Workers (Predictable Terms and Conditions) Bill

Imran Hussain Excerpts

3rd reading
Friday 24th March 2023 Commons Chamber

[Imran Hussain (Bradford East) (Lab)]

I also start by welcoming the Bill brought by the hon. Member for Blackpool South (Scott Benton). As a Member of this House representing one of the most deprived constituencies in the country, which is not unlike my own, he too will know the role that bad pay, long hours and few rights play in trapping working people in a constant cycle of poverty and deprivation and entrenching poverty in his constituency—again, not unlike many constituencies up and down the country.

I am glad this Bill to address one of the biggest challenges faced by working people is finally reaching its conclusion today. I am glad the Government have supported the Bill through its passage. Given the negligible trickle of Bills that relate to the employment rights of working people have come before the House during their more than a decade in office—unless, of course, they concern taking rights away through their anti-trade union restrictions—in contrast with the recent flood of employment rights legislation proposed from the Back Benches, it would seem that the Government have suddenly discovered the exploitation suffered by working people. But that is not the case.

At the end of 2019—well over three years ago—the Government promised to introduce an employment Bill, which many, including Labour MPs, hoped would address the exploitation of working people and would help create an economy and workforce fit for the modern day. We warned the Government years ago, long before even the 2015 general election, about the exploitation of those on zero-hours contracts and in the gig economy. Trade unions have been banging on the Government’s door urging for stronger protection for workers in a changing economy. We know full well that the Government knew of the hardships created for working people because of zero-hours contracts, so pleading ignorance is no defence for their failure to act. In fact, there is no defence at all.

[Dr Mullan]

Forgive me if the hon. Member was going to clarify this, but is it still the Labour party’s position that it will ban zero-hours contracts?

[Imran Hussain]

Yes, it absolutely is, and I will go on to clarify that in my remarks. The Government’s only excuse for their refusal to tackle the exploitation of working people before their support for this Bill is that Ministers were too busy hailing the alleged benefits of being on zero-hours contracts. The reality is that the advantages of these contracts asserted by the Government are frankly alien to people on them. What they face is no utopia of flexibility, but a prison of exploitation by bad bosses at worst or a world of uncertainty at best. As has been pointed out during the passage of the Bill, people are often compelled to accept shifts that they do not want—and so they struggle to work—because they know that if they turn them down, they may not get any hours at all in future.

[Robin Millar (Aberconwy) (Con)]

I am listening carefully to what the hon. Member says, and I note his response to my hon. Friend the Member for Crewe and Nantwich (Dr Mullan). My Aberconwy constituency is known for its tourism, hospitality and all that comes with that, including shift working. The reality for many residents in my constituency is that zero-hours contracts give them flexibility to juggle family and other commitments and to balance a range of employment. Does he accept there is some virtue of this model for some people some of the time at least?

--- Later in debate ---

[Imran Hussain]

The hon. Gentleman’s constituency is known for the things he has said. He will appreciate there is a huge difference between shift working and zero-hours contracts. Those are two very different concepts, and I do not think anybody is arguing against shift working. Equally, nobody is saying there should be no flexibility. I accept that in a minority of situations—perhaps, for example, in the case of students, as was mentioned earlier—there may need to be that flexibility.

To answer the question from the hon. Member for Crewe and Nantwich (Dr Mullan)—I will cover this later as well—the reality is that over the past decade we have gone from around 150,000 people on zero-hours contracts to more than 1 million, as the Minister will know. To suggest that the majority of those people somehow benefit from some flexibility in zero-hours contracts—or some of the points that the Minister may outline later—is just not true.

[The Parliamentary Under-Secretary of State for Business and Trade (Kevin Hollinrake)]

The hon. Gentleman suggests that it is not true that a majority of people like that relationship, but surveys show that some 64% of people do not want more hours. He would ban zero-hours contracts, even though 64% of people want them. Where is the sense in that?

[Imran Hussain]

I will refer the Minister to another survey. By far the most over-represented groups of people on zero-hours contracts are women and those from ethnic minority backgrounds. The Minister quotes statistics, but in the current market people who have a choice between zero-hours contracts or no work at all are a different case altogether.

[Dr Mullan]

As this is obviously a strongly felt position from the Labour party, I assume that there is not a single Labour-led local authority employing people on zero-hours contracts. If the hon. Gentleman cannot confirm that, will he write to me and explain what steps he will take with his Labour local authority leadership figures to ensure that they do not make use of these contracts, which the Labour party clearly feels are immoral?

[Imran Hussain]

The point that the hon. Gentleman makes is political point scoring on a very serious issue. The fact remains, and this is perhaps where he could direct his energies, that his Government ordered the Taylor review more than five years ago, the findings of which were published in their “Good Work Plan” in 2018. Where has he been for the past few years not questioning his own Government on why they are failing working people, and frankly, why they have failed those being exploited by zero-hours contracts until today? That is perhaps the question he should be asking.

People on zero-hours contracts often face having the shifts they had planned and budgeted for cancelled, leaving them unable to make their bills add up at the end of the month. They are often offered shifts at short notice, forcing them to go to great expense to arrange childcare and transport. As I set out on Second Reading, when the Conservative party came to power, just over 150,000 people were employed on zero-hours contracts. At the last count, more than 1 million were employed on them according to the Office for National Statistics.

As the Bill recognises, for a small group of people who are okay with varying shift patterns and do not face significant outgoings, the contracts may fit better, but let us not kid ourselves: the flexibility of zero-hours contracts is flexibility for the employer, not for working people. As I have mentioned, it is also not as though the Government have never had a chance to improve the rights of working people before this Bill today. They commissioned Matthew Taylor to carry out a review on modern working practices and then accepted his recommendations in full as far back as 2018, but rather than implementing the recommendations, they sat on the review instead. Many of them, including recommendation 13 to allow workers on zero-hours contracts

“a right to request a contract that better reflects the hours they work”,

have gone unfulfilled. That is, until the hon. Member for Blackpool South (Scott Benton) introduced his Bill last year, four years on from the Taylor review.

That lack of progress in implementing the Taylor review’s recommendations almost five years later is lamentable for us, but is devastating for those working people who would be helped by the greater security at work that the recommendations would provide. It is right that the hon. Member’s Bill addresses that issue to some degree. We therefore support the Government in ensuring that this Bill and Bills like it get on to the statute book, because long overdue as it is, it is a step in the right direction towards stronger rights and better protections for an overexploited workforce. However, I cannot let the opportunity of today’s debate go by without asking whether Government support would have been quite so forthcoming had it not been for the relentless pressure they have faced from our trade unions, which have long campaigned for zero-hours contract workers to get the protections they need and deserve.

Although it has taken this Conservative Government years to take some form of action on strengthening workers’ rights by supporting the private Members’ Bills brought by several hon. Members, rather than by introducing their own employment Bill, the next Labour Government will not be so timid. As set out by the leader of the Labour party—the next Prime Minister—within the first 100 days of taking office, a Labour Government will bring legislation to the Floor of the House to begin to deliver our groundbreaking new deal for working people, which will ensure that our economy is fit for the 21st century and will transform the rights and protections afforded to ordinary working people for the better. That includes stronger protections for those on zero-hours contracts, with a ban on contracts without a minimum number of guaranteed hours and the right to a contract reflecting hours normally worked, and a requirement for employers to provide reasonable notice of shift changes, with wages paid in full to workers whose shifts are cancelled without notice, so they are no longer left to shoulder the burden and suffer the costs of unexpected last-minute changes.