Taylor Review of Modern Working Practices

Debate between Baroness Altmann and Lord Prior of Brampton

Tuesday 11th July 2017 Lords Chamber

[Lord Prior of Brampton]

The noble Baroness makes a very good point. Certainly, some 20% of those on zero-hours contracts are students who are using it to top up. Equally, people who have retired use it to top up, and it is much less satisfactory for people for whom it is their main source of income. One point that Matthew Taylor makes in his report, and it is a good point, is that some employers are quite lazy about this: they do not have to schedule the hours properly because they know that they have people on tap. One of his recommendations in the report is to address that issue.

[Baroness Altmann (Con)]

My Lords—

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[Baroness Altmann]

I thank my noble friend. I congratulate Matthew Taylor on his excellent report and I particularly congratulate the Government on achieving record levels of employment and record low unemployment. It is important that we recognise the benefits to this country’s employment market of flexibility. We have achieved great success; indeed, I point out that when I was business champion for older workers, I found that it is not only students who welcome zero-hours contracts, it is also older people. Does the Minister agree that we need to recognise the increasing importance for people in a pre-retirement phase of being able to work flexibly, part-time and zero hours? Indeed, when McDonald’s offered all its workers on zero-hours contracts the opportunity of fixed contacts, 80% said they wanted to stay on the zero-hours contracts.

[Lord Prior of Brampton]

I thank my noble friend for her contribution. Of course, flexibility suits older people greatly and is something much to be encouraged. The great success of the British way is that we have very high levels of employment. The great weakness of the British way is that we have very low levels of earnings, and that is something that we are going to address through the industrial strategy.