Trade Union Bill

Greg Mulholland Excerpts

Ping Pong: House of Commons
Wednesday 27th April 2016 Commons Chamber

[Mr Anderson]

My hon. Friend is absolutely right about that. If instead of talking to the TaxPayers Alliance to get information, the Government had spoken to any reasonable employer in this country or any trade union that deals day in, day out with this, they would have got a picture of the real story, not just some made-up attack on the trade union movement, which is what this is really all about.

[Greg Mulholland (Leeds North West) (LD)]

I realise that time is short, so I shall be brief. Welcome as it is that the Government have been forced into a series of embarrassing U-turns, my party, which does not receive funding from the trade union movement, does not regard the Bill as a sensible attempt to look at some of the issues relating to party funding. Clearly, that should be done in the round and fairly, including looking at trade union funding, and we would support such an approach. This always set out to be a cynical, politically motivated Bill that undermines the important role that trade unions play in the democratic process. Encouragingly, Members in the other place have acted in a measured and cross-party way. Rather than simply striking down rafts of the Bill, as many would have liked—we would have liked to see that for some parts of the Bill—they have suggested cross-party, sensible and measured amendments.

[Mr Angus Brendan MacNeil (Na h-Eileanan an Iar) (SNP)]

Is it not amazing that a party that tells us all that it is in favour of the free market has in this case resorted to very high-handed regulation?

[Greg Mulholland]

It certainly presents itself as an extremely draconian Bill whose drafting involved no collaboration of any kind.

I think that, welcome though it is, the Government’s change of heart has not gone far enough. I echo the words of the hon. Member for Edinburgh East (Tommy Sheppard): it is clear that the Government have realised that they cannot make enemies of the trade unions when they need the trade union movement in order to secure a “yes” vote—an “in” vote—in the EU referendum. I look forward to working with trade unionists, with the Government, and with members of all parties in seeking to achieve that.

Time is short. Let me end by saying that, given the Government’s welcome U-turn, we will not oppose the amendment. Nevertheless, the Government have simply failed to make the case that electronic voting is not a sensible, modern way forward, which exposes the fact this is really about trying to stop trade unions from reaching the threshold rather than sensibly reforming the system. Alongside others, we will continue to make the case for such reform.

I believe that the Government should think again about the attitude to trade unions that they have shown during this process, and should work together with parties.

--- Later in debate ---

[Helen Hayes]

My hon. Friend is absolutely right.

Only yesterday, I was encouraged to see so many local NHS staff who are members of trade unions, including the GMB, Unite and Unison, coming out during their lunchbreak to show their support for the BMA and the junior doctors’ strike. They know that it is only by working together as one team—doctors, nurses, therapists, technicians, receptionists and cleaners—that our wonderful NHS delivers the world-class healthcare that it was set up to do.

Union members across the country know that industrial relations work best when there is a professional and respectful relationship between employers and employees. Change is often needed in response to changes in the economy, policy or legislation, or when particular injustices arise, and it is often best achieved by different parties—unions, employers and consumer groups—coming around the table to negotiate, work together and resolve differences or develop new practices. The situations we never hear about, but which are much more common, are those where there was no strike action and a settlement was reached through effective joint working. Such effective working relies on an even balance of power between different parties. This divisive and mean-spirited Bill seeks to shift the balance of power in a way that can have only negative consequences. It is right that negotiation and positive joint working take place in every possible circumstance, but in the rare instances where all other avenues have been exhausted—for example, when a Secretary of State for Health rejects out of hand every compromise offer he is asked to consider—the right to withdraw labour by taking strike action is an essential right, and its existence can often be the very thing that focuses minds on all sides on achieving effective negotiations.

The Government’s change of heart on opting in to unions’ political funds and check-off is welcome, but it reveals the extent to which the Bill is politically motivated. It is completely unacceptable that the Government are applying double standards to the turnout required for a strike ballot by expecting a much higher turnout of union members than they would accept as providing legitimacy for their own Members of Parliament or indeed for the election of councillors, whom they accept as having democratic legitimacy. MPs are not, by rule, required to be elected by more than half of the eligible residents living in their constituency, and this is even less likely to be the case for councillors. In an age where the Government are rightly encouraging the greater use of digital services and technologies, it must be right that there should be the ability to vote electronically, with the oversight of the Electoral Commission. What is considered good and fair for the Conservatives in selecting their candidate for London’s Mayor must be considered good and fair for union members in casting their votes on critical issues. It is very disappointing that the Government have not accepted Lords amendments on this matter. They are applying a mixture of different standards to trade unions, refusing to implement e-balloting to maintain consistency with public elections but requiring an even higher turnout threshold than that required for public elections. The Government therefore appear to be picking and choosing standards to suit their own political ends. They appear now to be trying to unravel some of the mess, but it would be better simply to scrap this Bill.

