Employment Rights Bill

Earl of Clancarty Excerpts

2nd reading
Thursday 27th March 2025 Lords Chamber

[The Earl of Clancarty (CB)]

My Lords, I congratulate all four maiden speakers. Like my noble friends Lord Freyberg and Lord Colville, I will concentrate my remarks on workers who are largely not covered by this Bill but are a significant part of the workforce: the freelancers, including the self-employed. I will make particular reference to the arts and creative industries, and I thank DACS, BECTU and Equity for their briefings. I also declare an interest as a self-employed artist.

There are 4.39 million self-employed workers in this country, representing just under 14% of the workforce. There was a dip during Covid, when many freelancers fell through the gaps of government support, but the reality is that this is a long-term expanding workforce for whom the Government need to ensure employment rights.

Freelancers underpin the creative industries, our second most important sector economically and one the Government have pledged to support—80% of musicians are freelancers, for example. They have an especial importance, in that what affects freelancers will affect the sector as a whole because the creative industries are an ecosystem. Consequently, freelancers have a significance within the workforce that far exceeds their numbers. Therefore, a truly modern Employment Rights Bill would have properly included the rights of freelancers and the self-employed, for many of whom that status fits the nature of their work.

I acknowledge the argument about the complexities of freelance work and tax issues, including concerns about IR35. However, there is also a concern about the comprehensiveness of rights and the “single worker status”. How will that status accommodate freelancer workers with that mix of self-employed, PAYE employees and limb (b) workers?

I nevertheless welcome this necessary Bill for employees. Most European countries have banned zero-hours contracts, and we certainly need measures in place that will help employees without restricting their opportunities to work, which is a key consideration. Guaranteed hours will benefit many in the creative industries. However, there are various groups in the creative industries—including employees on short-term contracts and casually contracted workers such as cinema workers, front-of-house and other workers in theatres—who may be pushed against their will into self-employment without the same employment rights they currently have, at least. Will the Government monitor this potential effect? How will rights be properly enforced from within the new body?

BECTU points out that, on parental rights, sick pay, pensions, equalities and other areas covered in this Bill, the rights of self-employed workers “lag far behind” those of employees. Will the Government introduce these rights for self-employed workers? What will be the timescale for doing so? Equally, what are the Government’s plans for their manifesto commitments on blacklisting protections, health and safety protection and the right to a written contract for the self-employed?

Much of the creative industries supports the appointment of a freelance commissioner. It is also a recommendation of the Culture, Media and Sport Committee. Such a commissioner ought, of course, to be responsible not just for the creative industries but the whole landscape of freelance work. That should also extend beyond the particular concerns of employment rights to include the equally urgent concerns around pay and opportunities. As many organisations have pointed out, there is very little data on the freelance workforce, the collection of which should be a major aspect of this remit. In the same way that DBT and DWP have an involvement in this Bill, DCMS should certainly have an input into the role of a freelance commissioner, if one is appointed—after all, it has a working party on this issue, as the Minister knows—and any future legislation on the self-employed, as indeed should the creative industries themselves.

Employment Rights Bill

Earl of Clancarty Excerpts

Committee stage
Tuesday 29th April 2025 Lords Chamber

[Lord Parkinson of Whitley Bay (Con)]

My Lords, in moving Amendment 16 in my name, I offer my apologies for not being able to be present at Second Reading, although I followed the debate that your Lordships had then, as I have today’s debate, particularly the earlier group on zero-hours contracts.

I also offer my thanks to the Society of London Theatre and UK Theatre, which represent some 500 of the UK’s leading theatre producers, venue owners, managers and performing arts centres, and with which I had the honour of working closely when I was Arts Minister, for raising the issue that underlies my amendment and for discussing it with me in some detail. I stress that those organisations welcome many of the measures in this Bill and share the Government’s ambition to eliminate exploitative practices, but they have flagged their concerns with the provisions relating to zero-hours contracts, which are integral to operations in theatre and other live performing arts, and which presently operate in a way that delivers fairness, flexibility and inclusion for the sector and the brilliant, creative people who sustain it.

I am sure, by the end of proceedings on the Bill, that the Minister will have tired of special pleading on behalf of every sector of the economy, but theatres operate under a unique set of pressures, including the stark new pressures that I saw them confront during my time in government—from the bleak months of Covid-19 to the rising costs of energy and materials following the inflationary effects of that pandemic and of the illegal invasion of Ukraine.

The effects of that turbulence—rising costs and falling real-terms income—mean that theatres must work harder than ever before to balance the necessity of making a profit with long-term investment and their sincere commitment to delivering social good. The arts hold a mirror up to our society and help us to understand the human condition—a value that cannot simply be measured in ticket sales and bottom lines, important though those are.

In particular, as major employers of a casual workforce, theatres have to manage highly irregular and unpredictable staffing needs while supporting and valuing their workers, without whom theatre simply could not happen. As one of the organisations which sprang up during the pandemic put it in its very well-chosen name, freelancers make theatre work.

The proposals in the Bill as currently drafted, regarding the right to guaranteed hours for casual workers, risk upsetting the delicate equilibrium by which the theatre sector operates, balancing commercial viability with social value, long-term investment with short-term realities, and the demands of an irregular calendar with a commitment to fairness for its workforce. Although I am glad to see that the Government have amended the Bill in the ways we have just debated in the previous group and will debate when we look at further government amendments which follow—particularly, in this instance, to allow collective agreements to override the new statutory right—the mechanism set out in new Section 27BW does not fully solve the problem and is unlikely in practice to provide the safeguards that this cherished sector needs.

