation of many other people.
Like every other Member, I experienced flexible working myself during the pandemic. As many will attest, it was not without its challenges and required a degree of getting used to. It is fair to say some people enjoyed the experience rather more than others. Perhaps I am showing my age when I say that I struggled a little more than some of them! From a practical perspective, however, although many people thought it would be a difficult scramble to enable the majority of the nation to begin working from home for the first time, what we actually saw was a much smoother transition than had been expected. According to a report published following the pandemic by Buckinghamshire Business First and Chandler Garvey, a firm of commercial property consultants in my constituency, more than three-quarters of those surveyed in Buckinghamshire found the transition to remote working simple; so it can be done.
The fact is that working practices change over time. The incredibly late nights and unpaid overtime that I considered entirely normal when I started my career are today roundly rejected. Indeed, many people embarking on their careers, often fresh from university, see the work-life balance and the ability to work flexibly as a top priority, and in surveys it is frequently placed above salary expectations. The Bill will help in that regard. In particular, requiring employers to consult employees before refusing a flexible working arrangement will allow greater transparency in the working environment, and will hopefully result in an outcome that suits both parties. I emphasise the words “both parties”, because employers’ needs and businesses’ requirements must of course be properly recognised, and I think that the Bill achieves the balance that is necessary for that to happen.
As we know and as has been pointed out today, individual circumstances can change at any moment, and the Bill provides a framework to accommodate that. It will doubtless be helpful that staff will be able to make two flexible working requests in a 12-month period, as opposed to the one that is currently permitted. It would be rather odd if someone’s circumstances changed immediately after they had been refused permission and they were then not even entitled to ask for a reconsideration, so I think that this measure is entirely reasonable. Employees will also benefit from the reduction in the deadline for an employer to make the decision on requests from three months to two.
As the hon. Member for Bolton South East has said during earlier debates on the Bill, there is no one-size-fits-all approach to flexible working. On Second Reading, many Members spoke about the importance of flexible working arrangements in helping to remove some of the invisible barriers that can hold people back in the more traditional working environments. They could include living in high-cost accommodation close to the centre of cities—flexible working might well enable people to live further away from work if they come in less often—or suffering in increasingly crowded commuter trains, an experience that I know my constituents in Aylesbury would be grateful to avoid. However, I agreed with my hon. Friend the Member for Bury North (James Daly) when he emphasised that the impact of working from home can be broader than the impact on the individual employer’s business. Aylesbury town centre is undoubtedly seeing much less footfall and lower spending now that fewer people are required to go there to work. It is important for us to consider that in the round as the economy grows and develops in the years to come.
When flexible arrangements are agreed between employees and employers, the benefits can work both ways. From a business perspective it can be an opportunity to retain the skills and expertise of experienced workers. Hon. Members have already suggested that there are some people, perhaps in their 70s, who could perhaps spend a little less time on the golf course and more in the office, boardroom, or potentially on the production line. I am not expressing exactly where any particular arrangement should work in an organisation, and it is important that there is that flexibility. We know that at the moment there is a challenge with the over-50s having perhaps left the workforce, and we must do everything we can to get them back into the workplace. If I may stray a little from the narrow confines of the Bill, we may want to look at pension arrangements to encourage them to do so. Flexible working practices can also lead to a more diverse and senior leadership team, which again can be welcome. There are societal benefits in other circumstances, such as parents spending more time with their children, as my hon. Friend the Member for Buckingham (Greg Smith) highlighted. Having met his three children I can well understand why he would want to spend as much time with them as he can.
One point that bears repeating is that made by my hon. Friend the Member for Watford (Dean Russell), which is that flexible working does not mean purely working from home. It can mean doing a week’s hours in four days rather than five, or starting and ending the working day at times that allow an employee to fulfil other commitments such as caring for an elderly relative. I welcome that type of flexibility and look forward to its being appropriately used, hopefully as a result of the Bill making its way to the statute book.
It is important to strike the right balance between the rights of employees and employers. There will always be some businesses and organisations where it is much more difficult to work flexibly. Much has been said about parents needing to pick up their children from school, but for teachers in that school flexible working will be much tougher, and it will require a good deal more imagination to enable that when they need to be in front of their class during the day. Both employers and employees need to approach this challenge with a flexible mindset so that there can be benefit to all—a win-win, if you like, Madam Deputy Speaker. In conclusion, I again congratulate the hon. Member for Bolton South East, and wish her well as the Bill continues its passage to the statute book.
Rachel Hopkins (Luton South) (Lab)
It is a pleasure to respond to the debate from the Opposition Front Bench. I thank my hon. Friend the Member for Bolton South East (Yasmin Qureshi) for bringing this important Bill to the House, and for working with Ministers, employers, trade unions and other organisations to get it to this stage. She made an excellent speech, and I commend her for her tireless campaigning for unpaid carers. She knows that the Bill will help many across the country to balance work with caring for their loved ones. Recognition must also go to the TUC for its Flex for All campaign, as well as to other organisations from the Chartered Institute of Personnel and Development, to Working Families and Pregnant then Screwed for their campaigning on this issue and for holding the Government to account.
I reiterate what has been said at previous legislative stages of the Bill. The Bill has Labour’s full support, but we still expect much greater action from the Government to enhance workers’ rights. The data tell the story: there are currently 1.5 million more women out of and not looking for work than men. The number of economically inactive working-age women rose by 124,000 last year, compared with the previous year. Gaps in employment because of a lack of flexibility can cause a loss of confidence to return to work, as well as resulting in reduced pension entitlement and barriers to career progression, not to mention the gender pay gap.
Labour welcomes the provisions in the Bill, which will begin to help create the environment for a fairer and more equitable discussion between employers and employees about flexible working. The covid-19 pandemic has changed how we work, with both employers and employees recognising the business and personal opportunities created by flexible working. The Bill represents an important step to ensuring that legislation reflects where we are as a society.
Many Members have spoken on this common-sense Bill, particularly from the Government Benches, and we heard from the hon. Members for Watford (Dean Russell), for Orpington (Gareth Bacon), for Newcastle-under-Lyme (Aaron Bell), for Bury North (James Daly), for Stoke-on-Trent Central (Jo Gideon), for Buckingham (Greg Smith), and for Aylesbury (Rob Butler). We also heard interventions from the hon. Members for Dewsbury (Mark Eastwood), for Broadland (Jerome Mayhew) and for Aberconwy (Robin Millar). Far be it from me to point out that they are all—as I am—from the 2019 intake, and therefore are the Conservative MPs with the most recent experience of the world of work. Perhaps they are getting their bids in early for when they return to the world of work in a year and a half or two years.
Improving access to flexible working will help the parents of young children, single parents, women, carers, older people and people with disabilities or health conditions. Accessing flexible work is not equal for all: a TUC poll found that one in three flexible working requests were turned down. People want to stay in work and earn a living, but too many are being forced out of the labour market. At present, one in five economically inactive people say that the reason they are economically inactive is that they are responsible for other family members. We know that many women are disproportionately affected by barriers to accessing flexible working, which are compounded by poor access to affordable childcare and to adequate parental leave.
The Bill will contribute to breaking down barriers to the workplace and will help employers to create stronger, more diverse workforces. I stress that flexible working is about not just working from home, but a fundamental change to working practices to improve the lives of all working people. The ability to work flexibly is crucial to achieving gender equality in the workplace and a fairer, growing economy to change our economy and the world of work for the better.
The Bill is a step in the right direction, but workers still need greater protections. Flexible working should not be a nice-to-have or a job perk, but an employment right. We need to see the Bill as a starting point, not the end point.
Following years of dragging their feet on their pledge to make flexible working the default, the Conservatives have agreed to back only these watered-down proposals. They pledged to include regulations on flexible working in their long-awaited employment Bill. That Bill was announced in the 2019 Queen’s Speech, and it was stated that it would
“make flexible working the default”,
but it was seemingly shelved in last year’s Queen’s Speech.
