Postal Services Bill

Baroness Donaghy Excerpts

Monday 14th March 2011 Lords Chamber

[Baroness Donaghy]

My Lords, I speak as a former chair of ACAS. One of the joys of ACAS is that I probably know more about the employment relations of most industries in this country than anyone else; one of the frustrations is that I follow the ACAS tradition of not speaking about them in detail.

I want to speak in general terms about the importance of recognition. I am sure that noble Lords from all sides of the House recognise that whatever final shape the Postal Services Bill takes, this will be an unsettling time for employees and will increase their anxiety for their future.

Whenever ACAS became involved in labour relations in a particular industry, its key concerns were transparency, consultation and employee buy-in, and we would take both sides through the steps required to achieve success. Continued recognition of the appropriate trade unions would always be a key element in achieving employee buy-in. It would be enormously reassuring during these uncertain times if the Government were to agree to uphold in the Bill existing recognition rights. It would be much more than a gesture of good faith; it would be a statement that the worker’s voice will be heard, and their involvement assured, in negotiating both their own future and that of the industry to which they are committed.

Recognition rights do not mean that an employer has to accede to union demands or to weaken its position commercially. They represent an acceptance that employees are an asset and that their commitment is a commercial asset. I hope that the Government will accept the amendment of the noble Lord, Lord Young of Norwood Green.

[Lord Lea of Crondall]

My Lords, I am afraid that we now see week after week in some newspapers—I would include under that heading a magazine such as the Economist—thinly disguised attacks on collective bargaining. We cannot debate that topic in its totality this evening, but I refer the Committee to the central point. Across the OECD countries, there is a close statistical fit between the amount of collective bargaining in a society and its equality. It is therefore the grossest hypocrisy—it is not conscious, but perhaps subliminal—for people to say that they do not like the gap between rich and poor when they are attacking collective bargaining. Both at a point in time and over the decades, the weakening of collective bargaining means that the forces in society are no longer balanced. We now have a gross imbalance between the oligopoly of power in the City of London and the attempt to weaken the workforce.

I think that we will see in the demonstration to be organised by the TUC in London on 26 March that the workforce has woken up. It will demand that its rights be respected, which will have great resonance with the people of this country. I therefore fire a warning shot across the bows of people who think that they are now able to administer the coup de grace to people who have collective bargaining. When the postal services are in the private sector, they may be expected to fit the private sector model whereby workers are not covered by collective bargaining and it is much more difficult for them to be so. Therefore, it is fair to take the opportunity to point out, in the spirit of this amendment, that it would be very unwise for people to think, “The public sector has collective bargaining. In the private sector, we don’t have collective bargaining and we can just say goodbye to it”. Anybody who thinks that is deluding themselves.