Theatre’s operating model is inherently shaped by irregular programming, seasonal variation and periods of closure. Those aspects are baked into the way that theatre works and are part of what makes it so dynamic and diverse. Notwithstanding the well-known mantra that the show must go on, theatres do not operate continuously. Even long-running productions experience periods of closure, known as dark weeks, when no performances can be staged and no box office income is generated. The opening of a major new production might require up to 12 weeks to load in sets and equipment and to undergo technical rehearsals. These help productions to dazzle us with ever-more ambitious technical wizardry, and are rightly the stuff of separate award categories for lighting, sound, set design and more.

Short, planned closures, typically for at least a fortnight each year, are needed to carry out essential inspections and to ensure that buildings remain safe and compliant for those who enjoy visiting them. That is particularly important in heritage venues, which receive heavy footfall but only modest and irregular investment. I pay tribute to the work of the Theatres Trust and others who champion the value and plight of historic theatres, concert halls and other cultural buildings across the country, and acknowledge the pressing capital needs of our cultural estate, particularly at a time when many of the boilers, roofs and windows that were funded by the first wave of National Lottery funding some quarter of a century ago are all reaching or long passing the natural time for an upgrade.

Sometimes, of course, these periods of closure are needed without much warning at all, as I saw during my time as Minister, when I had occasion to learn, along with most of the rest of the country, what reinforced autoclaved aerated concrete was. The noble Baroness, Lady Thornton, from the Benches opposite, and I were both at a very enjoyable performance of “The Witches” at the National Theatre, which had to be halted midway because of a breakdown of the Olivier’s revolving stage. I am very pleased that the last Conservative Budget helped the theatre to fix that before its 60th birthday year was over.

The sad fact is that performances can be cancelled at short notice for a variety of reasons, most of which are beyond the control of the theatre operator and staff. I have mentioned two egregious examples already—the pandemic and the need for health and safety in the face of things such as RAAC—but many other external challenges beset theatres from time to time: severe weather causing leaks or other damage which requires repairs, external events such as power cuts, or industrial grievances from other sectors having a knock-on effect. I am sure it is not betraying any state secrets to say that one of the few COBRA meetings I was called to attend as Arts Minister was to discuss the effects of the train strikes on our theatres and other parts of our night-time economy, which lost audiences and vital income as a result.

Of course, there are those unforeseen incidents which come like the theatrical deus ex machina. Last year, for example, a touring production of “Chitty Chitty Bang Bang” was brought to a halt when the eponymous vehicle, “our fine four-fendered friend”, was damaged during the get-out at one of its venues. The repairs to the vehicle took several weeks, leading to the cancellation of all performances during that period. That meant that other venues which had booked the production received no income and were unable to programme another show at such short notice.

During times such as these, there is, quite simply and unavoidably, no front-of-house work available. Guaranteeing hours during periods like that, as the Bill requires, would mean paying staff when no work exists, placing enormous pressure on theatres’ and other arts venues’ already very tight operating budgets. That is the reason for my Amendment 16.

The proposed right to guaranteed hours assumes that organisations operate with consistent demand and regular staffing patterns. That is not the case in theatres or, as we heard in previous debates, in many other businesses and organisations. Theatres’ scheduling requirements and therefore their staffing needs shift weekly—sometimes daily. Guaranteeing fixed hours based on short-term patterns of work, as the Bill proposes, would introduce a level of rigidity that threatens their entire staffing model.

The aim of my Amendment 16 is to urge the Government to acknowledge the unique dynamics of theatre and of the arts sector more broadly, and to adopt a more realistic framework, which will be beneficial to many sectors beyond theatre and the performing arts. UK Theatre has suggested the concept of “available hours”, which I have reflected in my Amendment 16, referring to the actual hours that an employer can collectively offer workers in a given period. This approach would allow for the equitable allocation of work while remaining responsive to the volatile nature of theatre operations.

It would also reflect the desires of the staff who value the flexibility that theatre work currently affords them. Many of those who work front of house do so to support other careers or responsibilities; as noble Lords noted in our debates in relation to other sectors, people have many family or caring burdens. But theatres particularly attract front-of-house staff who want a flexible job, perhaps because they are creative freelancers balancing work with auditions, because they are students are still learning their trade, or because they are retirees and theatre lovers seeking fulfilling part-time work or seeking sociable evening, but not night-time, working hours—rather unlike your Lordships’ House.

The theatre sector’s sincere understanding of its workforce is rooted in over a century of constructive and collaborative industrial relations with the trade unions in the sector, whose names are almost as well-known as those of some of their famous members: Equity, BECTU, the Musicians’ Union and the Writers’ Guild of Great Britain. Their symbiotic relationships have produced agreements which are highly tailored to this unique sector. These strong union relationships and robust collective agreements already guarantee protections such as minimum calls, notice periods and compensation for cancelled shifts.

The recent amendments to the Bill include a provision under new Section 27BW which allows certain rights, such as the proposed right to guaranteed hours, to be excluded through a relevant collective agreement. But such an agreement must explicitly exclude the statutory right and include clear replacement provisions. Retaining this flexibility would now depend on being able to negotiate its exclusion.

Without that flexibility, the Bill before us risks creating structural unfairness, entrenching advantage for a small number of workers at the expense of wider opportunity, undermining long-standing and vitally cherished industrial relations, and damaging the ability of theatres to take creative risks, maintain their heritage buildings and serve the community. What is intended as a protection could in practice become a barrier to access and inclusion. I am sure that is not what the Government want to see, so I hope the Minister will agree to look at this carefully and to discuss it with me, with UK Theatre, the Society of London Theatre and many others from the world of the arts to make sure that the Bill delivers for those cherished sectors. I beg to move.

