Chuka Umunna
Main Page: Chuka Umunna (Liberal Democrat - Streatham)Department Debates - View all Chuka Umunna's debates with the Department for Work and Pensions
(10 years, 10 months ago)
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Mr Chuka Umunna (Streatham) (Lab)
I beg to move,
That this House believes that insecurity at work has increased under this Government, compounding the cost of living crisis facing families; further believes that the Government’s policies have made life less secure for people at work by watering down their rights, including protections against unfair dismissal and by abandoning an evidence-based approach to health and safety; notes that the number of employees working part-time who want to work full-time has grown by over 350,000 since the Government took office to over 1.4 million, alongside a marked rise in zero-hours contracts; recognises that insecure jobs add to pressure on the social security budget by making it harder for people to buy a home or save for their own pension; calls on the Government to reverse the trend of rising insecurity at work by reforming zero-hours contracts so they are not exploitative, addressing false self-employment by closing loopholes which allow it to take place, scrapping the failed ‘shares for rights’ scheme, strengthening and properly enforcing the National Minimum Wage, including by increasing fines to £50,000 and giving local authorities enforcement powers, and incentivising employers to pay a Living Wage through ‘make work pay’ contracts; and further calls on the Government to adopt a proper industrial strategy to help create more high-skilled, better paid jobs so the UK can earn its way out of the cost of living crisis with stronger and better-balanced growth.
It is a pleasure, Madam Deputy Speaker, to serve for the first time under your chairship. I move the motion at a time when our country’s economy has thankfully returned to some growth after three years—[Hon. Members: “Hear, hear!”] Government Members will not be “Hear, hear-ing” later on, Madam Deputy Speaker. We are not out of the woods yet. In my constituency, the number of people claiming jobseeker’s allowance has fallen over the past 12 months and I welcome that, but the number of young people claiming JSA for more than 12 months in Streatham has increased by 75% and the number of adults claiming JSA for more than two years is five times what it was in May 2010. That is a tragedy for them and their families; they are not patting the Chancellor on the back.
We are all too aware that the fall in the headline rate of unemployment in some areas, such as mine, is not matched across the country. In the north-east and the south-west, for example, unemployment is up compared with this time last year. It might surprise people to learn that in London our unemployment rate is 8.1% compared with a national average of 7.1%. For those of our constituents who are in work, living standards have never before been under so much strain. A living standards crisis has impacted on households all over the country, which is why the shape and nature of growth matter. Will the rewards from growth deliver better living standards and security for the people we represent?
Nadine Dorries (Mid Bedfordshire) (Con)
The hon. Gentleman is incredibly generous to give way and I thought I might make an intervention to try to cheer him up a little. Center Parcs is bringing 1,700 jobs to my constituency in a project that has been on the table for long time—since I first became an MP nine years ago. It is happening now because Center Parcs has faith and confidence in the economy that means that it can go ahead with the project and create the jobs. I think that the hon. Gentleman will find that many employers will follow suit and the picture will be much brighter.
Mr Jim Cunningham (Coventry South) (Lab)
Although we always welcome any improvement in employment, the fact remains that the purchasing power of people out of work has dropped about 5%, and that mostly hits women.
Mr Umunna
My hon. Friend is right. It is worth recalling that when my right hon. Friend the Leader of the Opposition first talked about the cost of living crisis and the squeezed middle, Members on the Government Benches and their supporters ridiculed the very notion, but the existence of that living standards crisis is now undeniable. Indeed, since my right hon. Friend first talked about the squeezed middle, in 2011, I think, the people who compile the Oxford English Dictionary named it their word of the year, despite the fact that it is two words.
Words are one thing, but they are backed up by the reality of what we see in our communities. Ministers can do whatever jiggery-pokery they want with the figures, as the Chancellor did the other day when he claimed that the top decile of earners was the only decile that had lost out from his measures. In so doing, he miraculously forgot to take into account the huge tax cut he had given the top 1% at the same time as heaping a VAT rise on working families and taking away support from them.