Beyond responding to this private Member’s Bill, the Government have repeatedly failed to follow through on their promises to promote flexible working. Labour is proudly committed to strengthening rights at work. Although the Government are willing to allow workers the right to request flexible working, Labour’s new deal for working people will ensure the right to secure flexible working for all workers, as default from day one, with employers required to accommodate that as far as is reasonable.
James Daly
Will the hon. Lady clarify that point? Is it the case that if, for good reason, a small or medium-sized employer cannot afford to accommodate flexible working, because of the nature of their business, a Labour Government would legislate to say that that is unlawful and that it had to, no matter the financial consequences for the business? [Interruption.]
Rachel Hopkins
The Minister chunters from a sedentary position. I beg to disagree: Labour is the friend of small businesses. If the hon. Gentleman had listened to the end of my sentence before jumping to his feet, he would have heard me say, “as far as is reasonable”. There is a better balance to be had, but there is still a requirement to have a discussion and for it to be as far as is reasonable for the business.
Gareth Bacon
I am bit confused about the hon. Lady’s response to my hon. Friend the Member for Bury North (James Daly). How, then, does Labour’s position differ from what the Bill seeks to achieve? It sounds identical.
Rachel Hopkins
This gives day one rights at work, compared with—[Interruption.] We would like to see a greater ability for employees to secure flexible working as a right from day one through discussion.
In response to the hon. Member for Bury North, I want to build on the point that the right to flexible working includes flexible hours, compressed hours, staggered hours, and flexibility around childcare and caring responsibilities. There are examples of its being a win-win-win, such as in Luton when, following cuts to budgets, the refuse operatives came up with a new working model that resulted in the same productivity in four days rather than five. It not only met their needs but supported the needs of the business and—sadly—met an objective to make savings.
We know that allowing working people to ask for flexible working is one thing, but ensuring that all workers have the opportunity to benefit is another.
We are committed to ending one-sided flexibility, so that all workers have secure employment and regular and predictable working hours, enabling them to plan their lives around a stable job. We want to ensure that businesses can truly maximise the talent of their employees by creating thriving working environments. Evidence shows that that will greatly increase recruitment and retention. Research by Working Families found that only three in 10 UK parents would be likely to apply for a job that did not list flexible working options in the advert, yet eight in 10 UK parents would be likely to apply for a job if it did list flexible working options in the advert.
Jo Gideon
I am confused as to why the hon. Lady’s position seems to be that employers would not want to provide more flexible working and need a labour law to enforce them to do so. That is not my understanding of business. I know that the Labour party claims to be the friend of business, but I am not quite sure how we can be a friend to business and assume that businesses do not have the interests of their employees at heart.
Rachel Hopkins
I take the hon. Lady’s point. However, not all employers operate as effectively as the ones that she has experience of, because many people have not had the opportunity to secure the flexible working they need and have had requests turned down.
Importantly, Labour would ensure that businesses can truly maximise the talent of their employees by creating thriving working environments. We would support small and medium-sized businesses to adapt to flexible working practices and to increase the uptake of flexible working, which is good for people and good for businesses. It would boost productivity, employee engagement and staff retention.
In closing, it is right for me to refer to my personal experience. In my career, before having the privilege of being the Member of Parliament for Luton South, I enjoyed the benefits of flexible working arrangements at first hand, both as an employee and as a manager of people. As an employee, I flexibly balanced my working hours both when studying part-time for a Masters degree as well as when I was a local councillor carrying out my duties. While working in human resources, I saw how flexible working—whether it be hours or location—can suit different people’s lives and commitments, especially women, and help to retain expertise and talent in the workplace when people’s circumstances change.
I end my remarks by reiterating that we wholeheartedly welcome the introduction of this Bill. It is a long-overdue and positive step that will help hard-working people across the country, and I am pleased that it has the Government’s support.
The Parliamentary Under-Secretary of State for Business and Trade (Kevin Hollinrake)
I thank the shadow Minister for her very positive comments at the end of her remarks. I shall pick up one or two of the other points, if I can, as I go through my remarks.
First, let me thank the hon. Member for Bolton South East (Yasmin Qureshi) for all her hard work and engagement in bringing forward this important legislation at this time. It has been a pleasure to work with her. It is always a pleasure and an honour to introduce a private Member’s Bill. I have had that opportunity twice—both were successful—in my career as a Back Bencher. I know that she will feel a great deal of pride at today’s events.
The Government have been very pleased to support the Employment Relations (Flexible Working) Bill through its various stages, and, of course, that will continue today. It has been heartening to observe the support for the Bill across the House, and I was pleased to hear that reflected in this debate.
The ability to vary the time, hours and place of work is an important element of the flexible labour market in Great Britain. Having access to flexible working arrangements enables employees to participate in the labour market in a way that suits their circumstances. Indeed, it brings people back into the workplace. Let me illustrate that point. There are more than 8 million people working part-time in the UK. For many of those people, such flexibility is a need rather than a choice.
The shadow Minister raised the fact that we want to attract more women back into the workplace, and I absolutely support that aim. I reiterate that this is one of six private Members’ Bills that the Government are supporting and those include some very important other measures, such as carer’s leave, neonatal leave, and pregnancy and return to work protections, to make sure that women feel more comfortable and protected in the workplace.
Crucially, for businesses, this Bill supports a diverse range of work arrangements, which can be key in retaining people and keeping them productive. We know that one key challenge for business is finding and retaining the right people. Crucially, the Bill provides a right to request, not a right to insist. I, too, was a little confused about Labour’s position, because the Bill provides a right to request, which is a right to be granted flexible working subject to reasonable measures; there are eight grounds on which a request could be refused. Crucially—I was pleased that my Conservative colleagues were keen to point this out—this is not a right to impose flexible working on businesses, as that would be the wrong thing to do. We know that there are many burdens on businesses at the moment, not least some of the challenges associated with the cost of living, and adding further burdens would be a mistake if they would be an imposition.
The post-implementation review of the Flexible Working Regulations 2014 found that employers have seen improvements in staff motivation and employee relations because of flexible working. That point was made clearly by the hon. Member for Bolton South East. Reduced absenteeism and lower staff turnover was also found. Research indicates that flexible working can unlock opportunities for growth and, indeed, access to the station platform, as was pointed out by my hon. Friend the Member for Buckingham (Greg Smith). It suggests that in the absence of suitable working hours or locations, groups of people are not employed, have retired early or are working below their potential. Some 500,000 people of working age have left the workplace since the start of the pandemic and it is crucial that we bring them back into the workplace, as was mentioned by the hon. Member for Bolton South East and by my hon. Friend the Member for Orpington (Gareth Bacon). He rightly pointed out that the costs and burdens of these measures are relatively limited, at about £2 million. It is always right to look at the cost to business of these kinds of measures.
These measures are supported by a recent Office for National Statistics study, which showed flexible working hours to be the most important factor in determining whether older workers who have left the workplace since the start of the pandemic will return to the labour market. Again, that point was made succinctly by my hon. Friends the Members for Aylesbury (Rob Butler) and for Newcastle-under-Lyme (Aaron Bell), who talked about a lady of 82 returning to the workplace, which was very impressive. Sadly, my mum passed away when she was 84, but she was proud to work every single day until then. He also talked about the stores of wisdom of people who have left the workplace but whom we are trying to attract back into it, and I could not agree more with that position.
From running my own business, I know that accommodating a particular working pattern can often be the difference between losing and retaining a valued member of staff. The right to request flexible working is very good enabling legislation. It acknowledges that there is no one-size-fits-all approach to working arrangements, as was pointed out by my hon. Friend the Member for Stoke-on-Trent Central (Jo Gideon). It is designed to help employees and employers find arrangements that work for both sides, and it is functioning well. The post-implementation review of the legislation found that in 83% of workplaces where a request is made the request is granted, with only 9% of workplaces reporting turning down such a request. That is why our 2019 manifesto committed to consult on ways to improve access to flexible working. That consultation was primarily focused on adjustments to the right to request flexible working. We published our response to that consultation at the end of last year and I am pleased that the measures in this Bill reflect what we set out in our response; most importantly, this becomes a day one right. I wish to pick up on the comments made by my hon. Friend the Member for Watford (Dean Russell), who did such fine work in Committee and as my predecessor in this role. That day one right did not come as a result of the amendment, which was withdrawn in Committee; we made the commitment, in consultation, that that was our intention and it was what we confirmed later that week.