[The Earl of Clancarty (CB)]

My Lords, this amendment points up the need for a nuanced approach tailored to industry requirements. This is the first particular instance we have in the Bill of its potential effect on the creative industries, which will crop up again—I assure the Minister—as the Bill progresses. I congratulate the noble Lord, Lord Parkinson of Whitley Bay, on introducing this amendment. I hope the Minister will look carefully at the SOLT/UK Theatre briefing, which is highly informative and measured and demonstrates well the wide degree of flexibility required for the employment of, for instance, front-of-house staff in theatres.

We often take front-of-house staff in theatres and cinema workers for granted, but they are the backbone of these organisations. They could not run without them. In my experience, they are unfailingly polite and helpful and often highly knowledgeable. A fair number, as the noble Lord, Lord Parkinson, said, have jobs in other areas of the creative industries, which highlights the complexities of working relationships in this sector.

The briefing from SOLT/UK Theatre is, of course, the view from the employers, and the solution has to have the support of all stakeholders, including the workers themselves. According to The Stage,

“actor Nicola Hurst, who is also a duty manager … at Southwark Playhouse, said … she had turned down permanent contracts multiple times … as they could never offer her the flexibility she needed to pursue her creative work”.

She speaks for many in this sector when she says:

“I have colleagues and friends working at all levels in the theatre industry, from fringe to the West End, and for all of them, zero-hours contracts are essential to support themselves between creative jobs, and often, to bolster fees from a tragically underfunded sector”.

--- Later in debate ---

[The Parliamentary Under-Secretary of State, Department for Business and Trade and Department for Science, Information and Technology (Baroness Jones of Whitchurch) (Lab)]

My Lords, I thank the noble Lord, Lord Parkinson, for tabling Amendment 16, which would require the Secretary of State to have regard to sector-specific work patterns when making regulations relating to the right to guaranteed hours. I am grateful to all noble Lords for their contributions and for highlighting the sometimes unique employment practices that occur in the creative sector and, in particular, the theatre sector.

In response to the noble Lord, Lord Hunt, I would say that we have engaged extensively with the Society of London Theatre and are happy to carry on doing so. We appreciate that some sectors—including the theatre sector, which is highlighted in the noble Lord’s amendment—do have fluctuating demand across the year.

This is a sector that I know all noble Lords recognise we need to support, for all the reasons that the noble Lord, Lord Parkinson, said, particularly for social value reasons. We therefore want to take note and make it right for the sector.

I reassure the Committee that flexibility is already built into the Bill to address issues of seasonal demand. There are several ways under the Bill that an employer could approach that issue while upholding the new rights to guaranteed hours depending on the circumstances, particularly by using limited-term contracts where that is reasonable. Those who are offered guaranteed hours will be able to turn those down and remain on their current contract or arrangement if they wish. Furthermore, through the Bill we have also allowed for employees and unions to collectively agree to opt out of the zero-hours contract measures. Unions can make these deals based on their knowledge of the industry and with a holistic view on what is best for their workers.

We will ensure that the needs of different sectors are considered when we come to design the regulations. We will continue to work in partnership with employers across the different sectors, their representatives, the recruitment sector and the trade unions to develop those detailed regulations, and we will provide clear guidance for both employers and workers in advance of implementing these measures.

The amendment from the noble Lord, Lord Parkinson, had a new concept of available hours for sectors with varying seasonal demand. We would push back on that issue. It could risk creating a two-tier guaranteed-hours framework for workers in sectors with more or less seasonal fluctuation. We believe that the reference period provided for in the Bill will ensure that qualifying workers are offered guaranteed hours that reflect the hours that they have previously worked.

I hope that, in that short contribution, I have been able to persuade the noble Lord that we are aware of the issues and are on the case. We feel that there is considerable flexibility in the Bill as it stands. We are happy to have further discussions. As we have heard from noble Lords, there are a range of issues and a range of options here, so there is not just one way of solving this problem. We are happy to get round the table and talk some more. We feel that, as the Bill is currently designed, it answers the concerns that are being raised with us, but we are happy to talk further. I therefore hope that, on that basis, the noble Lord will be prepared to withdraw his amendment.

[The Earl of Clancarty (CB)]

The Minister talked about the reference period. SOLT would like to see a longer reference period because a year is much more of a real time length than 12 weeks. Is that something that the Government would consider at all?

[Baroness Jones of Whitchurch (Lab)]

We have previously had a debate on the nature of reference periods, and that is something that we are going to consult further upon. If we are going to have a discussion, let us have a discussion on that as well, and I will see if I can reassure noble Lords on that matter.

Employment Rights Bill

Earl of Clancarty Excerpts

Committee stage
Thursday 5th June 2025 Lords Chamber

[Lord Parkinson of Whitley Bay (Con)]

My Lords, I rise to add my support to Amendment 201, moved by the noble Lord, Lord Faulkner of Worcester, to which I have added my name in an expression of cross-party support for this very sensible endeavour. In doing so, I pay tribute to the noble Lord, Lord Faulkner, for his tenacity on this issue, as well as to the hard work over many years by the Heritage Railway Association and the All-Party Parliamentary Group on Heritage Rail, of which I am a member.

