Monday 17th May 2021

(2 years, 11 months ago)

Lords Chamber
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Baroness Sherlock Portrait Baroness Sherlock (Lab) [V]
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My Lords, what a privilege it is to hear the maiden speeches of the noble Lord, Lord Morse, and my noble friend Lord Coaker. I look forward to many more debates with both noble Lords.

Although this debate covers welfare, there are no Bills concerning the welfare state nor, for that matter, employment, pensions policy, health and safety, child maintenance or anything else within the DWP’s core remit. Yet challenges abound. The pandemic has exposed the impact of poor working conditions, low pay and job insecurity. They could have been addressed in the flagship employment Bill announced in the 2019 Queen’s Speech, which promised to:

“Protect and enhance workers’ rights”.


Had action been taken pre pandemic, maybe things could have been different, but we still have no sign of that legislation, just endless promises to level up. Can the Minister tell us where the employment Bill is? When will Ministers legislate to ensure all gig economy workers have basic rights and protections? When will we see action to ensure everyone has access to decent statutory sick pay and adequate in-work benefits?

Young people have been hit hardest by this pandemic. The unemployment rate for 16 to 24 year-olds is now 14.3%—575,000 young people out of work. This needs urgent action, something like Labour’s jobs promise to end long-term unemployment and our promise to ensure furloughed workers who lose their jobs get intensive support as soon as they need it.

The Government’s answer is Kickstart, which Ministers claim has created 195,000 jobs. However, figures suggest that fewer than 20,000 young people have actually started work. I have some questions for the Minister, though I accept he may have to write to me. Is the target still to reach a quarter of a million young people? What is being done to deal with the awful regional disparities? Why end Kickstart in December when so few young people are in jobs and the target has not been met? Both Labour and the CBI have called for an extension. Will Ministers think again?

The pandemic has also hit older workers. ONS figures show employees aged 50-plus were more likely to report working fewer hours than usual or not working at all, with the biggest effects among those 65-plus. Resolution Foundation research shows that older workers who lose their jobs tend to take longer to get back into work and, when they do, they are likely to earn substantially less than previously. This will hit them now and in retirement. The Government’s answer is the restart scheme, but that will not start until at least July, and it will use payment by results. How will the Government ensure that providers properly invest in those participants, such as older workers, who may have a lower chance of getting a job? What new support will be given specifically to skill and upskill older workers in new and growing industries?

Another major gap is around disability. The Queen’s Speech brief said:

“The Government will bring forward a Health and Disability Green Paper”


and that

“The National Strategy for Disabled People will set out practical changes for disabled people that remove barriers and increase opportunity.”


That is all well and good, but the disability strategy has been delayed for months, having been promised in the previous Queen’s Speech. When will it be published? Are the Government satisfied that the consultation was adequate, given all the protests, and are they really still committed to reducing the disability employment gap?

Finally, there is poverty, which was raised so powerfully by my noble friend Lord Coaker in his cracking speech. As he said, government figures now show that 4.3 million children—equivalent to some 31% of all UK kids—were in poverty last year. Three-quarters of them live in a working household. Since the pandemic started, we have seen food insecurity increase and food bank use reach its highest ever levels. This should shock us to our core.

What have the Government done? In March last year, they announced an extra £20 a week in universal credit as a temporary uplift, effectively acknowledging that it was not enough for families to live on. Disgracefully, this was withheld from those on legacy benefits, most of whom are sick, disabled or carers. The Budget extended that by six months, but it will now be cut at the end of September, something we will fight vigorously. The furlough scheme and the self-employment income support scheme will both end at the same time. Is the Government’s plan that workers who lose their jobs when furlough ends will be pushed on to universal credit at a rate £20 per week less than today?

In this country we have a crisis of poverty, a crisis of unemployment, a crisis of low pay, a crisis of insecure work and a crisis for disabled people, yet the Government could not find room for a single piece of legislation to tackle these problems. How very disappointing.