The average employee is earning substantially less than when this Government came to office—over £1,600 less a year. It is important to remember that on Wednesday 13 February last year—almost a year ago—the Prime Minister at Prime Minister’s questions in this House pledged that people would be better off in 2015 than in 2010, and we will hold him to that. The head of the Institute for Fiscal Studies, who is often cited in all parts of the House, thinks differently. He said last month:
“We will be able to say definitively—I’m pretty sure—that, come 2015, average household incomes will be lower than they were pre-recession and lower than they were in 2010.”
Mr John Redwood (Wokingham) (Con)
Can the hon. Gentleman assure the House that no one working for a trade union or a Labour council is on a zero-hours contract or is a part-timer who wants a full-time job?
Mr Umunna
I will come on to zero-hours contracts shortly, if there is some patience on the Government Benches.
This living standards crisis is not just one of rising costs and falling wages. It is one, too, of increasing insecurity at work. People in work today feel less secure and more pressurised at work than at any time in the past 20 years, according to the most recent UK skills and employment survey. Members on the Government Benches shake their heads. It was the Government’s own UK Commission for Employment and Skills, which co-funded that survey, that described what we now have as a “climate of fear”. More recent research carried out towards the end of last year found that the number of people feeling insecure at work had almost doubled since this Government came to office, with half the working population believing that the economic policies of this Government have made them less secure.
There is a constant worry about whether people will be able to hold on to their jobs. There is a constant worry about whether they will be able to provide for themselves and their families—a continuing squeeze, yes, and an increasing amount of insecurity. That is the reality of life in this country in 2014.
Rushanara Ali (Bethnal Green and Bow) (Lab)
Does my hon. Friend agree that this insecurity particularly affects young people? Nearly a million of them—940,000—remain unemployed, and this Government have failed to get them into work and to deal with the insecurity and sense of frustration they feel about not being able to make a contribution to the economy.
Neil Carmichael (Stroud) (Con)
I am grateful for the opportunity to point out that in the past quarter manufacturing grew by 0.9% and in my constituency that translates into meaningful jobs. I took the Secretary of State for Work and Pensions to Stroud last week to underline the value of apprenticeships at Delphi and so forth. Across my constituency overall employment in manufacturing has continued to rise and overall unemployment has continued to fall. Does the shadow Secretary of State recognise that that is a powerful statement of good government translating into economic success?
Mr Umunna
I think that I have had this discussion with the hon. Member for Mid Bedfordshire (Nadine Dorries) elsewhere. Some will say, as the hon. Gentleman suggests, in the context of falling unemployment, that the main thing is that people should have a job and that, unemployment having risen for much of this Parliament, they should be grateful to have a job at all. Of course we would all prefer to see our constituents in work rather than out of it, but we have to be more ambitious for the people we represent. We want them to achieve their dreams and aspirations. We want them not only to have a job, but to have decent work that pays a wage they can live on and offers a decent level of security. For the Opposition, any old job will not do, because we believe that we must do better for the people we represent, and for the people we hope to represent after the next general election—those in the constituencies of current Government Members.
Jim Sheridan (Paisley and Renfrewshire North) (Lab)
On the question of whether any old job will do, my hon. Friend might be aware that 10 years ago today 23 Chinese cockle pickers lost their lives in Morecambe bay under the instruction of illegal gangmasters. There is clear evidence that the gangmasters have now moved into other sectors, such as construction and care. Is it not time we registered illegal gangmasters so that they cannot exploit employees and damage our indigenous work force?
Mr Umunna
My hon. Friend is right to raise that issue. We all remember those who lost their lives a decade ago, and our thoughts are with their families. Of course, that was why we set up the Gangmasters Licensing Authority, and we believe that we should consider expanding its remit to include other sectors, construction being the obvious one.