As the noble Lord outlined, he has been campaigning on this issue, along with those colleagues, for a number of years, including through the Private Member’s Bill that he brought in the previous Parliament. It was debated in this House when I was Heritage Minister but was responded to for the then Government by my noble friend Lady Stedman-Scott. She, and indeed all the noble Lords who spoke in the Second Reading debate on that Private Member’s Bill, spoke very sympathetically about it. My noble friend Lady Stedman-Scott spoke also with fondness of the Kent and East Sussex Railway, which passes very close to where she lives. Speaking from the Labour Front Bench, the noble Baroness, Lady Wilcox of Newport, who also mentioned the Talyllyn Railway and the Pontypool and Blaenavon Railway, said in her remarks from the Opposition Front Bench then:

“I have little doubt that achieving and delivering the desired objectives will eventually be managed, whether it is through this Bill or by the Government’s hand”.—[Official Report, 15/7/22; col. 1724.]


Sadly, that “eventually” is still outstanding, and I hope that the Government will take the opportunity of this Bill to achieve what the noble Lord, Lord Faulkner, and others have been campaigning for so long.

The noble Lord, Lord Faulkner, set out very clearly the legal position as it stands, as well as very powerfully the beneficial impact that heritage railways have in communities up and down the country: the social skills that they provide to young volunteers; the employment that they offer in rural areas; the linchpin that they often are to the visitor economy in their parts of the United Kingdom.

It is very welcome that, as the noble Lord highlighted, both the Health and Safety Executive and the Office of Rail and Road have made clear that they would not seek to enforce the 1920 Act to prevent children, women or young people volunteering on heritage railways. But the point, as the noble Lord rightly said, is that this confusing provision remains on the statute book. That has a potentially chilling effect for the voluntary organisations that look after our heritage railways. They are dependent on volunteers, not just for restoring and running locomotives, welcoming the many visitors from around the world who come to this country to enjoy them, but also the volunteer trustees and custodians who have to get their heads around the legal and regulatory position in which those organisations are operating. They take their duties in relation to the safety of the staff and visitors to heritage rail very seriously indeed, and the Heritage Railway Association does excellent work in providing advice and guidance to its member railways. But we should do our bit as legislators to make the job of all those volunteers easier by making sure that the law is up to date and clearly understood.

Amendment 201 does not seek to repeal the 1920 Act but to amend it, to put beyond doubt that it does not prohibit women, young persons and children from volunteering on our heritage railways and heritage tramways. The noble Lord, Lord Faulkner, referred in the previous exchanges he has had with many Governments that one of the arguments against doing this is “unintended consequences”. I have seen that many times myself in the briefings that I was given as a Minister at the government Dispatch Box. Often unintended consequences are also unspecified ones. It is hard to think what the unintended consequences might be, but the noble Lord has very sensibly drawn Amendment 201 very tightly in order to obviate that problem, so I hope the Government will look favourably upon it.

We all want to encourage volunteering, not just to help these cherished organisations to continue to bounce back from the pandemic and the challenging time that they had during Covid-19 and the challenges they face in relation to the supply of coal; their very purpose is to pass on to future generations an appreciation of our industrial past, the vital role that the railways played in the history of our nation, and to use the scientific and engineering advances of the past to inspire new generations to come up with world-changing advances of their own. As the noble Lord, Lord Faulkner, said, some 22,000 volunteers are involved in keeping our heritage railways going, but too few of them are women or young people. The sector very much wants to welcome volunteers from an ever-wider background, and this piece of more than 100 year-old legislation stands in the way of their valiant efforts.

This is the year in which we are celebrating Railway 200, the bicentenary of the first passenger rail journey between Stockton and Darlington, in my native north-east. I am very pleased to see my noble friend Lord Mendoza in his place. Historic England, which he chairs, is among the many organisations that are supporting Railway 200 with great enthusiasm to inspire new generations to get involved in our heritage railways but also to inspire them in the exploits of the future.

So, as we mark that important 200th anniversary, I hope we can finally take the opportunity to amend this law, which is already more than 100 years old and which has caused confusion for too long. I know that the Minister has a background in rail, and I hope he will look favourably on this amendment from his noble friend and agree to discuss with both of us how we might take this opportunity, finally, to solve the problem that he has been seeking to address for so long.

[The Earl of Clancarty (CB)]

My Lords, briefly, I support the amendment of the noble Lord, Lord Faulkner. I certainly do not have the expertise that he has in heritage railways, but steam railways are an important part of this country’s heritage and, as each year passes, that importance surely grows. We are getting closer to a time when there will be no one with a personal memory of such trains in their working life. As well as being an enjoyable activity for interested and enthusiastic children and young people, this is also an educational opportunity for the next generation, as the noble Lord, Lord Parkinson, says, in supporting our heritage—and support for our heritage is something that this Government have pledged to give. This is an instance that shows the world of work in all its manifestations as a very varied one, including voluntary work undertaken by young people. I hope that the Government show some flexibility in this regard and accept the amendment of the noble Lord, Lord Faulkner.

[Baroness Neville-Rolfe (Con)]

My Lords, I shall also briefly support this amendment. The noble Lord, Lord Faulkner of Worcester, has made the case very well, well supported by my friend Lord Parkinson of Whitley Bay. The noble Lord., Lord Faulkner, will recall how we worked together to save Thomas the Tank Engine when we were having difficulty getting fuel for the heritage railways. I always like to take the opportunity of encouraging this extraordinary bit of our heritage, and I think this very simple and minimal amendment would help with that.