These important changes will facilitate better access to all forms of flexible working, whether it relates to when, where or how people work. My hon. Friend the Member for Buckingham and the shadow Minister both mentioned the importance of childcare to getting people back to work. One note of caution, of course, is that childcare is very expensive for the taxpayer, around £3.5 billion a year. We would all like to expand childcare provision, but all hon. Members, certainly on my side of the political divide, are keen to ensure that taxpayers’ money is spent wisely.
Greg Smith
I reassure the Minister that my point was less about needing more taxpayer subsidy than about ensuring that all employers are aware of the needs of working parents so that their businesses and enterprises are able to gain their skillset, for their own good and that of the wider economy, by allowing them to work flexible hours.
Kevin Hollinrake
My hon. Friend makes a very good point, and I agree entirely. As an employer, we were very keen to get people back to the workplace who had gone off on maternity leave, and we would be as flexible as possible in facilitating that. I think all good employers do, as indicated by the fact that 83% of employers agree to requests for flexible working.
The consultation requirements will mean that employers and employees are encouraged to have a broad conversation about what flexible working arrangements may be workable. This will avoid the scenario in which an employer rejects a specific request out of hand, as my hon. Friend the Member for Watford explained very well.
My hon. Friend the Member for Bury North (James Daly) asked what “consultation” means, which is a good question. ACAS will update its code of practice to make sure that employers are clear on the requirements. The current code of practice requires only a discussion, which could be over the telephone or face to face, and the update will explain what it means in practice.
Allowing employees to make two statutory requests in 12 months will mean that legislation is better able to respond to changing needs and requirements; reducing the timeframe within which employers must respond to requests will speed up the whole process; and removing the requirement for an employee to set out the impact of their requested change will level the playing field and remove red tape from the process.
I thank my predecessors, my hon. Friends the Members for Watford, for Loughborough (Jane Hunt) and for Sutton and Cheam (Paul Scully). I also thank the civil servants in my private office who do such a fine job and who have done so much legislation in recent weeks and months with such great care and expertise: Matthew Wootton, Tony Mulcahy, Roxana Bakharia, Jayne McCann, Ana Pollard, Bryan Halka, Dan Spillman and Cora Sweet.
Supporting this Bill is in line with the Government’s ongoing commitment to building a strong and flexible labour market that supports participation and economic growth. Our 2019 Conservative manifesto committed to encouraging flexible working, and this Bill is a positive development for individuals and businesses alike. I wholly support the passage of this Bill as it moves to the other place, and I commend it to the House.
Yasmin Qureshi
With the leave of the House, I am truly grateful to all parliamentary colleagues who have come to the House today and who were here on Second Reading, and particularly those who agreed to sit on the Public Bill Committee. I genuinely felt humbled when I saw them all turn up in Committee, because they did not have to do so. There was no three-line Whip, so they chose to be there. I am truly grateful to all of them for attending.
Before I conclude, I would like to tell the House a little story. I have been a Member since 2010, and every year I used to put my name forward for the ballot. Last year, when we were sent the notice, I thought, “I’ve never been successful in the previous 11 years, so why should I even bother?” It just so happened—I do not know why—that on that particular day I kept coming across my hon. Friend the Member for Easington (Grahame Morris), and every time he saw me, he asked, “Have you put your name in the ballot box?”, and I said no. After the third reminder, I went and put my name in, and I was successful. I suppose that is a lesson for all Back Benchers: it is possible for them to get their own Bill.
As a Front Bencher, I have been involved in Public Bills, but this is the first time I have dealt with my own Bill. It was not only a pleasure but a steep learning curve as I discovered how to take the Bill through. Of course, it is the first time I have had the chance to work directly with Ministers and civil servants in the Department. I thank the Ministers I have been working with: the hon. Members for Sutton and Cheam (Paul Scully), for Loughborough (Jane Hunt), for Watford (Dean Russell) and for Thirsk and Malton (Kevin Hollinrake). I also pay enormous tribute to the hon. Member for Castle Point (Rebecca Harris), the lovely Whip, who has been instrumental in guiding and helping me, so I thank her for that.
I thank all hon. Members for their contributions, including the hon. Member for Watford, who was one of the Ministers, and the hon. Members for Orpington (Gareth Bacon), for Newcastle-under-Lyme (Aaron Bell), for Bury North (James Daly), for Stoke-on-Trent Central (Jo Gideon), for Buckingham (Greg Smith) and for Aylesbury (Rob Butler). I also thank my hon. Friend the Member for Luton South (Rachel Hopkins) for responding on behalf of the Labour party, and the Minister for signalling the Government’s support for the Bill.
I am glad that Members on both sides of the House agree with the Bill. It is an important piece of legislation that will have an impact on millions of people. I commend it to the House. I am glad to say that the noble Baroness Taylor has agreed to sponsor it in the House of Lords. I wish it a speedy journey.
Question put and agreed to.
Bill accordingly read the Third time and passed.
Employment Relations (Flexible Working) Bill
Monday 27th February 2023
(1 year, 9 months ago)
Lords ChamberRead Full debate Employment Relations (Flexible Working) Act 2023 Read Hansard Text Amendment Paper: Public Bill Committee Amendments as at 7 December 2022 - (7 Dec 2022)
Employment Relations (Flexible Working) Bill
Friday 19th May 2023
(1 year, 7 months ago)
Lords ChamberRead Full debate Employment Relations (Flexible Working) Act 2023 Read Hansard Text Watch Debate Read Debate Ministerial Extracts Amendment Paper: Public Bill Committee Amendments as at 7 December 2022 - (7 Dec 2022)
Baroness Taylor of Bolton
That the Bill be now read a second time.
Baroness Taylor of Bolton (Lab)
My Lords, this is a modest but quite significant Bill that will take us a step closer to introducing the important changes that are necessary, I believe, for people to have the right to request flexible working. I thank my honourable friend Yasmin Qureshi, who is the Member of Parliament for Bolton South East—the Bolton connection will not be missed by some people there. I am very glad that she was fortunate enough to have the opportunity to introduce this piece of legislation.
Last month marked the 20th anniversary of the original legislation on flexible working—2003 does not seem that long ago in some respects. Some progress has been made but, when the legislation was first introduced, it was rather narrow in its effects. It was limited to parents, guardians and people who had care of young or disabled children. The legislation has evolved since then, and I think that most people acknowledge that there is a parental need for flexible working arrangements across a wide group of people.
It is right that, 20 years on, we consider where we should be now and the kind of approach that we should be taking. The right to ask for flexible working should be an entitlement for all employees, regardless of their personal characteristics. There was an interesting briefing from the MS Society, for example, which showed how flexible working can help quite a few sufferers from MS, and I am sure that that is the case for those with other illnesses as well.
The current situation regarding entitlement is that, since 2014, all employees with 26 weeks’ continuous service have been able to make one statutory application per year to change their working hours, work pattern and work location. I hope that the Minister might deal with that point about 26 weeks; many people think that this entitlement should start from day one of employment. I know that Ministers have said things on other occasions, so perhaps the Minister can repeat some assurances that the Government will be moving in this direction in the future.
At the moment, when anyone submits a request for flexible working, they must explain to the employer how the change would affect them and how it might be dealt with. That is quite a surprising and burdensome stipulation. Employers must properly consider any requests that they receive. The progress that we have been making in our thinking about this leads us to need further changes to this legislation. I am glad that the Minister in the other place acknowledged general support for this legislation. The departmental officials have been very helpful in terms of briefing and making sure that the legislation is in order.
