Transparency of Lobbying, Non-Party Campaigning and Trade Union Administration Bill

Iain McKenzie Excerpts

Wednesday 11th September 2013 Commons Chamber

[Mr Iain McKenzie (Inverclyde) (Lab)]

Does my hon. Friend find it as bizarre as I do that the Government are demanding that trade unions reveal their membership lists in detail, yet the Conservative party keeps its membership secret?

[Ian Murray]

My hon. Friend makes an interesting intervention—the Under-Secretary of State for Business, Innovation and Skills, the hon. Member for East Dunbartonshire (Jo Swinson), a Lib Dem Minister, shakes her head—and he is absolutely right; the Conservative party refuses point blank not only to give us any details of its membership, but to tell us how many members it has. I believe that is either because it cannot tell us or because its membership lists are deficient. [Interruption.] The Government Whip chunters “Tell us yours” from the Treasury Bench, but essentially we are talking about the Conservative party.

The Department for Business, Innovation and Skills, in its justification for this part of the Bill, stated:

“The general public should be confident that voting papers and other communications are reaching union members so that they have the opportunity to participate”

because they affect everyday lives in this country. Well, if the governing party does not affect the daily lives of people in this country, I do not know who does. Perhaps we should extend the Bill’s provisions to that party. The only thing we know about Conservative party membership, of course, is that the average age is 68, which might tell us something about where the party is going.

We should not be surprised by the Government’s failure to provide any evidence, as we know that they run by opinion poll and anecdote. The House will recall the now infamous Beecroft report, which would take this country’s employment rights and health and safety landscapes back to the era of Queen Victoria. When Beecroft appeared before the Enterprise and Regulatory Reform Bill Committee last year, he said that he had absolutely no evidence to back up such claims on compensated no-fault dismissal and the abolition of the Gangmasters Licensing Authority, to name but a few, but that his assessments were based on anecdotal evidence and who he had spoken to. This “met a guy in a pub” type policy making is certainly not good government.

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[Ian Murray]

Thank you, Ms Primarolo, for that ruling on an important point of order. I remind my hon. Friend, the Chair of the Political and Constitutional Reform Committee, that other stuff has been bolted on to Bills, including the Enterprise and Regulatory Reform Bill—disgracefully, the agricultural wages board was abolished at the last minute in the House of Lords without any political debate in this House.

Before the Government start lecturing unions about transparency, they should take a long, hard look in the mirror, subject themselves to this Bill and publish their own membership audit certificate.

[Mr McKenzie]

Will my hon. Friend share with the Committee why he thinks a Government who came to power saying that they would cut and eliminate red tape should apply it to the trade unions?

[Ian Murray]

That is a good question. The Government have a policy initiative of taking out two regulations for every one brought in. Will the Minister say which regulatory burden she will be removing from the trade union movement, given the regulations that she has just put on the statute book? The Government have wholeheartedly refused to deal with zero-hours contracts, blacklisting, payday loans and the high cost of credit, but they are unnecessarily piling regulations on to the trade unions.

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[Yasmin Qureshi]

I completely agree with what my hon. Friend says about blacklisting and intimidation.

When people have a problem, they go to their trade union because that is the only body in the workplace that can assist them. Let us remember some of the issues that the trade unions have been arguing for over the years. Conservative Members constantly heap abuse on the unions—they talk about Unite and the other unions—but let me remind the Committee of some of the things the unions have campaigned for throughout their history.

The trade unions campaigned for proper wages. What is wrong with that? What is criminal or immoral about that? When the industrial revolution started, wage levels were very low, given the work that people had to do. Wages have gone up over the years, but even now it is impossible for most people to survive on the minimum wage. The unions are therefore campaigning for a living wage. What is wrong with that? I am proud of the Labour party’s links with the trade unions, and of the fact that we are actively involved with them. At the end of the day, trade unions represent ordinary working people. As my hon. Friend the Member for Edinburgh South said earlier, these are the people who cook and serve the food, who work in shops and who clean our streets, our offices and our toilets. They do the worst possible jobs. They also work in the NHS and the education system.

[Mr McKenzie]

Does my hon. Friend agree that the reason for including clause 36 in the Bill is completely transparent? It is clear from the contributions from those on the Government Benches that its purpose is to use up union resources, union time and union funds. It is a veiled attack on the trade unions.

[Yasmin Qureshi]

rose—

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[Stephen McPartland]

The hon. Lady will be delighted to know that I read the impact assessment, so I understand that it will cost approximately 6p per member, which does not seem to be exorbitant. [Interruption.] I am sure we can argue about that when we get to a different part of the Bill, but I am going to keep my remarks focused on clause 36 as our Chairman would like—namely, the duty to provide a membership audit certificate. I keep repeating the point that clause 36 deals with a duty to provide a membership audit certificate. I do not see what the problem is with providing such a certificate. I cannot imagine why the unions would object to it.

