Corporate Governance

David Winnick Excerpts

1st reading: House of Commons
Tuesday 29th November 2016 Commons Chamber

[Greg Clark]

As ever, my right hon. Friend makes his points powerfully. It is important that all the talents are represented in our boardrooms, for that is how we will achieve corporate and industrial success in this country. It forms part of the case we make in the Green Paper. Pay is appropriate when it is to attract the best talent and to reward success, but what is not in the interests of the company or confidence in industry is when pay does not reflect performance.

[Mr David Winnick (Walsall North) (Lab)]

The pay of top executives, bosses in particular, has been scandalous, and some of these people are not keen to pay their taxes and use tax havens. The most effective way for working people to defend themselves in their place of work is to belong to a trade union and for that union to be recognised. Time and again, when the worst exploitation is exposed, the cause is often a lack of trade union representation.

[Greg Clark]

I hope that the hon. Gentleman will congratulate the Government on their reforms over the past five years that have increased the scrutiny and moderation of executive pay. I hope that the trade unions will contribute to the consultation. I met Frances O’Grady last week, and trade unions have an important role to play in our economy.