There are four measures in the Bill. The first will introduce a duty on employers to consult their employees before rejecting any flexible working request. This measure will give both parties the opportunity to explore alternatives that might be applied before the door is closed and before a pre-emptive decision has been made. There are employers who adopt this kind of approach already, but it is not universal. It is certainly best practice, but it is better that we make a change here so we can ensure that employers do not have a knee-jerk reaction to any request of this kind.
The second provision allows not just one but two requests in any 12-month period. I think this will make quite a difference to a lot of people because caring responsibilities can change very quickly, illnesses can develop very quickly, and other factors might come into a person’s life that mean that flexible working becomes a very desirable feature. The legislative framework needs to be sufficiently flexible to allow these realities to be taken into account and amending the Bill in this way will ensure that the right is more responsive to an individual’s needs and we can therefore avoid negative outcomes, such as when an individual feels that if they cannot have flexible working then they may have to finish working altogether.
The third measure is about getting a decision within two months. At the moment, a decision is required within three months. Two months may not seem a significant change, but I think it is. People’s circumstances can change very quickly and, if you have caring responsibilities suddenly thrust upon you, to have a quick decision about your employment situation might be very significant indeed. I think it will really help many people.
Perhaps the most important aspect of the Bill is the final measure, which will remove the requirement for employees to have to anticipate what the consequences of the change will be. It will not always be the situation that the employee has the information necessary to provide that, and this measure changes the balance there. It is quite an important situation to remedy because people who have difficulty making written submissions, or difficulty knowing how the totality of a business works, could easily be at a disadvantage in the present situation.
This modest package of measures will help secure more flexible working, will meet the needs of individuals and businesses, and will create a situation where there is more constructive dialogue between employee and employer. This matters, and it could make a great difference. A recent ONS study showed that, if a person had flexible working opportunities, it really made a difference to whether they were able to stay in the labour market. The measures will also help employers who want to retain staff and retain skills. This is a situation where, generally, everybody will be helped, and I hope that those who are interested in this will give the Bill their support. I beg to move.
Baroness Bottomley of Nettlestone (Con)
My Lords, I add my congratulations to the noble Baroness and the Bolton mafia. I studied carefully the contribution of the MP for Bolton South East and I commend her work. It is also a delight to hear the warm words of praise for the Minister, Kevin Hollinrake, and the officials. Too often, the public have the perception that politicians are locked in party-political tribes, arguing fiercely and rather negatively, alienated from Ministers and civil servants. This is a splendid case study of collaborative, constructive work. I am delighted to support it and very much congratulate all those involved.
The Bill comes at a timely moment. We have a real productivity paradox and dilemma in this country: we have to increase growth and we have to promote economic activity, but something like 500,000 people of working age have left the workplace since the start of the pandemic. It is essential that we understand why this is and find a way to bring back as many as possible. We need a flourishing, vibrant workforce. The pandemic had the most cataclysmic effect on working practices and people’s attitudes to work, in a way that none of us could have foreseen. Who would have thought that whole industries could work from home—banks, building societies and so on? The technology was there, but this gave a kick-start to people adopting it. We are left with a situation where maybe some people do not really want to return to the workplace, and this in itself is a quandary.
We know that many long-term health problems are around mental health. I cannot help but think that this may be associated with people working in isolated environments and not coming to the workplace for the companionship, the challenge and the debate, and for the fun and meaning that work provides for so many people. Having flexible working is surely a way forward, and we, government and enlightened employers should should welcome this. The best and most committed talent across industry, commerce and the public sector is needed.
Interestingly, when Stanford University did some research the other day, Nick Bloom, an economist, showed that hybrid models had no effect on productivity but boosted morale and retention. Increasing motivation is part of retention, and that can result in savings in recruitment costs, as was asserted by the impact assessment. That reminds me that I should declare my interest of 23 years in senior level executive search across all sectors of the economy. I have also sat on various boards.
Flexibility enhances employee engagement and well-being. As I have said, today’s employees have different expectations. The idea that you would go to the office and sit there from eight in the morning till six in the evening is not something that many young people tolerate with great comfort these days. People look for purpose in work, they want a work-life balance and the ability to support family flexibly, including elderly dependents. I have always said that, if you can provide a flexible package, particularly for a woman when her family is young, she will stay with you in the long term. That has been my experience: provide flexible working and you buy in loyalty. Of course, most of us in this place have very flexible arrangements, as do our offices and staff, so it is difficult to understand that there are still people in working environments that lack any comparable flexibility.
How pleased I am that we are debating this following the Carer’s Leave Bill, which precisely addresses the same issue from a different angle. For many years, I worked with the late Lady Seear, a Liberal Peeress, as her vice-chairman at Carers UK. At that time, people did not know what a carer was—they said, “Do you come from the careers organisation?” People were so unfamiliar with what a carer was. The bravest, boldest and most important step that the late Lady Seear and I ever took was to appoint a bright young woman, whom nobody had ever heard of, to become the chief executive. Of course, this was somebody we now know as our friend the noble Baroness, Lady Pitkeathley, and look what has happened during those years.
Just looking at the boardroom, over the years there have been different views about governance—we must have an audit committee, a remuneration committee and a risk committee. But who would have anticipated that, on a board, there is now a requirement for a non-executive director at board level responsible for employee engagement? It is a board matter. This is a transformation in the way in which the workforce is regarded. I have seen the way in which different people interpret their employee engagement responsibilities, but certainly flexible working must be part and parcel of that.
The Chartered Institute of Personnel and Development, which I congratulate on having produced some extremely helpful briefing, points out that there are still negative attitudes in many workplaces from leaders and line managers towards flexible working. I think that this is reactionary—“It was not like that in our day: we had to work all the hours that God gave and so should people today”. Or they feel uncertain and unclear about how flexible working would work out in practice, which is why this requirement for the employer to consult the employee before rejecting a request for flexible working is so important, because it forces them to say how it would work in practice. But I agree with the noble Baroness that removing the employee’s requirement to have to articulate what the effect on the employer would be is completely right—this is the other way around.
The development of women in the workplace that we have seen has very much been about creating flexible employment. Every mentoring and training session to which I have contributed is about trying to help women to have flexible work packages to help them to progress—and they can move in and out of commitments as the years go by—and so also for others with diverse backgrounds, not only gender but ethnicity and disabilities. I see the noble Lord, Lord Holmes, is going to speak later, and he may have a valuable contribution in that regard.
We must embrace flexible working arrangements to prevent people from abandoning the workforce altogether. Once people have left the workforce, it is all the harder to entice them back. It has been estimated that 87% of people want to work flexibly, but only 11% of jobs are advertised as being flexible. A year ago, the Chartered Institute of Personnel and Development suggested that competition for talent in our country remains fierce. Up to 45% of employers reported having vacancies that are hard to fill. That is certainly borne out by wider commentary and observation, and certainly by my professional activity. If it is hard to fill vacancies, the onus must be on employers to provide as flexible an arrangement as possible and to listen to the expectations of staff, who will otherwise simply walk in the opposite direction.
As the noble Baroness said, there has been substantial progress. Since 2014, all employees have had the right to request flexible working after 26 weeks of service. This Bill, on the experience of earlier legislation, takes those opportunities further forward in allowing employees to request flexible working from day one, with two requests a year, reducing the decision time from three to two months. Reducing uncertainty is enormously important for people trying to organise their work-life balance. As I have said, flexibility can reduce staff turnover, enabling individuals best to cope with long-term health conditions and caring responsibilities. Nine out of 10 employees considered flexible working to be their key motivator—10% more than those who said that financial incentives motivated them most: 10% fewer say that it is financial incentives rather than flexible working. It is essential that employers listen.
