Agricultural Wages Board

Debate between Lord Hanson of Flint and Yasmin Qureshi

Wednesday 24th April 2013 Commons Chamber

[Mr Hanson]

If the hon. Gentleman will let me develop my argument, he will see that this is not just about pay. He was not here at the time, but the Secretary of State kept me up for 36 hours so he could vote against the minimum wage. He did not do that so that wages could rise; he did it so that wages would not rise. My worry about the abolition of the AWB is based on exactly the same principle: it will remove a floor that protects the work force in my constituency.

As I have said, my constituency depends on agriculture and more than 11% of my constituents work in agriculture. Courses in horticulture and agriculture at Northop college bring in people to train in agriculture. These are key issues. Although Government Members may view minimum rates of pay, overtime, holiday entitlement, sick pay, rates of pay for young workers, compassionate leave, rest breaks, maximum deductions for tied housing, allowances for keeping working dogs and payment of on-call and night allowances as issues of regulation, to my constituents they are bread and butter matters that impact on their lives and they want their representative and others who represent rural areas in Parliament to stand up and speak on their behalf. They are not idle issues.

I am getting a bit long in the tooth. I have been here for 21 years and the first Bill Committee I sat on was for the 1992 employment Bill that abolished every single wages board apart from the AWB. That Bill was taken through this House by the then Member for Stirling, the now noble Lord Forsyth, who is not known for his left leanings, but who decided to maintain the AWB because he recognised, even at that time, that it was crucial for conditions as well as wages.

The national minimum wage has been mentioned. I was very proud to vote for the national minimum wage and am grateful that my right hon. Friend the Member for Derby South (Margaret Beckett) is here. It was one of the greatest achievements of the Labour Government. The then Opposition kept this House up late into the evening because they did not support it. Why should we trust a party that does not support the national minimum wage when it says that this measure will maintain or improve pay and conditions?

[Yasmin Qureshi]

Is it not right that over the past 15 or 20 years, the Conservative party has always taken away working people’s rights and benefits when in government?

[Mr Hanson]

My main worry is that the assessment of the Welsh Assembly that some £26 million to £28 million will be taken out of agricultural wages in Wales over the next 10 years will prove to be correct and that rural poverty will increase. That is money that will not be spent in the shops of Mold, Holywell and Flint in my constituency, that will not help to sustain the rural economy in my constituency, and that will not be spent in the rural post offices, pubs and communities of my constituency. That money will be lost to the area. This measure will be damaging for the 13,829 people across Wales who work in the agricultural sector and who depend on the wages board.

As I have mentioned, the Farmers Union of Wales, which, with respect to the hon. Member for Carmarthen West and South Pembrokeshire (Simon Hart), is not affiliated to the Labour party, has said on many occasions that it opposes the moves by the UK Government to abolish the Agricultural Wages Board. It stated:

“The Union has always supported the AWB and remains concerned that unless there are systems in place to protect payments to agricultural workers, the industry will not attract the highly skilled individuals it needs to thrive”.

It went on to say:

“As many farms in Wales run with relatively few staff, the AWB is considered an important means of avoiding potential conflict and lengthy negotiations with individual staff”.

It also said:

“The economic climate within the agricultural industry has made it a less attractive option for young people, and rewarding skills, qualifications, and levels of responsibility is a vital means of persuading high calibre people to remain or enter into the industry.”

As my hon. Friend the Member for North West Durham (Pat Glass) said, the Labour-controlled National Assembly for Wales was not consulted about the abolition of the AWB, as it should have been by statute. The Government failed to do that and passed the measure through the back door in a Bill that did not require consultation. The Secretary of State knows that he should have consulted the National Assembly. These are important matters for my colleagues there. As has been mentioned, the National Assembly may outline shortly its plans to keep the minimum wages and conditions set by the Agricultural Wages Board in a Welsh context. However, that will involve bureaucracy and cost. It would have been far better, particularly from a Unionist party, if the conditions had been maintained across England and Wales.

As I mentioned in an intervention, the Secretary of State represents a border area. His constituency of North Shropshire is not far from mine; his borders Wales and mine borders England. If there are different terms and conditions on either side of the border, the market will flow across it. If the conditions are worse in England than in Wales, which they may be if the Welsh Assembly retains the board, the Secretary of State will find that there is a flow of individuals looking for better terms and conditions, who will perhaps only have to travel 1 or 2 miles across the border. I find it strange that that will be caused by a Unionist politician. Mold, Holywell and Flint in my constituency will lose income because of this measure, but I believe that there will also be a confidence issue.

In conclusion, 63% of the people who were consulted did not support this measure and the Welsh Assembly does not support it. I accept, as the hon. Member for Carmarthen West and South Pembrokeshire said, that Unite the Union does not support the measure to abolish the board, but it is part of a broad-based coalition that does not accept it. The Minister of State—the Tonto to the Secretary of State’s Lone Ranger—did not support this proposal in opposition, but is an advocate of it in government. He should examine his conscience and think about what is in the interests of his constituents.

The people driving the change are the same people driving tax cuts for millionaires. They are out of touch with their communities and with rural areas. I am proud to represent a rural area and speak up for it in Parliament, and I will be proud to vote today and say that whatever has already happened in legislation, I support the AWB.