Mr Michael McCann (East Kilbride, Strathaven and Lesmahagow) (Lab)
Does my hon. Friend agree that Opposition Members will not be celebrating the proliferation of zero-hours contracts, which allow our young people, in particular, to be exploited by employers who want them to be at the other end of the telephone waiting to be told when to come to work but do not guarantee them any weekly hours?
Mr Brian H. Donohoe (Central Ayrshire) (Lab)
Is it not also the case that people on the minimum wage who are contracted for perhaps 16 or 20 hours a week are having to work more than that, with employers exploiting them in that way? That is a major problem, and their employment is very insecure.
Andrew Gwynne (Denton and Reddish) (Lab)
Other Members have mentioned the need for proper, decent employment rights in the workplace. Does my hon. Friend regret the fact that this Government seem to see protections in the workplace as burdensome regulation?
Mr Umunna
My hon. Friend is totally correct to raise that issue. Not only is it an issue of justice in the workplace, but it is also—[Interruption.] I have completely forgotten the point I was going to make—one of those moments. Ah, the thought has returned to me: it is also bad for the economy. If people are frightened out of their wits about whether they will retain their jobs, they will hardly go and spend money in our economy.
Huw Irranca-Davies (Ogmore) (Lab)
May I draw my hon. Friend’s attention to another historical parallel that goes beyond the Morecambe bay tragedy? A few years ago we marked the centenary of the Tonypandy riots—Members might or might not be aware of them—which took place in the constituency of my hon. Friend the Member for Rhondda (Chris Bryant). The significance of those riots, and the parallel with today’s situation, is that mine owners and the representatives on the Government Benches argued tooth and nail that they could not afford to pay a fair wage to miners working in the most difficult seams in the south Wales valleys. Those miners were living in poverty. I suggest that the parallel is that we should all be working together, with businesses and others, to ensure that people are paid a proper wage.
Mr Umunna
I am going to make a little more progress and will perhaps give way a bit later.
I was about to go into the shape and the nature of the employment that we see. There are those who are in work but cannot get the additional hours that they want. Over 1.4 million people are working part-time because they cannot find a full-time job; that figure is up by more than a third compared with when this Government came into office. Over 3 million workers—more than 10% of the work force—are underemployed. These are people who are employed but wish to work more hours in their current role or are looking for an additional job or a replacement job that offers more hours. We want to change this.
Above all, as many of my hon. Friends have said, there are those who do not have any security at work but want it so that they can plan and provide stability for their families. Over half a million employees in temporary positions lack any job security because they cannot find permanent roles. Last year, we learned the true extent of the abuse of zero-hours contracts, which my hon. Friends just mentioned, when the Chartered Institute of Personnel and Development published its data suggesting that as many as 1 million people are employed on zero-hours contracts. To recap, we are talking about contracts under which the employee is not guaranteed work and is paid only for the work that he or she carries out. In practice, this means that people do not know where the next pay cheque is coming from, are unable to plan ahead, and, in many cases, are constantly living hand to mouth. Of course, insecurity at work increases pressure on the social security budget because it makes it harder for people to borrow to buy a home or to save for their pension. Again, we are determined to change this. We cannot go on like this.
It is important to say—it would be remiss of me not to admit it—that I do not pretend that all this pressure on household incomes and insecurity began under this Government. We do not deny that serious structural issues have grown up over the past three decades under Governments of all different colours, but the question is this: what are this Government doing about it? We are now in the fourth year of this Government: have they made things better or worse?
Mrs Main
The hon. Gentleman is making a great speech. I liked the bit where he said that not just any old job will do. Will that be his advice to young people who go to a jobcentre? Will he say, “Don’t get any job—a job where you might learn some skills, find the confidence to get up in the morning, or get a work ethic—but wait for the job of your dreams”? Surely it is better to get people back into work, with the dignity it gives, than just to say, “Wait for that dream job under Labour.”