As a former Health Secretary, I take a particular interest in health issues. Only yesterday there was a useful Question, which many will have heard, about economic inactivity and health. The Health Foundation has produced a valuable paper in this regard, as has the House of Commons Library. Economic inactivity is extremely serious. As I have said, much of this is to do with mental health; it is also about musculoskeletal conditions. But if flexible working enables people with long-term health conditions, as well as those with caring responsibilities and other requirements, to stay in the workforce, that must be valuable.
Rising economic inactivity occurred in all the G7 nations after lockdown restrictions were introduced, but this has largely been restored in most countries. In the UK, it is an ongoing problem, and that is what we have to address. While long-term sickness accounted for 28% of total inactivity in January this year, it was 23% in 2019. This is a worrying and serious situation, and I believe that the Government are doing all that they can to help people to return to work. Overcoming barriers is crucially important.
Facilitating flexible working has a central part to play. Sickness is not the only reason for people no longer engaging in the workforce; there are many others. Work matters to people; it gives meaning to life, gives enjoyment and creates wealth, while giving self-esteem. But people today have personal and family complications, involving their health and other matters. At the last election, the Conservative Party manifesto made a commitment to encourage flexible working, and I am delighted to see this contribution as committing to that manifesto promise today. I strongly support this Bill.
Lord Davies of Brixton (Lab)
My Lords, I also strongly support this Bill and very much thank my noble friend Lady Taylor of Bolton for bringing it to this House. At the risk of sounding a slightly discordant note, I think it is a shame that a series of measures affecting employment law has been brought bit by bit through the legislative process, when the Government gave a commitment to employment law. It was expected to be in this Session’s Queen’s Speech, but it disappeared. Perhaps the Minister would be able to say something about whether we are actually going to get this overall employment law. I would welcome even more what I hope will sooner or later be a Labour Government’s employment law, when we can address all these issues.
Flexible working is popular among workers—figures suggest 80% of workers support the opportunity to have flexible working—and employers doubtless see the benefits as well in establishing a more diverse workforce, with the inherent flexibility of employment. It is concerning that, according to figures from the TUC, three in 10 requests for flexible working under the existing arrangements are rejected, but it is to be hoped that the requirement to consult will improve those figures. Perhaps the Minister could just say a little bit about what determines consultation. It is in the Bill, but ACAS has clear guidance about what consultation consists of, and I hope that the requirement will be enforceable and not just a token.
The one thing that I have a concern about—and it was discussed in the Common’s Committee when it considered the Bill—is the issue of making it plain when you are seeking and applying for jobs what the opportunities for flexible working are. There was a suggestion that job advertisements would have to include something about flexible working. That proposal was opposed by the Government, and the issue was not pushed, and I am certainly not intending to delay the progress of the Bill on those grounds in this House.
However, it is important to understand that it is a very brave applicant for a job who raises the issue of flexible working at an interview—you just do not do it. Really, there is an obligation on employers to indicate clearly to new hires what their policy on flexible working is, whether it is in the Bill or a question of good practice. Perhaps the department could say something specifically to encourage more openness about what opportunities there are for flexible working. It is a key element of the issue dealt with by this legislation, and the absence of any legislative requirement is a gap. Perhaps the Minister could say something about how the Government see that issue.
Finally, it is worth emphasising that the two key factors that would encourage more people to return to work are flexible working hours and working from home—both of which arise in and will be facilitated by the Bill.
So, the Bill is very much to be welcomed, and I thank my noble friend for it. I thank the Government for their support, but we need a more comprehensive approach on labour law. I look forward to that, in one means or another, over the next couple of years.
Lord Holmes of Richmond (Con)
My Lords, it is a pleasure to take part in this Second Reading debate. I declare my technology interests as set out in the register. I congratulate the Boltonians in this House and another place on bringing this important Bill to Parliament. Similarly, I congratulate Kevin Hollinrake, the officials and all the team who have worked so hard to get it to this stage. I support the Bill. It does precisely what a Private Member’s Bill should do: it is simple, straightforward, clear, concise and will have such a positive benefit once it comes swiftly into statute.
We have over a million vacancies in the labour market, and well over 500,000 people who left work during Covid have not returned. The question for us this morning is, quite simply: flexible working—why would you not? Covid was something which very few generations will ever live through. It was a once-in-a-century—if that—cataclysmic set of circumstances, and for work it was similarly so. Coming out of that, we must take all of that experience into how we think about work and structure it, and how we fundamentally underline the essential truth of work and employment: that it is a relationship. It should never be seen as simply transactional; it is relational. That is why there is a lot of writing, understandably, around hybrid working and lots for all of us to think about. One thing must be clear to all of us, coming out of Covid: work or employment cannot mean five days a week, 8 am until 6 pm, in the office—but nor can it mean five days a week at home on Teams, on your tod. That is not what work is about. It is about relationships.
When we consider this whole question of flexible work, ultimately, what are we talking about? We are talking about talent. Would not any organisation want to try to secure the brightest, best talent for any role? Research shows that where flexible work is mentioned in job ads, 30% more applications come in. It makes sense. It is not about where work takes place; it is more about how we experience work, what it feels like, how it is structured and, fundamentally, how it is made human. That has to be one of the greatest things we can take from Covid: how to make work more human.
To my mind, the greatest champion of flexible working is probably still the great Dame Stephanie Shirley. At the time, she saw an opportunity in having female workers at home who would be able to contribute so fabulously to the technology business she was building while being able to run their family lives as well. That is still the most sensational example of the strength that flexible working can bring, both to the individual and to the business, if understood and gone about as part of a respectful conversation. The Bill talks about the consultation. Really, that is a respectful conversation between employer and employee, with no preconceptions being brought to bear before that conversation around the request takes place.
For disabled people, flexible working would make an immediate difference, because things change. Circumstances change. Many disabled people successfully manage fluctuating conditions, but flexible working would just be so helpful in the face of that. It would not mean that disabled people would be doing less or being given a free pass—not a bit of it. It is more about being able to fully contribute and give of their talents. Again, why would any business pay a 100% salary to somebody but have a workplace and practices, policies and procedures which enable that person to be only 70%, 60%, 50% or 40% themselves in that working environment? It just makes no economic, social or psychological sense.
In 2018, I was asked to undertake an investigation—a review—into public appointments and how we could make them more open for disabled talents. So many of the suggestions that came up in the sessions, conversations and round tables I had with disabled people up and down the country were about flexible working or a flexible approach. When I published the report in 2018, at times it was almost like I was speaking a strange language to some audiences. I hope that Covid has changed that for the better, and that flexible working is surely now more the norm.
When looking at other pieces of research out there—understandably, there is plenty of it—we see that where employees feel that they have more control, their stress is less and their feeling of connection to work and to their employer is increased. To that I say: flexible working. When people say that they feel they have a friend or a connection at work, productivity goes up, attrition goes down, and benefits for employee and employer alike are raised. Flexible working: why would you not?
While we have my noble friend the Minister on the subject of employment, it would be wrong of me not to give a slight note on unpaid internships, which are connected to this subject. As we are bringing a number of these small, discrete, specific pieces of employment relations legislation through, I ask my noble friend: is it not high time to bring forward a Bill to ban unpaid internships, particularly for our young people who are currently asked to give of their time for free for months? That cannot be right; it cannot be part of the society and economy that we want to build and be part of in this country.
Finally, the algorithmic elephant that is all too often in the room in so many of our discussions: AI, machine learning, LLM—whatever we choose to call it—is having a profound effect already, not least on work and employment. If we just look at this morning’s newspapers, we see the headlines screaming out: “Bloodbath of AI impact on employment”, with the BT decision yesterday. Should we accept that prophecy of doom: the sense that the bots are coming, our jobs are going, we are all off to hell and we are not even sure there is a handcart? I do not think so. We should be neither Panglossian nor terrified about the prospects, we should be evidence-based and rationally optimistic about what we as humans, individually and collectively, can do alongside AI and all the new technologies, which are in our human hands. They are incredibly powerful and certainly could do a lot of harm and damage, not least to the labour market, but we should conceive of them, in essence, as tools, incredibly powerful tools but tools in our human hands. If we do not make a success of AI and all the new technologies in our human hands, that will be a human failure on our part, not a failure of the technologies.