--- Later in debate ---

Moved by

[The Earl of Clancarty]

204C: After Clause 54, insert the following new Clause—
“Review: impact of employment law relating to casting directories and digital casting platformsWithin six months of the day on which this Act is passed, the Secretary of State must commission a review of the impact of employment law relating to casting directories and digital casting platforms on performers in the creative industries.”

[The Earl of Clancarty (CB)]

My Lords, I am grateful for the support of my noble friend Lord Freyberg, and the noble Lords, Lord Hendy and Lord Cashman, who unfortunately cannot be here today, and for the discussions I have had with them and other colleagues in the House, including the noble Baroness, Lady McIntosh of Hudnall, who I see her in her place, and with relevant industry representatives. I am also grateful for the meeting that my noble friend Lord Freyberg and I had with the Minister and her team on not just this but other areas of the creative industries in relation to the Bill.

This debate has been prompted by the ongoing dispute between Equity and the casting directory resource Spotlight around the levels of charging that Spotlight makes for the inclusion of performers in its now online directory. I declare an interest as my daughter is at drama school and signed up with Spotlight. Equity believes that Spotlight charges too much for this service and is bound by both the Employment Agencies Act 1973 and the Conduct of Employment Agencies and Employment Businesses Regulations 2003. Equity believes that, at the very least, Spotlight should not be charging more than it costs to maintain the directory. This dispute has resulted in a class action brought last year by Equity against Spotlight, and a High Court hearing is scheduled for next month.

I will not say anything about how the court case should or will pan out, and I am sure that the Minister will be equally as careful in her response in that respect. What I can say is that things very much came to a head in 2023, when Spotlight tried to launch its so-called “premiere service” at a time when we had only just emerged from Covid. This was widely criticised within the industry as invoking a two-tier membership which would only benefit the more privileged. To its credit, Spotlight paused this service, but there is no doubt that some damage had been done in terms of trust.

Equity says that the charges that Spotlight makes are their members’ number one concern and that, further, Spotlight is exploiting its monopoly position. However, there is a strong argument for a single, recognisable go-to platform for professional actors and other performers. This is a really important point, otherwise it could cost actors a lot more if it becomes necessary to sign up to more than one platform. This is a role that Spotlight has fulfilled for almost 100 years and continues to fulfil. I should say that, as far as I can ascertain, there is no substantial criticism of the service that Spotlight or indeed other platforms provide; this is a dispute about costs.

One potential outcome of the court case is that performers will not have to pay anything at all for inclusion in such directories. However, this raises very problematic concerns about how those moneys are made up for if that should be the case, as well as there being potentially wider implications beyond the entertainment industry.

I ask two things of the Minister. The first is very simple and modest: that the Government keep a watching brief on this. We may well return to this after the court case, and I will leave it to my noble friend Lord Freyberg to provide particular arguments about why we should have the review that the amendment itself asks for.

Secondly, and the reason for raising this issue at the present time, is that as I have tried to show, this dispute has not come out of the blue. I therefore ask the Government whether they believe that a legally enabled mechanism might have been useful in this instance and potential future instances in order to resolve such disputes and avoid court proceedings, which is always a nuclear option. In that respect, I listened with great interest to the previous debate on the group led by the noble Lord, Lord Hendy, and wonder whether the Minister has a response to that. I beg to move.

[Lord Freyberg (CB)]

My Lords, I will speak in support of Amendment 204C. I thank my noble friend Lord Clancarty for tabling the amendment and I am grateful for the constructive discussion that he, the noble Lord, Lord Hendy, the noble Baroness, Lady McIntosh of Hudnall, and I had with colleagues, industry representatives and the Minister and her team. Like my noble friend, I do not intend to comment on the ongoing legal proceedings between Equity and Spotlight; that is rightly a matter for the courts. However, I believe that the situation that has prompted this amendment highlights an underlying tension that is worthy of review: whether the existing employment law and regulatory framework remain fit for purpose in today’s digital casting environment.

--- Later in debate ---

The Government understand the importance of the conduct regulations and the wider legislative framework applicable to employment agencies and employment businesses, and are committed to keeping them under review. Any review of the framework will look at the framework in the round, and impacts on different sectors and industries will be considered. For this reason, I ask the noble Earl to withdraw his amendment.

[The Earl of Clancarty (CB)]

My Lords, I thank the Minister for his response. He did not answer my question about a legally enabled mechanism, although I think it was probably answered at the end of the previous debate.

I thank all noble Lords who have taken part. I think the point made by the noble Baroness, Lady McIntosh of Hudnall, about the delicate ecosystem is hugely important, and we upset that ecosystem at our peril. I thank the noble Lord, Lord Hendy, for what he said about collective bargaining. That is something that we perhaps ought to be looking at, nevertheless. The claim that the noble Lord, Lord Freyberg, repeated—that 30% of radio adverts are now AI-generated—is quite shocking. This is yet another stress on our artists, without remuneration. That leads me to my final comment, which is that it is probably not a coincidence that this dispute is happening at a time when, after 14 years when the subsidised arts sector, so important at the grass-roots level—the entry level for young performers for theatre, television and film—has been torn to shreds, when there are far fewer jobs in this sector and fewer new theatre productions across the country. Although that is not a justification for any particular stance taken, it is, nevertheless, a significant part of the wider story.

I hope that, with the spending review, this damage will start to be repaired, because what price employment rights for employees if there are no jobs to go to? I beg leave to withdraw the amendment.

Amendment 204C withdrawn.