Mr Umunna
The hon. Lady has completely misinterpreted what I said. I was very clear that we want to see more people in work. However, there is nothing wrong with being ambitious and aspirational for the people we represent. There is nothing wrong with wanting people to have more secure work and wanting to ensure that they actually earn a wage they can live off. I make no apologies for that whatsoever.
Andrew Bridgen (North West Leicestershire) (Con)
Could the hon. Gentleman confirm to the House whether the gardener and the cleaner at his villa in Ibiza are full-time or part-time employed, and what is their hourly rate of pay?
Mr Umunna
I have said this before and I will say it again: I think we should keep our families out of this place. The hon. Gentleman would do well to reflect on that. If he wants to make another contribution that is perhaps a bit more intelligent and adds something to the debate, I am happy to give way, but clearly he has nothing to add.
The Government have failed to tackle the cost of living crisis. Family energy bills have been allowed to rise by £300 since the general election. As I said, they have given a huge tax cut to people earning millions of pounds a year while increasing VAT and cutting support for working families. They have failed to act on transport prices. What is certainly clear is that this Government have heaped further insecurity on people at work with their attacks on their fundamental rights and protections. The other week, the Business Secretary said in his speech to the Royal Economic Society—I thought it was a good speech—that he has “resisted moves” in the direction of attacking people’s rights at work. That simply does not reflect the reality.
When people have been treated unjustly or discriminated against and wish to seek redress, he and his ministerial colleagues have put up a barrier in the form of tribunal fees of up to £1,200, which the Minister for Skills and Enterprise referred to as “moderate” despite the fact that £1,200 is about two weeks’ average earnings. I do not think that is moderate: it is a barrier against access to justice.
Richard Graham (Gloucester) (Con)
The hon. Gentleman raises an important point about being ambitious and asks whether things have got better. In my constituency, unemployment has fallen by 20% and youth unemployment by 45%, and the number of new apprentices starting every year is more than double what it was in 2009. Does he agree that that is significant evidence that things are better?
Mr Jim Cunningham
I seem to remember the Chancellor announcing, about 12 months ago, a bonus if people gave up their employment rights. I wonder what happened to that. It demonstrates that what this is really all about is the corrosion of people’s employment rights in this country and making life worse for them.
Mr Umunna
I will come on to that, but before that I will go through some of the things the Government have done to people’s rights in the workplace. They have increased the service requirement for claiming unfair dismissal from one to two years, depriving people of the right to seek justice when they have been wronged in the workplace. They have reduced compensatory rewards for unfair dismissal, which, as I have said in this House before, will impact in particular on those in middle-income occupations—the squeezed middle. They have also reduced the consultation period for collective redundancy and have sought to water down TUPE protections for people. I could go on.
We know that much of that was inspired by the 2011 report by the Conservative party donor and employment law adviser to the Prime Minister, Adrian Beecroft. By his own admission, in public evidence sessions in this House, Mr Beecroft said that his findings were based on conversations and not on a statistically valid sample of people—classic “off the back of a packet” stuff.
Never mind Beecroft, the best example of the Secretary of State failing to resist measures that increase insecurity in the workplace—my hon. Friend the Member for Coventry South (Mr Cunningham) has just referred to this—is the shares for rights scheme announced by the Chancellor at the Conservative party conference in 2012. The scheme provides for new employer shareholder status, whereby in return for between £2,000 and £50,000-worth of shares in their employer, the employee gives up fundamental rights at work: the right not to be unfairly dismissed, rights to statutory redundancy pay, rights to request flexible working and so on.
For all sorts of reasons, this is a bad idea, so much so that there was cross-party opposition to it, with the former Conservative employment Minister, Lord Forsyth, describing it as having
“all the trappings of something that was thought up by someone in the bath”.—[Official Report, House of Lords, 20 March 2013; Vol. 744, c. 614.]