The opportunity is clear. If we get it right, we can have the augmented worker. The critical point for all of us to focus on is the transition—as some parts of the labour market get hollowed out, how we intervene to support and help to transition those individuals and communities to the new opportunities that I believe will come through. Transition, transition, transition is where government should be focused if we are to make a success of AI and all the other new technologies in our human hands.
I support this Private Member’s Bill: it is simple, straightforward, clear and concise. Flexible working is not for disabled people, although it is of great benefit to us; it is not for carers, although it is of great benefit to us. Flexible working is a benefit to all people at some stage.
Lord Browne of Ladyton (Lab)
My Lords, it is a particular pleasure to follow the noble Lord, Lord Holmes of Richmond. Once again, I am impressed by his ability to translate his lived experience into persuasive rhetoric in your Lordships’ House. It is a distinct privilege that we regularly have the opportunity to hear from him on areas in which, sad to say, there are fewer people than there ought to be in your Lordships’ House who can speak with that lived experience.
It is also a particular pleasure to speak in support of this Bill, and I commend and congratulate my noble friend Lady Taylor on proposing it and introducing it with her characteristically informed and persuasive eloquence. While I am at it, we should recognise her Bolton colleague, my honourable friend Yasmin Qureshi, for her hard work proposing and sponsoring the Bill through the other place. From my reading of the debate at the various stages of the Bill in the other place, she was 100% persuasive. The Bill attracted support from all parts of that House and has been delivered to us in good condition.
As others have said, and as was said repeatedly in the Bill’s various stages in the other place, the Bill is not an attempt to change workplace culture but to give legislative force to changes that have occurred organically. In 2016, less than 10% of jobs were considered flexible. Since then, we have seen a 566% increase, with 58% of UK businesses now offering flexible working in some form. The Bill embeds this cultural shift into law. As we await the long-promised but yet to be seen government employment legislation in Bill form, perhaps we should thank Labour Bolton for giving us this opportunity to modernise at least this part of the labour law in the meantime.
Clause 1 is extremely welcome. It transfers greater agency to the employee and ensures that flexible working is seen as a right, rather than a favour that can be airily granted or refused at the whim of the employer. Despite the efforts of some to caricature flexible working as a charter for middle-class idleness, with stories of senior managers working from their Pelotons, it is something which is most important for those who are seeking to balance employment with very real challenges and responsibilities in their personal lives. It is particularly important for those who are neurodivergent, for those who have responsibilities as carers or as parents of young children and, as we have heard, for those who are disabled.
Before plunging into an analysis of any piece of legislation, I believe it is worth asking the most fundamental questions: is it necessary, does it engage a real as opposed to an imagined problem, and will its provisions do so effectively? I believe the answer to all three is yes. As your Lordships’ House will know, since 2014, all employees have had the legal right to request flexible working, but only 30% of those requests were accepted in the last year for which figures are available, while flexitime was still unavailable for almost 60% of UK employees. Given the need to tempt those who have opted in significant numbers for early retirement back into the workforce, embedding the right to flexible working will be critical.
In thinking about where the inequities in the current system lie, as well as strengthening the right to request flexible working for parents, carers and those suffering with a disability, there is also a need to address the problem of low pay. In the 2023 Flex for Life report, the researchers outline the current state of flexible working in Scotland. They found that while 51% of Scottish workers who earn less than £20,000 work flexibly, that figure is 80% for those who earn more than £50,000. One can adduce apparently obvious reasons for this—that lower-paid workers are more likely to work in sectors where flexibility is more difficult, such as hospitality and manufacturing—but the research shows this imbalance to be more deeply entrenched. This disparity is, in fact, true across all sectors. To quote the report directly:
“Frontline or not, the higher earners always have significantly more flexibility than lower earners”.
That is something we should think about in further debates on this subject and as we monitor the effect of this Bill once it receives Royal Assent, which I am sure it will.
I shall be supporting the Bill as it progresses through your Lordships’ House. It recognises and gives legislative shape to a cultural shift that has taken place over the last few years, and it seeks to empower employees and give them greater agency. For these creditable and credible reasons, I look forward to it reaching the statute book.
Lord Palmer of Childs Hill (LD)
My Lords, I thank the noble Baroness, Lady Taylor, very much for so comprehensively introducing the Bill. We on these Benches support the Bill, which in my view should have been a government Bill in government time, it is so important. However, we welcome the Government’s support for it. As has been made clear by all previous speakers, the Bill makes provision in relation to the rights of employees and other workers to request variations in terms and conditions of employment, including working hours, times and locations. This will benefit not only the employee but the employer.
I was particularly impressed by the submissions we received on behalf of people with MS, which were mentioned in passing by the noble Baroness, Lady Taylor, and I will dwell on a bit longer. Flexible working can help people with MS better to manage their symptoms and stay in work longer. This could include later starting times, condensed hours and working from home.
People such as those with MS should have more confidence that they can work flexibly. As a legal default, everyone should have the flexible option from day one of employment. The onus should be on the employer to show that flexible working is not possible. I would appreciate the Minister’s assurance on this. We have been forced to adopt new ways of working during Covid. How can these new ways of working be embedded in our normal ways of working? If it is in any way practical, we should move to flexible working. The noble Baroness, Lady Taylor, mentioned very much that it should be in force from day one. I would like the Minister’s assurance on that. Also, when employers and employees are wondering about flexible working, they should explore the alternatives. There can be alternatives, and they should be explored.
The noble Baroness, Lady Bottomley, in a very wide-ranging speech, said that academics had said that there would be no effect on productivity. That is an important part of why some people are against flexible working—they believe it will have an effect. However, in practice the problem is almost the other way. Many people who are flexibly working, from home or in any other workplace, very often work harder than if they were working from nine to five. The problem is stopping people working in their leisure hours. The noble Lord, Lord Holmes, made an important point about interns, who can be made to work harder than if they were just a normal employee. The noble Baroness, Lady Bottomley, went to my heart when she referred to one of my mentors, Baroness Nancy Seear, a wonderful parliamentarian and person, whom I was glad to count as a friend in all my years in the Liberal Party and the Liberal Democrats.
The noble Lords, Lord Davies and Lord Holmes, spoke about consultation being important. This is not a confrontation matter, but a matter of consultation between employer, employee and those advising them. The noble Lord, Lord Holmes, spoke about how flexible the law should be, and that is really what we are talking about now. It should also be employee-led. The employer should not be leading on this, and there should be no unreasonable demands by the employers.
There is always the problem that I describe as “talking around the water cooler”. I have always thought that the real benefit of working in one place is that you can often deal with the problems by the watercooler, rather than by having formal meetings. In fact, we have moved so far from that now, because so much is done on the telephone and the computer, the internet, Zoom and whatever, that perhaps watercoolers are out of use.
Will the Government review the wider implications of home working on different groups of home workers, so that we have the best possible understanding of the economic impact of this shift in working practices? From these Benches, we heartily support the Bill. It is a move very much in the right direction and I hope that the Government will fully support it.
Baroness Blake of Leeds (Lab)
My Lords, I start by offering sincere congratulations to my noble friend Lady Taylor of Bolton on sponsoring this very important Bill, introduced by Yasmin Qureshi in the other place. I also thank her for her very clear explanation of the provisions within the Bill, and Members across the House for their very thoughtful contributions.
The Bill has Labour’s full support, and we recognise also the cross-party support. However, we still expect much greater action from the Government to enhance workers’ rights. As we have heard, the Bill will help many across the country to balance work with caring for loved ones, and the circumstances and the needs are various, as we have also heard. We know there are many statistics around this subject. I have seen estimates that at least 2.2 million employees are unable even to make requests for flexible leave. Indeed, some statistics suggest that only 11% can do so. So Labour welcomes the provisions in the Bill, which will begin to create the environment for a fairer and more equitable discussion between employers and employees about flexible working, with a very strong belief that this should be universally available.