Employment Rights Bill

Earl of Clancarty Excerpts

Committee stage
Monday 16th June 2025 Lords Chamber

In summary, these amendments aim to promote fairness and sustainability. They would ensure that extending employment protections did not inadvertently tear holes in the cultural sector. Our intent is not to obstruct the Bill but to improve it, making it fit for every part of the economy. The arts enrich our society immeasurably; we should give artists and cultural workers the employment rights they deserve, while also preserving the institutions and projects through which our nation’s creativities thrive. I beg to move.

[The Earl of Clancarty (CB)]

My Lords, my Amendment 287 in this group seeks to establish a freelance commissioner. I thank my noble friends Lord Freyberg and Lord Colville, and the noble Lord, Lord Clement-Jones, who have supported this amendment. I support all the other amendments in this group, including Amendment 286, which is similar in intent in wishing to improve the situation of freelancers in the creative industries, and Amendments 301 and 302 in the name of the noble Lord, Lord Clement-Jones, which very usefully seek to define what a freelancer is.

The only thing that I would add to Amendment 301 is the category of sole trader, which would highlight the point that an artist is always working, whether they have a client or not and whether we are talking about a visual artist, a photographer, a musician, a composer or a novelist. The buyer, the publisher, the venue or gallery may materialise at some stage, but it is sometimes a thing of the future. In the creative industries, worker and client are not always walking hand in hand at any one time.

I very much support the Bill as far as it goes, but a truly modern employment Bill—and it is an employment Bill, not an employee Bill—would have included consideration of the self-employed and freelancers, a group which of course includes the creative industries. On 5 June in the previous debate in Committee, the noble Lord, Lord Hunt of Wirral, said

“we cannot claim to be modernising employment law if we ignore how it interacts with one of the fastest growing and culturally significant sectors of our economy”.—[Official Report, 5/6/25; col. 950.]

In trying to deal with the problem of zero-hours contracts in the wider economy, the Government are already encroaching on this territory but without properly assessing the wider effects of doing so—one good reason why the whole landscape of employment needs to be looked at through employment law in the round.

As the previous debate on the amendment on theatre workers, tabled by the noble Lord, Lord Parkinson of Whitley Bay, pointed up, there is the danger of unintended consequences affecting workers in the creative industries. Freelancers constitute around 15% of the total workforce of the country, but as the noble Lord, Lord Freyberg says, the figure runs at twice that national average in the creative industries, rising to 70% in the visual arts and 80% for musicians. Indeed, freelancers are often described as the backbone of the arts landscape. For a number of reasons, this is a growing workforce, despite—or in some cases because of—the increasing difficulties for workers.

Employment Rights Bill

Earl of Clancarty Excerpts

Report stage
Monday 21st July 2025 Lords Chamber

[Lord Faulkner of Worcester (Lab)]

My Lords, I am very grateful to the noble Lord, Lord Parkinson of Whitley Bay, for making an excellent speech which I could very easily have made myself—there was nothing in it with which I disagreed. He rightly referred to the fact that he and I tabled an identical amendment in Committee. We have come back tonight because this issue really has to be settled one way or another. I have previously declared my interest as president of the Heritage Railway Association. I should also say that I am the sponsor each year of an HRA award for young volunteers, to encourage a continued influx of young people to learn the skills and enjoy the satisfaction that working on a steam railway brings.

Last month, in my role as president of the HRA and co-chair of the All-Party Group on Heritage Rail, I was fortunate enough to take part in the 70th anniversary celebrations of the Ffestiniog Railway in north Wales, which was brilliantly organised and fitted in admirably with National Rail’s Railway 200 programme. It involved a cavalcade of every steam locomotive that the railway possesses, in procession on the Cob in Porthmadog, and it was a very fine tribute to the railway’s history and its contribution to the economy of north Wales. I met many young people who are keen to join the railway but are prevented from doing so because of their age, and I took the opportunity also to talk to older volunteers who are now part of the very successful team on the Ffestiniog. Almost without exception, those older volunteers started at ages as young as 13, back in the 1970s, in blissful ignorance of the Employment of Women, Young Persons, and Children Act 1920—an Act which, frankly, had disappeared from public consciousness. Indeed, many were involved in the hard physical labour of building the deviation that some of your Lordships may know, which allowed the railway to be carried above the waterline of a new reservoir to reach the northern terminus of Blaenau Ffestiniog.

As the noble Lord, Lord Parkinson, said, once the HRA received the wholly unwelcome advice that the 1920 Act had been interpreted to extend to under-16s and included volunteering as well as paid work, things changed. The safety regulators have made it clear that they would not prosecute under the 1920 Act and would maintain safety and safeguarding under more recent and appropriate legislation; but if that is so, I have to ask why this anachronistic legislation is still on the statute book.

I am most grateful to the Minister, my noble friend Lord Katz, for the discussions he initiated with the noble Lord, Lord Parkinson, and me on this, and I know how sympathetic he is to the points we have been making. I understand that the possibility of further guidance from the safety regulators remains, but that guidance must be reinforced by statutory force, because while the 1920 Act is in force, responsible Heritage Railway managers will not wish to break it. Even if the ORR would not prosecute, what is to stop a local authority or a parent doing so? It is time to make things clear and simple by removing this outdated restriction that is holding heritage railways back from encouraging the next generation, preventing them enjoying the opportunities that so many leading figures in the railway heritage movement had as youngsters.

[The Earl of Clancarty (CB)]

My Lords, I will be exceedingly brief. I put my name to this amendment in the spirit of support for our heritage, of which our heritage railways are a significant part. We need to do everything we can to allow young people who wish to do so to work as volunteers in this area. I hope that the Government will look favourably on this amendment.