What did the Business Secretary do about it? He not only waved through the scheme; he sponsored its passage through the House. Since then, take-up seems to be low —about 19 inquiries have been made to the Department—but what happened next? Up popped the Deputy Prime Minister at the beginning of the year—let us remember that the Business Secretary waved through the scheme and took it through Parliament—calling for the scheme’s abolition.
Let me get this right: the Deputy Prime Minister’s two Liberal Democrat colleagues—the Business Secretary and the hon. Member for East Dunbartonshire (Jo Swinson)—guided the policy through the House just 10 months ago; the Deputy Prime Minister marched his Members through the Division Lobby, along with Conservative Members, to introduce it; and now the Deputy Prime Minister wants to take credit for saying he wants to scrap this disastrous scheme, which he set up in the first place.
I know the Liberal Democrats have a reputation for this sort of thing, but even by their standards this really does take trying to have your cake and eat it to a whole new level.
Mr Umunna
I am not giving way to that gentleman.
What would we do? To relieve the squeeze on incomes, we would take action to make work pay by expanding free child care for working parents. We would freeze gas and electricity bills while we make long-term changes to the energy market. We would introduce a 10p starting rate of tax, funded by a mansion tax. The Secretary of State was in favour of that once, but seems to have taken to voting against it, as well as against our motions about it in this House. [Interruption.] Perhaps he will correct the record.
Let us not forget that my party stood up to the nay-sayers and introduced the national minimum wage. The value of the minimum wage has fallen by 5% under this Government, so we have asked Alan Buckle, the former deputy chairman at KPMG, to investigate how we can make sure that the role and powers of the Low Pay Commission are extended in order to restore that value.
Dame Angela Watkinson (Hornchurch and Upminster) (Con)
I am sure that it was not his intention, but the hon. Gentleman has given the impression that all the new jobs are either on zero-hours contracts or provide extremely low incomes. Does he take encouragement from what has happened in my constituency, where unemployment had stuck at 3.5% for 13 years, but has now dropped to 3%, meaning that those people now have security, jobs and independence?
Mr Umunna
I am happy to clarify that I was not saying that all the jobs created are as the hon. Lady has suggested.
We want to ensure that the national minimum wage is properly enforced. That is why we want fines of up to £50,000, and we would give local authorities a role in enforcement. To go back to what I said earlier, ultimately, we want more people to be in receipt of a wage on which they can live.
Jenny Chapman (Darlington) (Lab)
Is my hon. Friend aware that people who get jobs on the minimum wage through employment agencies routinely have their wages docked to cover the administration of their pay? Very low-paid workers are therefore receiving far less—up to £16 or £20 a week less—than the minimum wage.
Mr Umunna
My hon. Friend is absolutely right. I understand that the Secretary of State is investigating that outrageous practice at the moment, and we await the findings of his Department’s investigation.
We have already made it clear that we disagree with heaping job insecurity on people in work, which is why we have opposed and voted against all the measures that this Government have introduced to water down people’s rights at work.
Andrew Bridgen
On a point of order, Madam Deputy Speaker. I hate to raise a point of order, but I think that the shadow Minister may be misleading the House inadvertently. He is talking about job security, but the latest ACAS figures—
Madam Deputy Speaker (Mrs Eleanor Laing)
Order. The hon. Gentleman must resume his seat. He knows that that is not a point of order, but a point of debate. We are in the middle of the debate. If the shadow Minister wishes to take an intervention, he can do so. If the hon. Gentleman wishes to attempt to make a speech later, he can do so, but that is not a point of order.
Mr Umunna
I am not sure that the hon. Member for North West Leicestershire (Andrew Bridgen) is having a very good day.
Several hon. Members have already raised the issue of zero-hours contracts, and let me explain how we would stop their exploitative use. We would prevent employers from insisting that people on zero-hours contracts are available to work even when there is no guarantee that they will be given any work. We would prohibit zero-hours contracts that require workers to work exclusively for one employer. We would prevent the misuse of zero-hours contracts. When, in practice, employees regularly work a certain number of hours a week, they are entitled to a contract that reflects the reality of their regular hours.
