Blacklisting

Huw Irranca-Davies Excerpts

Wednesday 16th October 2013 Westminster Hall

[Glenda Jackson]

My hon. Friend has developed the point very well indeed—she needs no help from me. As she so rightly says, and going back to my analogy with an infectious disease, people might not even know that they are suffering from such a disease. Only when we have a thoroughgoing inquiry, with all the evidence, and when the symptoms are brought into what we are told is the only effective disinfectant, sunlight—the light of day—can we begin to establish whether the work that has taken place in the past, on ensuring health and safety at work, for example, has gone astray.

[Huw Irranca-Davies (Ogmore) (Lab)]

I commend my hon. Friend on how she is opening the debate. I want to put on the record the fact that I am a member of both the GMB and UCATT. I do so not because I am required to declare that as an interest, but because I am damn proud of it.

On looking forward, will my hon. Friend join me in commending the vocal way in which the Welsh Government Minister, Jane Hutt, has made it clear that there will be no place in public procurement for companies who use blacklisting? She is devising policy and guidance for such companies to ensure that that is crystal clear and explicit.

[Glenda Jackson]

Being partly Welsh, I always find it easy to commend the Welsh on practically anything. That example should be taken on board by other authorities to ensure that the best of all possible disinfectants—sunlight—is brought to bear on this egregious illegality. Let us not forget what we are talking about. Blacklisting is illegal.

--- Later in debate ---

[Mr Allen]

My hon. Friend has been assiduous in investigating this issue, and I bow to his knowledge of it. He is absolutely right about Professor Ewing’s work.

Professor Ewing has written that there is no automatic compensation for being blacklisted and there are no criminal penalties for blacklisting. Protection from blacklisting applies only to trade union activities, which we might think is reasonable. However, given the way the law works, that protection does not apply to trade union-related activities—work that one out. That means the courts will decide whether unofficial action is caught.

On 30 October 2012, UCATT exposed the activities of two leading blacklisting firms—Sir Robert McAlpine and Skanska—while giving evidence to the Scottish Affairs Committee. Both companies were undertaking high-profile projects, including motorway construction and work at the Olympics, while they were blacklisting workers. Giving evidence, UCATT’s general secretary, Steve Murphy, revealed how, in the Consulting Association’s final year of operation, Skanska had paid more than £28,000 for blacklisting checks, while Sir Robert McAlpine had paid £26,000. Skanska admitted it was using the Consulting Association to vet workers and supplying information to the list, yet it escaped without penalty or sanction.

The steps taken in Wales show how we can do something on this issue. The Assembly and the First Minister have made great efforts to move it forward. New procurement guidance issued to all Welsh public bodies has outlined the steps that can be taken through procurement to help end blacklisting and encourage redress and compensation for victims. It makes it clear that companies proved to be involved in blacklisting can be excluded from bidding for contracts. It also sets out the steps companies need to take to avoid being excluded, such as offering proper redress for victims and introducing personnel and organisational measures to ensure that blacklisting no longer takes place.

[Huw Irranca-Davies]

My hon. Friend makes some very salient points. Does he accept, as many unions have said, that the argument that procurement contracts cannot take account of blacklisting activities is a fallacy? In fact, there is a risk of litigation should we choose not to take account of blacklisting and award contracts to companies involved in it. That is why I think the Welsh Government are showing the way forward.

[Mr Allen]

The Assembly in Wales is less dominated by the Executive than we are in this place, but, even so, we should draw comfort from the fact that legislators can make a difference and take these things forward. If Wales can set an example, I very much hope that England can follow suit.

I ask the Minister and her shadow to make it clear that there should be a positive right not to be blacklisted and that workers who find themselves on blacklists should have an automatic right to compensation, without the burden of proof being placed on them. The retroactive compensation scheme that has been mentioned should also be established to compensate blacklisted workers. Furthermore, protection should be extended clearly to include trade union-related activities, as well as just trade union activities. Above all, blacklisting should be a criminal offence, and companies that use blacklists should be open to persecution.

I will skip over the issues you warned us about, Sir Alan; perhaps we will come back to them on another occasion. Suffice it to say that the scheme the industry is creating involves only eight of the 44 major construction firms that have been implicated in blacklisting. That is not good enough, and I hope the Minister will take up the suggestion that all those who have been on a blacklist should be written to and that all those who have blacklisted others should be written to and clearly asked to join the scheme. I doubt this will be the last debate on blacklisting, but the day grows closer when those who have blacklisted others and those who have been on blacklists will get the justice they deserve.