Insecure Work and the Gig Economy

Alex Sobel Excerpts
Wednesday 20th June 2018

(5 years, 10 months ago)

Westminster Hall
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Chris Stephens Portrait Chris Stephens (Glasgow South West) (SNP)
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It is a pleasure to see you in the chair, Mr McCabe. I congratulate the hon. Member for Barnsley East (Stephanie Peacock) on securing this debate and on her private Member’s Bill, of which I am a sponsor. I also want to take the opportunity to commend the work of Better Than Zero, an organisation primarily organised through the Scottish Trades Union Congress youth committee, which continues to expose rogue employers in Scotland.

Mr McCabe, you and I sit on the Select Committee on Work and Pensions. You will know that there are 4,504 full-time equivalent posts chasing social security fraud estimated at £1.2 billion. There are 400 workers from the state who are employed to chase minimum wage compliance. If the minimum wage compliance unit had 4,504 full-time equivalent posts, I just wonder whether there would be 200,000 workers in the United Kingdom not being paid the national minimum wage.

Another piece of legislation, in addition to the hon. Lady’s, is the Workers (Definitions and Rights) Bill. It is in my name, and it proposes a number of key things as solutions for workers in the gig economy. First, it looks at zero-hour contracts. I think they should only be in place where there is a collective agreement with a recognised trade union. That will be the test of whether the claim that people like zero-hour contracts is actually true or not. Mainly people tell us that people like zero-hour contracts, but I have never met anyone who went to a careers adviser at school and said, “I want wan o yon zero-hour contracts.” It just does not happen.

Alex Sobel Portrait Alex Sobel (Leeds North West) (Lab/Co-op)
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Has the hon. Gentleman considered alternative contracts such as they have in other countries? In Holland, for instance, they have contracts by agreement, which are fixed-term agreements paid by the hour with a legal route to permanent contracts. Is that something that he would consider in his legislation?

Steve McCabe Portrait Steve McCabe (in the Chair)
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Order. Just before the hon. Gentleman replies, I would point out that if people keep taking interventions, some people are going to drop off the end.