Huw Irranca-Davies
Will my hon. Friend speculate on why for some reason my M4 travel-to-work area, where there is some good and encouraging news on jobs, has the highest level of food bank usage in the whole of Wales and has seen a tenfold increase in payday loans, including to people in work, during the past year?
Mr Umunna
We know that there has been stagnation in wages. My hon. Friend has given the clearest evidence of the impact of that in his constituency. That relates to the points that I have made to Government Members. Of course it is a good thing that people who have not been in work are getting work. The key thing is that it must be decent work that prevents people from having to go to food banks because they are not earning enough.
Mr Donohoe
My hon. Friend is being most gracious in taking so many interventions. One group of people who have been almost forgotten are small shopkeepers, who are suffering immensely as a consequence of the state of this nation. They have not been mentioned, but they have very insecure futures. Surely we should address that, as well as the other matters that we are addressing this afternoon.
Mr Umunna
My hon. Friend is right. We are a nation of shopkeepers. That is why we want to cut business rates in 2015 and freeze them thereafter. We also want to provide more support for local communities and high streets. I am proud to have the longest continuous stretch of high street in the country in my constituency.
Guy Opperman (Hexham) (Con)
I am listening to the hon. Gentleman’s speech and there have been good parts of it. He has spoken about voting records. Can he assist the House by giving any example of when the Labour party has voted in favour of or supported the Government’s position on employment, business or welfare reform over the past four years?
Mr Umunna
In relation to business reform, if the hon. Gentleman looks at the comments that we made during the passage of the Enterprise and Regulatory Reform Act 2013—[Interruption.] The hon. Gentleman has asked me a question, so he should let me finish the answer. There are elements of the 2013 Act that we thought were commendable, such as instituting the Competition and Markets Authority and setting up the green investment bank, which we started to do in government. However, we did not entertain the proposals to water down people’s rights at work so that they would be scared out of their wits, because that would have an adverse impact not only on them and their families, but on the economy.
The hon. Gentleman also talked about social security. There are two ways in which we can reduce the social security bill. First, we can ensure that more people get back into work. I very much welcome all the examples that have been given of that. Secondly, we can ensure that people earn a wage that they can live off. They will then pay more in national insurance and we will pay out less in tax credits, which is good for the Exchequer.
Richard Fuller (Bedford) (Con)
The shadow Secretary of State is making a thoughtful speech. Many Members on this side of the House would like to see him as shadow Chancellor. Unfortunately, it seems that we will have to wait until after the next election to see that.
The motion refers to increasing wages and to the living wage. However, there is a tapering effect that means that if somebody on the minimum wage has a pay increase of 23%—the difference between the minimum wage and the living wage for people living outside London—the increase in the money in their pocket turns out to be only 1% or 2% because of the changes in benefits. If the shadow Secretary of State were in charge, how would the Government address that?
Mr Umunna
It is the aim of all Labour Members not to be in the shadows at all. We are happy to give the shadow positions to Government Members.
On the hon. Gentleman’s point about wages, it is important that we incentivise employers to pay a living wage. Imposing a living wage on employers would have an adverse impact. We intend to introduce Make Work Pay contracts, through which we will give employers a tax incentive to pay the living wage. The Exchequer will easily get back the cost of that through national insurance.
Mr Umunna
I will try to make progress, because I am conscious that I have been going on for some time.
We would clamp down on false self-employment. That is the practice by which employers classify their workers as self-employed in order to pay lower levels of national insurance. Of course, that leaves workers without the protections that are enjoyed by employees, even though most people would regard their relationship as one of employment. That is a particular issue in construction. The last Labour Government proposed that workers should automatically be deemed as employed for tax purposes if they met the criteria that most people would regard as obvious signs of being employees rather than self-employed contractors. That will be the starting point for the next Labour Government.
