Employee Pay (DWP)

Debate between Chris Stephens and Alex Salmond

Wednesday 18th November 2015 Commons Chamber

[Chris Stephens (Glasgow South West) (SNP)]

I wish to raise the important issue of the pay of employees in the Department for Work and Pensions—or, perhaps more accurately, the low pay of those employees.

As we know, pay throughout the public sector has been subject to restraint for a number of years, and the pay in the DWP is no exception. A TUC report published in 2014 showed that public sector workers were, on average, £2,245 worse off in real terms than they had been before the previous Government took office. However, the issue of low pay is felt particularly acutely in the DWP, as it is one of the lowest paid civil service Departments, and staff now struggle to make ends meet.

Some 87% of DWP staff—74,701 employees—now earn less than the UK mean average wage of £27,200 a year, and 47% of staff—39,526 employees—earn less than £20,000. The Public and Commercial Services Union estimates that thousands who are at the bottom of the DWP pay scale will not even earn the national living wage that was announced by the Chancellor in the Budget if their pay rises by only 1% a year until 2020. DWP pay increases have been heavily capped for the last six years, and in 2010 and 2011 there was a 0% increase for staff earning over £21,000.

[Alex Salmond (Gordon) (SNP)]

As my hon. Friend knows, in 2011, when we were in the very depths of the recession, the Scottish Government were able to introduce a living wage for all civil service staff in Scotland, along with a non-redundancy clause agreement. Why was such a move not possible for either the Labour Government or the coalition Government—or, for that matter, the present Conservative Government?

[Chris Stephens]

I do not know the reasons for that, but I think that it should have been possible. As my right hon. Friend will know, in Scotland those earning less than £21,000 a year have received a £250 pay rise over the last couple of years.

Between 2012 and 2015, all DWP staff received a 1% increase, and the Chancellor has announced his intention to limit civil service pay increases to 1% for the next four years.

Scotland Bill

Debate between Chris Stephens and Alex Salmond

Monday 6th July 2015 Commons Chamber

[Chris Stephens]

I will come back to that point.

Our approach is evidence-based. The 30 detailed recommendations of the “Working Together” report are a strong foundation to build on if we have more powers, and I commend that report to the Committee. We also support the devolution of trade union laws to maintain the largely stable and productive industrial relations in Scotland, underpinned by the long-standing strategic partnership between the Scottish Government and the Scottish Trades Union Congress.

[Alex Salmond]

My hon. Friend will be familiar with the Scottish Government’s action to reverse the House of Lords ruling on pleural plaques. If the Scottish Government had not had the power to do that, in the case of a significant condition that was being wrongfully put outwith the scope of industrial compensation, many people in Scotland would be in an extremely disadvantaged position—people who had suffered worry for years. Is not that an example of why these powers should be devolved?

[Chris Stephens]

I agree with my right hon. Friend, and he signed two memorandums of understanding with the STUC on improving workers’ rights in Scotland.

The devolution of trade union laws would also allow us to block the proposed assaults on workers’ rights, such as current plans to restrict the right to take industrial action. We seek protection for working people from a Government that are charging down an ideological cul-de-sac with an anti-trade union agenda based on a historical prejudice and a casual approach to legislation that borders on incoherence. The question for the Committee is whether Scotland can take a different approach based on the needs of Scotland.

New clause 48 would devolve the Health and Safety at Work etc. Act 1974. That would enable the Scottish Parliament to take responsibility for all aspects of workplace health and safety legislation, regulation and enforcement. The Smith commission did not recommend the devolution of health and safety law, but it did recommend a review of

“the functions and operations of the Health and Safety Executive in Scotland and…how the future requirements to best serve the people of Scotland could be delivered operationally whilst remaining within a reserved health and safety legislative framework”.

In other words, a bit of a waffle, served up with fudge.

We consider that the Scotland Bill would benefit from being strengthened by devolving workplace health and safety legislation and regulation to the Scottish Parliament. In evidence to the Scottish Parliament Devolution (Further Powers) Committee, Dave Moxham, general secretary of the STUC, said that

“the trade union movement in Scotland is looking extremely closely and with a not uncritical eye at the potential to devolve a range of powers relating to what we categorise as workplace protections, including employment law, the minimum wage and health and safety, that in our view fit the committee’s prescription for improving the quality of work and wages and reducing the benefits bill.”

While we recognise the value of being able to deliver a distinctively Scottish approach, our amendment would make provision for the UK-wide Health and Safety Executive to continue to deliver health and safety regulation in Scotland as a cross-border public authority. That would ensure continued enforcement in the short term while allowing the Scottish Parliament to develop an alternative approach in the future. Making the Scottish Parliament responsible for workplace health and safety in Scotland would ensure that regulation is informed by evidence and the needs of Scottish workers and businesses. While providing for the continued role of the Health and Safety Executive in the short term, Holyrood would be able to consider ways to improve health and safety law in Scotland.

Further devolution would also allow for greater coherence across regulatory bodies, with some areas such as fire and environmental protection already devolved. In particular, the tensions across the devolved regulatory duties of local government, such as food safety, and the reserved ones, such as health and safety, could be addressed.

In areas where there are strong cross-border interests and specialist requirements, such as offshore oil and gas, there would be mechanisms to ensure the Scottish and UK regimes complement each other. Devolving health and safety law would thus empower the Scottish Parliament to consider potential improvements to the regime, while being mindful of cross-border needs and sensitivities. The Unison Scotland submission to Smith accurately pointed out that devolution of powers over health and safety could improve Scotland’s poor record in health and safety at work.