[Mr McKenzie]

The hon. Gentleman is most gracious in taking interventions. He said that he agreed that legislation might already be in place to deal with the problem. His argument was to ask why we should vote against the provisions if they are already in place, but why would he vote for duplication?

[Stephen McPartland]

I am not voting for duplication. I am going to vote for this part of the Bill. I am being informed that legislation is already in place, but I was probably at school at that time. I would love to accept what the hon. Gentleman and Opposition Members say, but I am not able to trust them. That is why I am going to vote for this part of the Bill. It is nothing personal. It is just that there has been a lot of discussion going back and forth across the Committee, but I like to vote on the facts, and the facts before me today relate to this part of Bill.

I am sure that the Chairman will be grateful to know that I am about to bring my remarks to a close. We should try to reduce some of the rhetoric. This is not an ideological argument and the provisions are not a massive attack on the trade union movement—nobody wants to see that. Trade union members are fantastic members of our society, and the trade unions have been a fantastic vehicle for societal change throughout the ages. I am happy to work with them on a variety of occasions— working alongside them, for example, at charity events in my constituency or when the national unions work on issues that are important to their members such as fair pay, tax transparency or a range of other issues.

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[John Healey]

My hon. Friend has more experience in this area than I have, and he is right to point that out, and he might have gone on to say, “And what a stark disparity with the legal requirements on trade unions to take any industrial action they may have balloted upon within days, not years, and then to give further fresh notice to the employer before the start of that industrial action.” The legislation is already hugely unbalanced and is, as the hon. Member for Huntingdon (Mr Djanogly) argued, ripe for reform—although I think he and I would disagree on the nature of the reform that is required.

The Opposition’s arguments against this clause and my particular objections are clear, and our amendments highlight them. Regardless of what the Government are prepared to say about its purpose now, it is designed to tighten the current legislation binding trade unions. It is designed to make it more difficult for trade unions to take proper legal, legitimate industrial action and in particular for members facing problems in their workplace to stand up to an employer as a last resort and say, “You’re treating us in such an unfair, discriminatory and unacceptable way that we are prepared to take industrial action as a last resort.” If we allow this provision and this part of the Bill to proceed unamended it will become much more difficult for ordinary people as union members in the workplace to stand up for themselves through their union against their employer.

[Mr McKenzie]

I will restrict my remarks to clause 36 and to supporting our amendments. As we have heard over the past few days, this is a bad Bill and it would be poor legislation. Part 3 and clause 36 have clearly been ill thought out and ill conceived by the Government—but they have clearly thought through what they want to achieve. These measures would achieve their goals, but, unfortunately, they are not the goals a lobbying Bill should set out to achieve.

To compound things, this Bill is being rushed through Parliament at a speed that would make Usain Bolt envious. Opposition Members repeatedly ask, “Why the hurry? Why can’t we take a bit of time to scrutinise this Bill and get it right?” There has been no consultation on the Bill either, which has been highlighted.

[Mr Anderson]

My hon. Friend asks, “Why the hurry?” Does he agree that it is because the Government hope to get this Bill on to the statute book so that for 12 months from 8 May next year lobbying groups and trade unions will find that their hands are tied in criticising the Government’s record and reminding the people of this country what a dire mess they have got them into? They are trying to hide that from the public.

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[Mr McKenzie]

My hon. Friend is absolutely right. This Bill and clause 36 have come under sustained criticism from just about everyone except those on the Government Benches. This part of the Bill has led to my inbox being filled—and, I am sure, other Members’ inboxes, too. The messages I have received have come not only from trade union activists, but from people throughout my constituency who are concerned about what this Bill, and this part of it in particular, will mean for them.

This part of the Bill seeks to change the legal requirements in relation to trade unions’ obligations to keep their lists of members up to date, as if it would somehow be of benefit to unions not to keep their membership records up to date. Trade unions continually communicate with their members, as I know as a trade unionist myself; I continually receive mailings from my trade union. They clearly know who their members are and how to contact them, therefore, so the claims made by Government Members that their records might be incorrect or they might have phantom members are beyond belief.

There are concerns about membership data and security and the possibility of the blacklisting of trade union members. There are data protection issues, therefore, and what about people’s right to privacy? In the 1980s I was employed in the private sector and my employer at that time would have been delighted to get its hands on a list of the trade union members among its employees. Instead, it had to put feelers out and, believe it or not, engage people to take photographs.