To conclude, we have a bigger goal. Our ambition must be to transform our labour market from one that has too high a percentage of low-wage and low-skill jobs into a high-wage, high-value and high-skill labour market. Of the 25 economies in the OECD, we rank fifth in the percentage of our labour market that is low-waged and low-skilled, and we must tackle that.
Gareth Johnson (Dartford) (Con)
Is the hon. Gentleman aware that there has been a 24% reduction in people claiming benefits in my constituency, which is not a million miles from his constituency? Most of those jobs are full-time, permanent positions, and many are for 18 to 24-year-olds. That happened only because we did not take the advice that the Labour party gave us over the past three to four years, and we stuck with our plans. Why should we start taking the hon. Gentleman’s advice now?
Mr Umunna
I think the clue is in the question. The hon. Gentleman said three to four years, but he did not mention that we had a flatlining economy during that period, or all the stress and worry that people have been subject to in the meantime. That is why we disagreed with his Government’s economic strategy.
Returning to the composition of our Labour market, as economists grapple with the ongoing productivity puzzle, a growing body of thought suggests that it is explained by the compositional change in the work force that I mentioned, and the change towards having more low-paid, low-productivity sectors than before. We must address that and do so fast.
Tom Blenkinsop (Middlesbrough South and East Cleveland) (Lab)
My hon. Friend is making an excellent argument. In 2011, employers spent £1,680 per employee on skills and training, but that has fallen to £1,590 this year. Does my hon. Friend think that has anything to do with the £54 billion fall in investment in SMEs since 2011?
Mr Umunna
I agree with all of that, and it has definitely had an impact. Ultimately, to tackle these problems we need a proper comprehensive industrial strategy that is implemented across all Departments. Some people say, “Well, the Government have an industrial strategy”, but there is no point having an industrial strategy that only the Department for Business, Innovation and Skills buys into, or in using such a strategy to support our defence sector if at the beginning of the Parliament the Ministry of Defence decides to buy product off the shelf from other countries. We must rebalance the economy in the long term, and that is still some way off. In his speech the other week, the Secretary of State acknowledged that, but we still do not export enough, and we still have geographical imbalances and relatively low levels of business investment. We will earn and grow our way out of this cost of living crisis and create more security by better balancing our economy with a proper industrial strategy. I commend the motion to the House.
Vince Cable
My impression is that the policy we have been pursuing is very much evidence-based, and the examples I have given on inspections are in precisely that category. However, my colleagues from the Department for Work and Pensions know much more about this aspect of the subject than I do, and no doubt they will respond to the right hon. Gentleman’s point.
Finally, let me deal with the one issue on which the hon. Member for Streatham spent quite a lot of time and with which he had a certain amount of fun. I refer to the “shares for rights” scheme. Of course, it is possible to develop a critique of that scheme, but what I find amusing is that at least three totally separate and conflicting arguments have been advanced against it. The first is that downtrodden workers will be stripped of their employment rights. When the scheme was being dealt with in Parliament, we tried to ensure that it would be entirely voluntary, and indeed we responded to proposals from the Opposition in order to entrench that.
Another line of criticism has nothing to do with downtrodden workers, but is all about highly paid executives carrying out a tax scam. That may be true. However, a third criticism—which we heard from Back Benchers and which is, at least currently, supported by the facts—was that neither of those things are happening, because not many people are taking up the scheme. If the Opposition are going to launch a full-frontal attack on the proposals, they should work out which of those three arguments they believe in.
Mr Umunna
The Secretary of State has argued that he has resisted some of the nastier aspects of his coalition partners’ moves to water down people’s rights at work, but we need only read the reports of what was said on both sides of the House of Lords to see what impact the “shares for rights” scheme was expected to have. That is the point I was making.
