Employment Agencies and Trade Unions

Alec Shelbrooke Excerpts

Monday 11th July 2022 Commons Chamber

[Jane Hunt]

The purpose of the first instrument is to lift the current ban on employers bringing in agency staff to help them cope with industrial action. The second instrument makes a long-overdue change to the maximum levels of damages the courts can award against trade unions that take unlawful industrial action.

I will start by examining why the Government are making these changes. Our trade union laws are designed to support an effective and collaborative approach to resolving industrial disputes. They rightly seek to balance the interests of trade unions and their members with those of employers and the wider public. While the Government continue to support the right to strike, it should always be the last resort. The rights of some workers to strike must be balanced against the rights of the wider public to get on with their daily lives. Strikes can, and do, cause significant disruption. That is particularly the case when they take place in important public services such as transport or education. It cannot be right that trade unions can, as we saw in the case of the recent rail strikes, seek to hold the country to ransom if their demands are not met.

[Alec Shelbrooke (Elmet and Rothwell) (Con)]

What assessment has my hon. Friend made of the availability of spare teachers, nurses and train drivers to fill the gaps during a strike?

[Jane Hunt]

I thank my right hon. Friend for his question, which I will take up a little later on in my speech.

--- Later in debate ---

[Alec Shelbrooke (Elmet and Rothwell) (Con)]

The behaviour and the pay demands of the public sector at this time are unjust. Plenty of my constituents who work in the private sector will receive nowhere near those pay demands, and to threaten strike action to achieve them is an insult to my constituents whose livelihoods will be disrupted and whose taxes will probably have to be increased to pay for them.

However, the saying goes, “Act in haste, repent at leisure.” This agency worker measure was not in our manifesto, and it seems to have been done very quickly in reaction to what is going on in the public sector. Do not get me wrong; I think that action is wrong, but public sector employees represent a small proportion of employees in this country and the private sector has quite a few unscrupulous employers. If people lose their ability to have an effect when they withdraw their labour, I am afraid they will effectively lose the ability to withdraw their labour.

We cannot change the rules to require the service levels that the public demand while ignoring the considerably larger impact on private sector workers. Private sector employers might turn around and say, “I am sorry, but costs have gone up so high that I am cutting your wages back to minimum wage.” Their workers might withdraw their labour, to which the employer might say, “Fine, I will bring in agency workers.” That takes away all the rights of working people to make such decisions. Over history, and certainly many decades back, there have been plenty of examples of people working in terrible conditions, and being able to be part of a collective and to withdraw labour got those conditions improved. We are all gobby in this place—that is how we got here. We all feel it within us, and we all stand up and say something. Most people are not like that at all; they want someone to stand up and do it for them, and we then have negotiations and go to those levels.

I take issue with the right hon. Member for Ashton-under-Lyne (Angela Rayner), but I fully expected her speech to go down as it did. In many ways, we have invited it, but I do not believe the cost of living crisis is created by this Government; many issues in the world are creating a cost of living crisis. It is inflationary to try to chase those pressures, and this will have to be fair for the private sector. However, for the first time in my parliamentary career, I shall be voting against the Government tonight on the measure to bring in agency workers.

--- Later in debate ---

[Craig Mackinlay (South Thanet) (Con)]

It is always a pleasure to follow many of the Members in this House, and the hon. Member for Easington (Grahame Morris) knows I have great regard for him. I am glad that he discussed issues of the here and now—the P&O issue united the House in opposition to the behaviour of that employer, and it certainly meant a lot for the community of my hon. Friend the Member for Dover (Mrs Elphicke) —but I was somewhat entertained when he started to go on about indentured labour. I thought we had gone back not to the 1970s, which is part of this debate, but to the 19th century. I found that quite entertaining.

There are two usual ways of getting new staff into businesses, and we are discussing whether they can cross a strike action. Currently, a normal employment business is the one that cannot provide. The other type of employment business—the employment agency model—can. I do not think that I would much know the difference, if I went inside an employment business or an employment agency. At the end of the day, it is the staff that the business wants.

Much has been said about whether this change is being made on the back of the recent strikes. Well, perhaps it is. I have had so many emails from people who could not get to work on that day. We in this House had great inconvenience, which I am afraid was not assisted by possibly the worst London Mayor we have ever seen. I have local residents who have suffered fines because they rarely drive in London; they had to face the ultra low emission zone charge, box junctions everywhere that they could not get out of because of the chaos on the roads, and the local traffic networks that had closed much of London in the first place. We are into fairness. Is that fair on people who are trying to get to work and who usually rely on trains—trains that have had £16 billion of taxpayers’ money over this period, and not one job lost? Is it fair on everybody who is just trying to do the right thing: to run their own business, get to a hospital appointment, get to the doctor, or get to their exams?

I have every regard for the trade unions, but they have intentionally used the cost of living crisis—I do not blame them; best of luck to them—to get more than most people would ever be able to get. Let us not go back to the 1970s wage-price spiral. The hon. Member for Easington said that people’s wages will go backwards. Well, they will go backwards every year if we end up with a wage-price spiral.

[Alec Shelbrooke]

As I said in my speech, some of the wage demands are inappropriate. To put them into context, given the way in which MPs’ salaries are set with the raise in the average public sector pay, if all these wage demands were to go through, we would get an £8,000 pay rise next year. How does my hon. Friend think the public would react to that?

[Craig Mackinlay]

I thought about such issues when I was drafting my speech. There would be absolute outrage from the public if we were to get such pay rises. I do not particularly want such a pay rise; I assure hon. Members of that. We must guard against a wage-price spiral. I support these regulations, because it is not unreasonable for people to be able to get to work.

The other industry that was going down this route was British Airways. BA workers have come to a settlement, which is very good. If BA had effectively closed down over this holiday period, what would that have meant for the employment of London? What would have happened to the tourists who spend a lot of money in London and other tourist areas around the country, including in my own coastal town? What would that strike at BA have done?

I am glad that the dispute has been settled, but it seems to me that unions are picking off certain industries in order to cause the maximum upset, with little regard for normal people trying to go about their normal business. I have every respect for what unions are trying to achieve. That is what they are for, and they have done marvellous work in the past. At this time, however, we need to pull together as a nation—I really wish that we could pull together as a nation.

I have heard from those on the Labour Front Bench. I have heard from my friend, the hon. Member for Glasgow South West (Chris Stephens), who raised the spectre of danger. He knows very well that these industries are so regulated and that the staff are so qualified that the reality of agency workers being able to carry out this work is pretty low, so he is raising a spectre of something that does not really exist.

I am supportive of these measures. I hope that they do not need to be used. I hope that we can get common sense, get people back to work and get some of these disputes settled.