[Greg Mulholland]

I will not detain the House for long, as it has been a long day. I just want to remind the House that in this place it has consistently been the Liberal Democrats who have called for a proper reform of the party funding system. We have done that fairly and equitably, looking at the issues relating to funding from big business and from wealthy private donors, as well as the issues with trade union funding. It has been frustrating, even in my 11 years in Parliament, that that has been frustrated at times by the Conservative party and at times by the Labour party, with both acting in their own self-interest, seeking to preserve their own sources of funding while seeking to deal with the other’s. The Bill is still clearly doing that today and it is the wrong approach.

[Mr Kevan Jones]

I accept the hon. Gentleman’s point, but his party is not clean on this, given the money it accepted from Brown, who was found to be a fraud. So I do not think the hon. Gentleman should be lecturing others about transparency in party funding.

[Greg Mulholland]

I respect the hon. Gentleman, but that is a poor comment, given that I am talking about the party funding system. As he knows full well, issues have arisen for all parties with various donations that were accepted in a reasonable way and later found to have question marks about them. That is one reason we need to deal with this, but it is about the system and so his comments do him no favours on this occasion.

I warmly welcome the sentiments expressed by the hon. Member for Edinburgh East (Tommy Sheppard), another Member of a party outside the two-party system that we have had in the past, but which is now gone in British politics. He said that although it is right that trade unions use their funding for political campaigning to stand up for the rights of their workers and important rights for British people, that is not the same thing as simply funnelling money to the Labour party to win elections.

I have a very interesting perspective on the matter. During my first five years as the proud, new, and perhaps in some ways slightly naive MP for Leeds North West, I found myself courted regularly by my local trade unions. I got on with them very well. As for their agenda, they told me consistently how disgusted they were with what Tony Blair’s new Labour Government were doing to workers’ rights and trade unions, and sought my Liberal Democrat support. I was only too happy to give that support, and to work with them.

I subsequently became lead member of Leeds City Council, and had direct and very strong relationships with my local trade union representatives—but then came the 2010 general election, and despite all that, and despite their disdain for Tony Blair and new Labour, they paid for billboards to go up in my constituency saying “Please vote for your local new Labour candidate”. That is not what I think hard-working trade union members paying into a political fund expect, and I think that it should be looked into by the trade union movement and by the Labour party.

Ultimately, we need to move to a system of transparency. I agree with the hon. Member for North Durham (Mr Jones) in one respect: he made the sensible point that we should be doing all this together rather than through what is clearly a cynical Bill, and indeed a cynical attack on the main source of funding for the Labour party. I do not support that, although I have spoken of the need for a greater differential between funds for the Labour party and funds for political campaigns that may, from time to time, be supported by other parties—indeed, potentially all parties, and even Conservative Back Benchers.

We also need more transparency when it comes to the very shady organisations that funnel money from companies and private donors and pass it on without always revealing who those donors are. That arrangement is clearly unacceptable and needs to be reformed, but, again, all of us—all the parties in the House—must reform it together. The Bill does not provide for that, but we will continue to do it.

I am proud that it was the Liberal Democrats who pushed for a House of Lords Select Committee to lead recommendations on party funding reform, and that it was that Committee which twisted the Government’s arm so that they came up with these U-turns. We think that that is sensible, as it saves the trade unions the clearly unfair and unnecessary administrative burden of having to contact all their existing members who signed up on the existing basis.

I look forward to continuing this discussion in the right place and in the right framework—not in the context of this divisive Bill, but in the context of proper cross-party discussions about how we can finally, and properly, reform party funding as a whole. We will participate fully in those discussions, and we look forward to working with Members in all parts of the House.

Lords amendment 1 agreed to.

Lords amendments 3 to 6 agreed to.

Lords amendments 7 and 8 disagreed to.

Government amendments (k) to (p) made in lieu of Lords amendments 7 and 8.

Lords amendments 9 to 16 and 18 to 29 agreed to.