[Julie Elliott (Sunderland Central) (Lab)]

In some cases where employers are not the best employers, these provisions will leave trade union members very vulnerable, and certainly more vulnerable than they are now.

[Mr McKenzie]

My hon. Friend is right; that would be a consequence of this Bill. In the past, unscrupulous employers would go to any lengths to find out which of their employees were trade union members. I recall being photographed entering trade union meetings by my employer. It would have saved a great deal of money if it had been able to get its hands on these lists.

“Reveal your membership,” the unions are told, on the basis of demanding accuracy.

[Dr Francis]

I have made this point previously, but I want to make it again in the context of what my hon. Friend is saying. The Deputy Leader of the House has been seen denying this from a sedentary position, but yesterday he did not adequately respond to a question I asked about the Government’s failure to produce a human rights memorandum on this Bill. If they had produced one, they would have had to address this fundamental question of privacy.

[Mr McKenzie]

My hon. Friend makes a very pertinent point on the privacy issue. It seems that those on the Government Benches might somehow be surprised to learn that there are still employers who do not welcome trade union membership or activity among their employees, and they would be delighted to have these records at hand. As we have heard, the Conservatives will not reveal how many members they have.

These proposals will mean significant additional bureaucracy for unions. We have heard about the costs of that, and they will escalate considerably for an organisation with 1 million or more members. The Government’s intentions are transparent. As we have heard from Government Members, they want to tie the hands of the trade unions. They want to put a ball and chain around the train unions’ ankles and to hamper their activities. This comes from a Government who said they wanted to cut red tape, and yet here they are imposing it on others.

I have not heard any general objection from the TUC to unions being able to provide regular membership figures to the certification officer. The hon. Member for Huntingdon (Mr Djanogly), who has now left the Chamber, suggested that the certification officer is toothless, when it has been some six years since he visited the certification officer and he was unable to give any idea as to how many times the certification officer had been challenged for lack of action or for being toothless. After all, we know that the trade unions supply membership lists to ACAS, especially when triggering recognition of a ballot in the workplace. I have often found out that the reluctance to hand over accurate lists comes from the employers; they have refused to supply ACAS with lists of their employees to match things up with the trade unions so that they could verify that they indeed had the membership numbers to trigger a ballot. Trade unions have never held back their membership lists; they are happy to give them over, but only if they have privacy for their members and the assurance that the lists will not be handed over. ACAS, of course, gives them that assurance.

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[Mr McKenzie]

I absolutely agree with my hon. Friend.

Recent revelations about blacklisting and everything that is happening in that respect are a worry to many trade union members, who would see these membership lists as being available to be passed around with ease, with all the consequences that that entails. I think that the entire Committee is united in condemning blacklisting, so why are we being asked to assist the ease by which information can be gathered to continue the practice of blacklisting? If hon. Members had seen the trawls that the people who compile these lists go through, they would realise that we are making it very easy to put a list together, pass it on and make money out of branding other people as “trade union activists” and so on. I ask the Government to reconsider this part of the Bill and to adopt our amendments.

[John McDonnell (Hayes and Harlington) (Lab)]

I think we misinterpreted the hon. Member for Huntingdon (Mr Djanogly), because what he said was extremely supportive. He went to what my hon. Friend the Member for Edinburgh South (Ian Murray) described as the crux of the Bill, asking why it is here. The hon. Gentleman was asking his own Front Benchers, “What the hell are we doing?” As my hon. Friend the Member for Inverclyde (Mr McKenzie) and others have asked, what mischief does this part of the Bill seek to address? I really tried to find out what the Government’s thinking is, so I looked at what they said in the consultation paper, which was published in July. The first reason they put forward for this move was as follows:

“As membership organisations, it is important that trade union decisions reflect the will of all their members.”

If that is the case, does it mean that we are now going to legislate in respect of all membership organisations? Sir Edward, you are a member of the Roman Catholic Church and if we are going to do that, we might well introduce legislation to see whether the Catholic Church is following the laity’s views.

Why does this provision apply to trade unions alone? Next, the Government identify trade unions for this special legislation because:

“Trade union activity has the potential to affect the daily lives of members”.

With the greatest respect, so too does the activity of the Roman Catholic Church, the CBI and the Institute of Directors. So why are we focusing on this particular membership organisation? As has been said, the reason is that this legislation is really about trying to impede the operations of the trade unions in this country. Government Members might argue that this measure has minimum cost and minimum imposition of roles and responsibilities on trade unions. The impact study makes an assessment that there will be only 6p of additional cost, although that is still 6p. However, it also says, straightforwardly, that the risks are that this will displace core trade union work. It will do that; trade unions will have to devote their time and energies to this and it will therefore displace their core trade union work of representing their members. So it is about impeding the real role of trade unions.