Esther McVey
I have not had sight of the report from the Department for Environment, Food and Rural Affairs, because I am a Minister in the Department for Work and Pensions, but once it has been authorised and released, the hon. Gentleman can read it.
Let us return to today’s debate. We heard a great deal of what I would describe as misinformation about the number of people in part-time work. Since the election, the number of people in full-time work has risen by 1 million; three out of four people are in full-time work, and we have stabilised the position. In the last quarter, the number of people wanting to move from part-time to full-time work fell for the first time ever, and—Opposition Members may be startled to hear this—between 2005 and 2010, the number doubled. That is the truth of Labour’s legacy.
Opposition Members talk of zero-hours contracts, but the number of zero-hours contracts is the same as it was in 2000. The 75% increase happened between 2004 and 2009. Moreover, if we want to think about getting our houses in order, we should note that the council with the worst record for zero-hours contracts is Labour-run Doncaster council, which is in the constituency of the Leader of the Opposition and also in the constituency of one of the ladies on the Opposition Front Bench.
Turning to the contributions of those on the Government Benches, my hon. Friend the Member for St Albans (Mrs Main) talked some good common sense about people getting their foot on the ladder, job progression, the fact that the number of apprenticeships has doubled in her constituency, and how this Government are helping families and young people into work. She also questioned what the hon. Member for Streatham (Mr Umunna) meant when he said, “Don’t take any old job; some jobs are different from other jobs.” There was some real job snobbery from the Opposition Front Bench.
My hon. Friend the Member for Selby and Ainsty (Nigel Adams) talked about youth unemployment being down by 25% in his constituency, and how he does not talk down the economy, but instead talks it up because that is positive and it helps people into work.
Mr Umunna
I ask the Minister to withdraw the comments she has just made. I was quite clear that of course we welcome people getting back into work. My point was—and I am sure she will agree with me—that we aspire for more than that for the people we represent. We do not just want them to get a job; we want them to get good-quality jobs which are secure and well paid. That is the point I was making. She was here. Perhaps she will clarify her comments.
Esther McVey
Well, I am glad the hon. Gentleman has decided to return to the Chamber. I explained earlier how unemployment has significantly fallen in his constituency, but he was not here to hear that. His words are on the record, and we all heard them. Should he wish to read them back tomorrow, he can do so in Hansard.
My hon. Friend the Member for Ipswich (Ben Gummer) talked with great clarity about the great recession that we were left with, how we have sorted it out and taken significant strides in building up the economy, and what we have done in terms of exports and developing manufacturing, so that now for the first time since the ’70s we export more cars than we import, and we are now exporting more outside Europe than inside Europe. All these things have happened under our stewardship.
My hon. Friend the Member for North Swindon (Justin Tomlinson) talked about how people can set up their own business, and how that is a real engine for social mobility, and how this Government are helping people through the new enterprise allowance. Under us, businesses are setting up at the rate of 2,000 a month. That is what we want—young people setting up in business, older people and women setting up in business. Those are the sorts of policies we are coming forward with.
My hon. Friend the Member for Reading West (Alok Sharma) rightly said that this motion is vague, confused, and just lacking really, rather like Labour’s policies in this entire area. He also said business confidence is up, and not just in his area but right across the country. There are reports that say so: the CBI and PricewaterhouseCoopers have said optimism is up. Do people want to take on people? Yes they do. Do people want to give people jobs? Yes they do. They feel that for the first time.
The whole motion did not really make much sense. It never really looked at what had happened under Labour’s stewardship. It never really looked at how when we talk about the tax credits bill and the benefits bill, we say it might have gone up a little bit; it will have gone up by 5% in five years, yet under Labour it had gone up by 20%. What we are doing is rebalancing the economy, bringing the spend down, and living within our means.
The hon. Member for Bridgend (Mrs Moon) talked about unemployment in her constituency. I am pleased to be able to tell her that unemployment is down 26% on this year and 23% on—