The Bill also represents an important step towards ensuring that legislation reflects where we are as a society. We have heard a great deal about the need to take the lessons learned from Covid very seriously indeed. Remote working is one area, but there is also hybrid working, the ability for people to go to the workplace and work from home at the hours they choose, where that is possible. Surely this presents the best of both worlds for so many people, acknowledging that workers still need greater protections, and that flexible working should be an employment right, not a “nice to have” or a job perk. We need this Bill to be a very welcome starting point, not the endpoint. I was very struck by my noble friend Lady Taylor’s reflections on the needs of those such as the MS Society, and her very poignant explanation of the challenges that are faced by so many people.
As I have mentioned, in responding to this Private Member’s Bill and considering how we move forward, I have to say that it is a great disappointment that the Government have not taken the chances to bring forward comprehensive legislation in the form of an employment Bill, as was promised in the 2019 manifesto and the subsequent Queen’s Speech. I ask the Minister to reassure us of his full support for the provisions within this Bill going forward and a commitment to continuing the steps that need to be taken.
We on these Benches are of course proud to commit to strengthening rights at work. Labour’s A New Deal for Working People will ensure the right to secure flexible working for all workers, as default, from day one, with employers required to accommodate that as far as is reasonable. From my own experience, talking to employers for many years around this issue, I know that matters have been heightened by Covid and the response—but this issue goes back many years. I was very struck by the employers’ comments that, when people are seeking employment, often one of their first questions now is whether the company, or the employer, will offer flexible working conditions. This is across many sectors. It is not limited to the high-end providers.
To their credit, many employers now understand that being responsive on flexible working leads to a happier workplace and a more stable workforce. It contributes to the building of loyalty to the employer and of course is a significant factor to consider when we are looking at the very vexed issue of staff retention. We have heard that we are in a climate where too many employers are struggling to recruit and retain staff, and this must be an important consideration.
Both men and women seek flexibility in their parental duties. I welcome this and I see it in members of my own family: both parents want to share the care of their children. We also have to acknowledge that many of these thoughts are driven by the prohibitive costs of childcare, which mean that too many parents are seriously struggling to balance and juggle the needs of caring for their children with returning to the workplace.
As we have heard, too many requests are still declined. We know from the evidence that too many people do not make requests for flexible working due to the fear of the consequences. Many people are sensitive about their personal circumstances and find it difficult to be open and transparent when they are afraid of the punitive consequences of disclosing their particular needs. If three in 10 requests are declined, we also know that too few jobs are advertised with flexible working as an option; I understand it is as low as one in four. If we are serious about closing the gender and disability pay gap, and recognising the challenges to the workforce whether due to personal health needs or caring responsibilities, surely this area is crying out for change.
I confirm our support for the Bill. I also note that the Government referenced flexible working in the Spring Budget, including that they
“will work with employers to demonstrate the benefits of offering flexible working, including through initiatives such as employer pledges and offering flexible working in job adverts”.
We welcome those statements. However, can the Minister confirm how the Government plan to evidence the impact of the commitments made in the Budget, in particular those on encouraging employers to include flexible working in job adverts, widening access to flexible working and improving the quality of flexible working?
It goes without saying that I am delighted that the Bill has made such good progress and I very much look forward to the Minister’s comments giving us the reassurance that we all need and deserve to make sure that this welcome first step is adopted, with a commitment to doing far more in future.
The Minister of State, Department for Business and Trade (The Earl of Minto) (Con)
My Lords, I thank the noble Baroness, Lady Taylor, for bringing this important Bill forward for debate today. It is an honour to be here to confirm the Government’s ongoing support for the Bill, and I thank all noble Lords who have spoken on this important matter.
The ability to vary the time, hours and place of work is an important element of the flexible labour market in Great Britain. Having access to flexible working arrangements enables individuals to participate in the labour market in a way that suits their circumstances. I see this in how flexible working plays a part in a host of cross-government strategies; whether it relates to disability, childcare, health or retirement, we know how important flexible working can be in helping people to stay in work doing jobs that they enjoy. Many of these strategies seek to encourage workplace conversations. We know that, with a good discussion and a bit of flexibility, working patterns can be adapted to benefit not only individuals but employers.
For employers, supporting flexible working could ensure the retention of an experienced worker, and all the skills and experience that they contribute, or create a more diverse senior leadership team, which studies have shown leads to improved financial returns. Furthermore, one of the key challenges for businesses today is finding good people to hire.
In this context, promoting and implementing flexible working can also make the workplace more attractive to potential applicants. This is supported by research conducted by the Behavioural Insights Team, showing that offering flexible working can, as has already been said, attract up to 30% more applicants to job vacancies.
There are also more fundamental structural issues to consider. More than 8 million people in the UK work part-time, representing a quarter of the working population. We need to make sure that the labour market continues to accommodate a diverse range of working patterns to ensure that everyone can participate and that businesses have the people they need. That is why the Government are pleased to support this Private Member’s Bill, which will help to facilitate better access to all forms of flexible working, whether that relates to when, where or how people work.
As set out by the noble Baroness, Lady Taylor, the successful passage of this Bill will introduce changes to the existing right to flexible working. This right was introduced in 2003 for employed parents and carers of children under the age of six and disabled children under the age of 18. The legislation has since been amended several times, most recently in 2014 as part of the Children and Families Act. Currently, all employees with 26 weeks’ continuous service can formally apply, once in any 12-month period, for a contractual change to the hours, timing or location of work.
In September 2021 the Government published a review of the legislation, which found that in the vast majority of cases—83%—where a statutory request is made, it is accepted. The review found the framework to be functioning adequately but highlighted some relatively minor areas for improvement. In the same month, the Government launched a consultation that considered proposals in each of these areas. We published our response to that consultation at the end of last year. I am pleased to say that the measures in the Bill reflect what we set out in our response.
The new consultation requirement will mean that employees and employers are encouraged to have a broader conversation about what flexible working arrangements may be appropriate before a decision is reached, avoiding the scenario in which an employer rejects a specific request out of hand. Allowing employees to make two statutory requests every 12 months updates the legislation, so that the right-to-request entitlement operates more flexibly and can be used more frequently if people’s circumstances change. Reducing the timeframe within which employers must respond to requests, from three to two months, will simply speed up the whole process. Removing the requirement for the employee to set out the impact of the requested change removes red tape from the process and levels the playing field between employees who have been with the organisation for a shorter or longer period, as well as between those who are more or less capable of presenting a case for their application.
I will take a moment to highlight the other measure that was set out in the consultation response and will be implemented alongside the Bill to complete the package. We will remove the 26-week qualifying period and make the right to request flexible working available to all employees from the first day of their employment. This will not only encourage early conversations about the availability of flexible working but bring an estimated additional 2.2 million people into the scope of the legislation.
These changes represent a timely, sensible and proportionate update to the right to request flexible working, and reflect what many employers already do. The changes will particularly support those who need to balance their work and personal lives, and who may find it harder to participate in the labour market. From older workers to new parents to those with disabilities—the point about MS is extremely well made—or long-term health conditions, the Bill will be an important step in supporting their ability to remain and progress in work.
It is important to acknowledge that there is no one-size-fits-all approach to work arrangements and there will be times when a requested pattern is unworkable. That is why the legislation leaves space for employees and employers to work out the right arrangements for their particular circumstances, and for employers to continue to decline requests for one of the specified business reasons.
I am pleased to reassure the House that the Bill contains only a single provision concerning delegated powers: a standard power for the Secretary of State to bring the provisions of the Bill into force by commencement regulations. That approach seems to have been accepted by the Delegated Powers and Regulatory Reform Committee, which in its report published on 2 March 2023 stated simply:
“There is nothing in this private member’s Bill which we would wish to draw to the attention of the House”.