[Baroness Butler-Sloss (CB)]

My Lords, I have played no part in this Bill, but I have come in especially for this amendment—although I voted on an earlier one. However, my elder brother was a passionate railway supporter, and he would have been horrified if he had realised that any support that he could give would have been illegal. Respectfully, it is no use the Minister saying that guidance shows that they will not prosecute. The fact is that the law forbids it. Speaking as a former lawyer, if the law forbids it, no respectable organisation should allow it to go forward.

It does not matter that the advice is that you will not be prosecuted. If, in the future, a 13 year-old is a passionate supporter and a different member of the organisation who looks after this says, “We must prosecute”, the fact that they have been told they would not be prosecuted would not be the slightest defence in a court of law. This is the important thing. It is anachronistic, as has been said, and it is time it was changed. I hope the Minister is not going to offer the bromide that it does not matter because it will not happen. The law has to be obeyed, and we cannot have government departments saying that you can shut your eyes to a piece of law.

Employment Rights Bill

Earl of Clancarty Excerpts

Report stage
Wednesday 23rd July 2025 Lords Chamber

Moved by

[The Earl of Clancarty]

160: After Clause 150, insert the following new Clause—
“Independent Freelance Commissioner(1) There is to be an office known as the Office of the Freelance Commissioner.(2) The Office in subsection (1) must be established by the Secretary of State by regulations three months after the day on which this Act is passed.(3) The Office of the Freelance Commissioner will be led by an individual appointed by the Secretary of State titled the “Independent Freelance Commissioner”.(4) The role in subsection (3) is referred to as the “Freelance Commissioner”.(5) The Freelance Commissioner may appoint staff to the Office of the Freelance Commissioner they consider necessary for assisting in the exercise of their functions in subsection (6).(6) The Freelance Commissioner is responsible for—(a) representing the interests of freelance workers in the application of employment rights under this Act,(b) ensuring fair treatment of freelance workers across different sectors,(c) regularly engaging with sectors with high proportions of freelance workers about the application of provisions of this Act,(d) gathering and analysing data about the freelance workforce,(e) identifying issues and finding solutions to challenges faced by freelance workers as a result of provisions in this Act, and(f) ensuring that the duty to consider the freelancer workforce under section (Duty to consider freelancer workforce) of the Employment Rights Act 1996 is discharged properly.(7) The Freelance Commissioner must publish an annual report on the discharge of their functions set out in subsection (6) and lay this report before Parliament.(8) For this purpose of this section, a freelancer is defined according to section (definition of “freelancer”) of the Employment Rights Act 1996.(9) Regulations under this section are subject to the negative resolution procedure.”Member’s explanatory statement
This amendment establishes the office of the Freelance Commissioner and makes provisions for relevant duties and responsibilities.

[The Earl of Clancarty (CB)]

My Lords, I will speak to my Amendment 160, although I support all the amendments in this group. I declare an interest as a self-employed visual artist. Amendment 160 seeks to establish a freelance commissioner. It is closely tied to consequential Amendments 161 and 162, in the name of the noble Lord, Lord Clement-Jones, which seek to define what a freelancer is and to give the freelance commissioner greater teeth. I am very grateful for the support on this from the noble Lord, Lord Clement-Jones, and I welcome the support of my noble friend Lord Freyberg and the noble Lord, Lord Sharpe of Epsom, as well as that of my noble friend Lord Colville, who I know would have signed this amendment if there had been room to do so.

The first thing to say is that the creative industries welcome the appointment of a champion for this sector, as announced in the industrial strategy after Committee, and are pleased that that champion will be a member of the Creative Industries Council. These are things that the creative industries have been asking for for a long time, so there is appreciation that the Government have listened in this respect. Yesterday, I also had sight of the draft terms of reference—which is, of course, interesting timing. Those terms of reference, which are the result of conversations between relevant organisations and the DCMS within the framework of the Good Work Review, are impressive, if not yet entirely comprehensive, tasks and concerns. It is important to stress that this also illustrates the immense challenges a freelance champion will have. Nevertheless, I applaud the Government for opening the lines of communication between the DCMS and other organisations; long may that continue.

However, there remain questions concerning the champion. What powers will the champion really have, if any significant powers at all? Is this to be a salaried position? How much, in practice, will the champion be able to cut across different departments? Will this role be more about guidance for the sector rather than the really necessary action required for freelancers in terms of the many rights that standard employees have—and to a large extent take for granted—but that freelancers lack? I would be very grateful if the Minister could fill in some of those gaps if she is able to do so.

There are broadly two reasons why we should have a statutorily appointed and independent freelance commissioner. The first is that we urgently need someone to look at the whole landscape of freelance and self-employed work, which constitutes a not-negligible 15% of the workforce—and this is a sector that is growing. As my noble friend Lord Londesborough pointed out in Committee, this includes not just the creative industries but construction workers, agricultural workers and others. My amendment covers that landscape, one that the Bill—which is supposed to be an Employment Rights Bill, not an employee rights Bill—does not cover. Instead, as freelancers are always asked to do, we are told to wait in line. This of course happened during Covid, when so many freelancers fell through the gaps in support.

Even looking just at the creative industries, there is a question as to whether the whole of the creative industries themselves would necessarily be served by the new champion, in whatever guise that comes. The DCMS’s current understanding of these industries may be narrower than the reality, and this is certainly true of those craft industries—hugely important for our economy—that may not necessarily fall within the champion’s remit because of the manner in which parts of the creative industries are currently defined. This is something for the Government to look closely at, and I know that my noble friend Lord Freyberg intends to flesh out some of the detail of this very real concern about invisibility in both this and the debate that follows.

