Trades Union Congress 150th Anniversary

Lord Hunt of Chesterton Excerpts
Thursday 14th June 2018

(6 years, 5 months ago)

Lords Chamber
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Lord Hunt of Chesterton Portrait Lord Hunt of Chesterton (Lab)
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My Lords, I welcome this debate, led by my noble friend Lady Prosser, on the importance of, and differing contributions to many aspects of life by, the trade union movement. Although the number of members involved in trade unions has declined since the 1960s, their role is nevertheless very important.

I personally learned about the importance of trade unions when I was a student at Cambridge University in the 1960s. Then, all engineering students were encouraged to join a student society called “Human Relations in Industry”—a very idealistic title. Its president was Professor Kirkaldy, who was the Montague Burton professor of industrial relations. We used to organise joint meetings of leading trade unionists and management. For example, one of the famous evenings was when we discussed industrial relations in the shipbuilding industry. That was particularly notorious. Interestingly, by the end of the 1960s, notwithstanding perturbations in Paris and elsewhere, the bulk of the ambitious students were moving into becoming management. Au contraire, there were some informal groups of very left-wing students.

A few years later I began to see this from a practical point of view when I was a junior research engineer in the large Central Electricity Research Laboratories of the CEGB. I was able to see how a large, successful, science-based, nationalised industry could be a great success based on excellent collaboration between management and the staff. The staff were represented by the trade unions. I was an active member of the Electrical Power Engineers’ Association and for my final few months I was the chairman of the Guildford and Leatherhead branch.

An important role of the trade unions, as seen by then a very junior engineer, was holding meetings addressed by very senior managers coming down from London about the strategic developments of the CEGB as its technology changed and new investments had to be explained. These meetings explained the related decision-making going on in Parliament, which led to the CEGB moving to nuclear energy, as well as coal and oil. In fact, that was when I began to understand what subsequently became Pepper v Hart: many decisions being taken were not in the Bill, but were what the Minister said. If they said, “We are going to have nuclear power”, we had it.

Equally important for staff were the trade union-led discussions about pension schemes. That has been one of the tragedies of the last 20 to 30 years: many pension schemes have failed. The role of the trade unions has not been as strong as it should be.

Then, after returning to Cambridge University, I was involved with trade unionists in many different aspects of science and technology. In one case I worked with BALPA—the British Airline Pilots Association—on the problems of landing at Heathrow with all the wakes of the big new hangars there. That was an interesting example of the trade unions working with academia, government agencies and industry. I also learned about another important aspect of the trade union movement: collaboration at a local level. I was very interested, from the environmental point of view, in the questions of traffic and air pollution. We co-ordinated meetings with the Cambridge trades council, the city council and the chamber of commerce in developing a very early stage of pedestrianisation and traffic management. Such activity up and down the country is a very important part of trade unions’ role. In fact, the trade unions could be more visible in this aspect of their work.

Some 25 years later, when I was head of the Met Office, I met the trade unions on my first afternoon for tea. I was then responsible for chairing meetings between the trade unions’ representatives and management. These meetings were organised in parallel with direct meetings between staff, the chief executive and senior management. This has always been the parallel process in companies, particularly in the public sector. It was very important to have the two. As was mentioned by my noble friend Lady Prosser, new management techniques began to be developed, from cascaded management to total quality management—even the business of social and psychological methods in management. It was very interesting. They do it slightly differently in France, but many countries have moved in that direction.

As my noble friend Lady Prosser said, we could do more to introduce these techniques, and not just become behindhand. But it is the UK’s position, and the labour movement has not been particularly strong in wanting to introduce company law so that employees have representatives on company boards. The trade unions did not particularly welcome the recent tentative statement by the Prime Minister that the UK should consider this change. As noble Lords will have read, the newspapers—the Daily Telegraph, in particular—realised that this was a bit too much for the Conservatives as well.

The trade unions have a big role and influence in this country, but not at the same level as in Germany and some eastern European countries, where companies have supervisory boards. The role of the trade unions there has been very strong and guided the policy of big business and industry in dealing with very difficult problems. Germany essentially avoided the disruption that UK industry experienced in the 1970s and 1980s, and its long-term social, economic and political consequences. The TUC and the trade union leaders were not able to agree on the UK moving to the German model. We had the Bullock report, but that was not unanimously agreed to, which was a great loss. But the trade unions have had a very positive role in working with organisations of the European Union, thanks to the strong guidance of Jacques Delors—of whom the famous British newspaper said, “Up yours, Delors”. It was very interesting that at this time he completely changed the attitude of the trade union movement in the UK to Europe: it became very pro-Europe.

At that time our trade unionists were working hand in glove with the organisations of the European Union—it was quite different from the situation over here in the UK. What one hopes, of course, is that with Brexit—or despite Brexit—we will have learned something from the closeness between the trade union movement and the European Commission and have the same kind of closeness in Britain. I look forward to the Minister’s comments on that, if not those of Mrs May.

One of the big questions for this debate is how the trade unions will work with the Government, industry and civil society in future. Will we be even more positive when all employees have greater information? For example, employers might, as they do in the public sector—or used to—inform all members of staff when they join that they can join a trade union and that the subscription could be organised by the management of that organisation. The TUC, of course, in the wider roles mentioned by other noble Lords, has been very effective on social and human questions—in reducing prejudice and maintaining human rights—but trade unions also need to address technical and social issues, some of which I have mentioned.

I am a member of the House of Lords Science and Technology Committee, which has discussed the extent to which we should have trade unions involved or giving evidence to our committees. I believe that more of that should happen. For example, the role of the trade unions must be very strong in the questions of data availability and the secretive use of data by employers. In the last year or two there has been serious potential malfeasance in the use of data in the construction industry, and that has to some extent been resolved.

In general, workers should have more data about their employers and about the business of their employers, and not suddenly be told, like today, of 4,000 people losing their jobs. There needs to be much more openness about the plans moving forward. Those aspects of business, especially the financial business that affects companies, need to be explained to the staff. I believe we still have a long way to go in that respect. I reiterate that there is much more we should do in terms of information to staff. Does this mean that the UK will follow other countries by introducing other methods by which much more data is available? One of the questions is, is the trade union movement in favour, as I am, of identity cards? It is quite interesting that there is a considerable move: even those who were against identity cards realise that this may be one of the most effective ways of solving security and other problems.

Finally, I look forward to the response of the Minister. I hope he will explain what view the Government take about increasing responsible trade union membership, and how they will encourage the trade unions to work with the public and private sector and to have a greater role in public decision-making, which should include meeting government leaders.