I hope that is ample reassurance for noble Lords.
Before going into specific points, I say that I hope that my speech has addressed most of the points raised. On the wider question raised by the noble Lords, Lord Davies of Brixton and Lord Browne of Ladyton, it is true that the 2019 Queen’s Speech said that there would be an employment Bill. We then went into Covid, and the Government are taking forward many of their manifesto commitments on employment law by supporting this and other Private Members’ Bills.
The noble Lord, Lord Davies of Brixton, also raised the question of what determines consultation—a very difficult thing to put your finger on, I imagine. The issue of consultation will be dealt with in guidance; we want to encourage positive conversation about what flexible working may be possible which meets the needs of both parties. But we do not want that to be a burdensome bureaucratic process on whether the consultation requirement will be enforceable.
The question of advertising is an interesting one. There is a downside to advertising, because it gives employers the opportunity to say no from the outset. We consulted on advertising in 2019. Clearly there is a strong business case for employers to do this; to some extent, why would they not? The trials with Zurich have proved that 30% more applications are received. But the view is that rather than pursuing this through legislation, we will take a voluntary approach, as set out in the business case.
I agree with almost everything that my noble friend Lord Holmes said. On the question of unpaid internships, I never did not pay an intern. It is incredibly important to make people realise early on in their working lives that if they give the time, they get properly rewarded. His point about the challenges that AI is going to present us was extremely well made. I will turn briefly to the comments of the noble Lord, Lord Browne, and I think he is absolutely right; what we are doing is turning a cultural shift into law. I think that is very good. The point about higher versus lower earners is another well-made point, and I hope that the consultation process will address that. To the noble Lord, Lord Palmer of Childs Hill, I say that I also remember the water cooler. It is very important to have a little cultural place, where people can meet and chat freely, to drive the culture of a business and the ethics in any organisation.
Supporting the Bill is in line with the Government’s ongoing commitment to build a strong and flexible labour market that supports participation and economic growth. I observed a welcome degree of cross-party co-operation and support in the other place, and I think it is a testament to the strength of our system that we can work across parties, putting aside our rivalries to deliver change which will make a real and positive impact on people’s lives. With this in mind, I look forward to continuing to work with the noble Baroness, Lady Taylor, as this Bill progresses through the House.
Baroness Taylor of Bolton (Lab)
My Lords, with the leave of the House, I thank all noble Lords who have spoken in this debate. I also thank 10 women colleagues on the Front Bench, who are showing such support for this piece of legislation. I just hope somebody is able to take a photograph of this rather unusual occurrence.
It has been a very interesting debate, and probably longer than many Private Members’ Bill debates, which shows the level of interest. I particularly thank the noble Lord, Lord Holmes, for saying that this Bill is simple, straightforward, clear and concise. If only all legislation could meet those criteria, we would all be in a much better place.
My noble friend Lord Browne suggested that we should legislate only when it was necessary, and when there was a real and significant problem. The examples given today show that the Bill is necessary, and that there are significant issues that need to be addressed. It may be modest, but it will make a big difference for a lot of people, and will help the employment situation, as well as individuals with their work/life balance.
Mention has been made today of Covid and how it has changed our approach to working relationships, with work from home or flexible working. There are lessons to be learned there. As my noble friend Lord Browne pointed out, a lot of this change has been organic and now we are having legislation which is actually almost catching up with the mood of people in the workplace who want greater flexibility.
We have had a very constructive debate. As the noble Lord, Lord Davies, and others have made clear, this is not the last word on these issues. It is a small part of what is needed; it is an important part, but other things, such as consideration of advertising and the commitment that the Minister has given about day-one entitlements, are things we will come back to and will want to address in the future. I thank all Members for their contributions; I thank the Minister for his commitment to support this, and all those who have been involved, including his Bill team who, as I said earlier, have been extremely helpful. It is not the last word on these issues, but is a step forward. I therefore invite all Members to support this piece of legislation.
Employment Relations (Flexible Working) Bill
Tuesday 13th June 2023
(1 year, 6 months ago)
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Baroness Taylor of Bolton
That the order of commitment be discharged.
Baroness Taylor of Bolton (Lab)
My Lords, I understand that no amendments have been set down to this Bill and that no noble Lord has indicated a wish to move a manuscript amendment or to speak in Committee. Unless, therefore, any noble Lord objects, I beg to move that the order of commitment be discharged.
Employment Relations (Flexible Working) Bill
Friday 14th July 2023
(1 year, 5 months ago)
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Baroness Taylor of Bolton (Lab)
My Lords, I thank all those who have been involved in the progress of this Bill and in getting us to this stage. Most of all, I thank my honourable friend the Member for Bolton South East, Yasmin Qureshi. At Second Reading, one Member of this House described the Bill as being put forward by the “Bolton mafia”. We not only plead guilty but are very flattered by that description—we will wear it well. I also thank Ministers in the department, who have been extremely helpful on the progress of this Bill in both Houses, and the civil servants behind them, who have prepared assiduously detailed briefings. We are all very grateful for the help that we have had.
This is a very modest Bill—most Private Members’ Bills that succeed must have a certain degree of modesty—but that does not mean it is insignificant. It will make significant changes that will be of real benefit to quite a few people. We spoke at Second Reading of the changes that have taken place in work patterns. This Bill allows all employees to have more rights in respect of their need for flexible working. Flexible working has increased a lot in recent years, but just yesterday the British Chambers of Commerce pointed out in its press release that there are significant disparities in who can get it and which sectors have been responsive so far. The BCC and trade unions have welcomed this Bill, and many pressure groups that have followed the progress of this issue have made positive contributions.
The Bill will help make flexible working more available to more people and allow people in a broader range of circumstances to be able to contribute fully to our economy; it must benefit everyone. It is a small but significant measure, and I am very pleased and grateful for all the support the House has given to its passage.
The Minister of State, Department for Business and Trade (The Earl of Minto) (Con)
My Lords, I thank the noble Baroness, Lady Taylor, for bringing the Employment Relations (Flexible Working) Bill through the House. The Government have been pleased to support the Bill throughout all its stages, in line with our 2019 manifesto, which committed to promote flexible working. I am pleased to continue that support today at Third Reading and am very grateful for the cross-party support that the Bill has received.
The successful passage of this Bill will introduce changes to the existing right to request flexible working, which will be made alongside the Government’s commitment to make the right to request flexible working available from the first day of employment. The changes represent a timely, sensible and proportionate update to the right to request flexible working and reflect what many employers already do. They will particularly support those who need to balance their work and personal lives and may as a result find it harder to participate in the labour market. From older workers to new parents and those with disabilities or long-term health conditions, this Bill will be an important step in supporting their ability to remain and progress in work.
I am very pleased to support the Employment Relations (Flexible Working) Bill. It is a meaningful step in the right direction to help employers and employees agree work arrangements that fit with life. I thank the noble Baroness, Lady Taylor, for her sponsorship of the Bill as it has moved through this House, and the honourable Member Yasmin Qureshi and my honourable friend Kevin Hollinrake for their sponsorship in the other place and hard work in putting this Bill forward.
Baroness Blake of Leeds (Lab)
My Lords, I briefly add my thanks for the smooth passage of this Bill. I pay tribute to the Bolton mafia and, in particular, my noble friend Lady Taylor of Bolton. I also thank the Minister for his support going forward.
We were all struck by the moving testimonies at Second Reading; I think it was the noble Lord, Lord Holmes, who said, “Flexible working—why wouldn’t you?” That absolutely summed it up. A cultural shift is happening. As we know, many companies are already on board and getting great benefit from a more flexible approach to their workforce.
I cannot let this moment pass without referencing our culture; I note that at Second Reading there were 10 noble Baronesses on the Front Bench.
I say an enormous thank you to everyone who has assisted with this in both Houses and look forward to the next steps that will follow once the Bill is enacted.
Royal Assent
Thursday 20th July 2023
(1 year, 5 months ago)
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