The second crucial reason for having a statutory appointment is not just that that role would have the requisite powers to argue for and effect real change, with the necessary authority to do so, but that it is a long-term position that cannot be rescinded easily because we are in this for the long haul. There is no doubt that freelancers’ concerns—this is certainly true of the creative industries—have grown more critical in terms of rights; income; the problems with late payment; Brexit, which has affected and continues to affect so many of our creative industries, not just music; AI, of course; and, crucially, the downturn in the funding of the sector. All these things have become immense pressures, which demand the appointment of an independent commissioner with the requisite powers to effectively address all these concerns and influence government policy.

I talked at some length in Committee about these increasing pressures as they affect the creative industries, and I will not repeat those arguments, except to add some conclusions from a survey to be published tomorrow by the organisation Freelancers Make Theatre Work—I am grateful for its permission to do so. It says:

“A striking headline in this year’s data is that 44% of respondents earned less than the 2024 UK National Living Wage in the 23-24 tax year … a significant worsening of the already critical situation from the previous year … where the equivalent figure was 34%”.


It goes on to say:

“These levels of pay would be illegal in salaried positions”.


I was worried by Chris Bryant’s recent evidence to the Culture, Media and Sport Committee, in which he said that he wants to see a reduction in the number of freelancers over the next 10 years. My understanding was that he is thinking about workers such as his mother, a make-up artist for the BBC, who lost their salaried jobs and were pushed into becoming freelancers. However, this is but one part of the landscape, and this exclusive emphasis ignores all the other freelancers, many of whom are creators—artists, writers, composers and many others—for whom there never has been any option other than being a freelancer for the work they do. Again, we need to understand the whole landscape—the reality of that landscape and the ecology of that landscape.

It becomes difficult to imagine how effective a champion with close proximity to the DCMS will be if the DCMS is actively trying to reduce the total number of freelancers—something it ought to be agnostic about. We need an independent commissioner—in other words, someone in a position of authority—who will support and, importantly, promote the practice of freelance work. We need it in law; we need it in the Bill. I beg to move.

[Lord Clement-Jones (LD)]

My Lords, it is extremely disappointing that we are debating something of this order of importance at this time of day and at the fag-end of this Bill. However, unusually, I shall try to ingratiate myself with the House by being as brief as possible.

First, I want to thank the noble Lord, Lord Katz, for his letter of 30 June and for the publication of the draft terms of reference for the freelance champion, referred to by the noble Earl, Lord Clancarty, who set out the stall extremely cogently for these amendments. I do not need to go over the ground that he has explained extremely well. The lack of a single clear voice representing the interests of freelancers to government is what this is all about—a clear definition of what a freelancer is and clear duties for the freelancer commissioner.

The freelance champion has some similar characteristics to the freelance commissioner, but there are significant differences from the independent freelance commissioner. It is not going to be a statutory office, unlike the freelance commissioner. The structure proposed in our amendments would be more permanent and more independent of government. The terms of reference explicitly state that the champion will focus on freelancers working in the creative industries only, so it will not be cross-sectoral. As we heard from the noble Lord, Lord Londesborough, it is clear that freelancers are extremely prevalent not only in the creative industries but in many other industries as well, including construction, professional, scientific and technical activities, business support, health and social work, IT, digital services and education and training.

While welcome, the freelance champion for the creative industries under the sectoral plan does not go nearly far enough across the board in making sure that there is a real advocate and one with teeth who is able to influence policy towards freelancers across all those different sectors. The question really is why the Government have failed to grasp the urgency and widespread nature of the challenges faced by freelancers across all sectors. It is not unclear that freelance work covers much broader areas than just the creative industries. These amendments would offer recognition to a workforce that contributes enormously to our economy and cultural life and is too often unprotected and unheard in legislative terms.

I urge the Government, even at this time of day and at this time in the Bill, when they cannot really change their approach, really to think about this. We have heard so much about how, on AI or dependent contractors, the Government are considering these things. They really need to shape up in terms of the modern economy. Freelancing is on the increase and they need protection—and the freelance commissioner would be by far the best way forward.

--- Later in debate ---

We recognise the importance and urgency of taking these issues forward. I am happy to continue discussing how best to support the freelancers and the creative industries more widely. However, with this, I ask the noble Earl to withdraw Amendment 160.

[The Earl of Clancarty (CB)]

My Lords, I thank the Minister for that response, for the meeting that we all attended a few weeks ago, which was very useful, and, perhaps, for future meetings, because we want to know much more about what this champion will do. The Minister says that the champion will be independent. That is very interesting.

Three key themes have come out of this discussion. A number of noble Lords talked about whether the champion will be able to move between departments. This is really important. A number of noble Lords raised the question of visibility, including my noble friend Lord Freyberg and the noble Lord, Lord Parkinson, who talked about his insights into the visibility of freelancers. There is visibility and invisibility in a number of ways, which the Government must look at very carefully. There was also an interesting sub-debate from the noble Lords, Lord Hendy and Lord Berkeley. I was trying to work out how it fitted into the debate. It fits because this whole area is so interconnected. I take that on board.

Crucially, as we drafted in the amendments, the commissioner will have those powers and the authority to do what we worry that the champion will not be able to do and will be able to effect those changes. We wish the champion well. We hope that the champion will be able to do these things. This is an area that we will come back to, not least to see how effective the champion will be. For now, I beg leave to withdraw the amendment.

Amendment 160 withdrawn.