Public Service Pensions Bill

Debate between John McDonnell and Jim Shannon

Tuesday 4th December 2012 Commons Chamber

[John McDonnell]

I fully concur with my hon. Friend. I received—perhaps he did too—an e-mail from Inspector Nick Smart, who wrote:

“I am a serving police inspector in West Yorkshire of 17 years. I am about to see my life plans thrown into chaos with the proposed pension changes, with my retirement age extended by at least two years plus a 20% cut in my lump sum—about £40,000—and a significantly worse annual pension.”

It is no wonder that people are demoralised and do not trust the Government. They thought there was at least a 25-year guarantee, but we now know that that is not the case, because the Government are giving themselves the power to change schemes at will in the future.

[Jim Shannon (Strangford) (DUP)]

The hon. Gentleman, like other hon. Members, will be aware of the indication that teachers will be asked to pay 50% of their contributions up until 2015, and they are not even safeguarded beyond 2015. Does he agree that, if the Government are not careful, they will create a breeding ground for discontent among teachers?

[John McDonnell]

Exactly, but I think it is across the piece. Whether or not we agreed with the last negotiations, or whether they were imposed or signed up to, at least some people felt there was some security for the future. People are becoming demoralised, which is why it is important that we insert in the Bill provisions for full consultation and agreement with organisations representing employees and for full openness and transparency. That is why new clause 3, moved by my hon. Friend the Member for Nottingham East, is critical. As has been said, at least in the private sector there is full display and transparency in what people sign up to, but there is no display or transparency in the public sector, particularly now that the Government have given themselves these powers.

BBC

Debate between John McDonnell and Jim Shannon

Tuesday 10th July 2012 Westminster Hall

[John McDonnell]

I think the hon. Gentleman was simply suggesting ideas for the coalition manifesto at the next election. Such ideas seem to be coming daily from a wide range of Back Benchers at the moment.

Later today in Parliament, a group of trade unions will launch the report, “BBC Cuts: There is an alternative”. They include the Broadcasting Entertainment Cinematograph and Theatre Union, the Musicians’ Union, the National Union of Journalists, Unite the Union, and the Writers’ Guild. I urge all Members to come along to that launch. The report outlines the concerns of the unions, which are representing their staff, about the threat to the BBC itself. It might well fit in with what the hon. Gentleman has said. The unions believe that the freeze in the licence fee for the coming period and the loading on of additional responsibilities mean that some of the BBC’s core activities are being cut, and that the BBC is under threat. Although I do not want to go into the murky past of how that licence fee settlementcame about, I have to say that undue influence was exerted by Rupert Murdoch and Murdoch junior. Their statements at the Mactaggart lecture in 2009 were translated a fortnight later by the Secretary of State in an article in The Sun, but let us not go into that in any depth, because the Leveson inquiry may well demonstrate the undue influence that the Murdoch empire exerted on the eventual settlement of the licence fee.

The implications of that licence fee settlement are that 2,000 jobs will go at the BBC; and that there will be £340 million of extra funding responsibilities for the World Service, S4C, the roll-out of super-fast broadband, local TV and BBC monitoring. In news, 140 jobs are already going. Something that might cheer up the hon. Gentleman is that three “Newsnight” reporters are going as well, but I am not sure which ones; he might wish to suggest a few names. Three Radio 4 news reporters are going, as are 17 posts across Radio 1, and one extra in news services. Twenty-eight posts are going in the newsroom, including nine studio staff. The News Channel is losing a presenter, the radio newsroom is losing two senior broadcast journalists, and six posts are to go in other areas.

Members—including the hon. Member for Suffolk Coastal (Dr Coffey), who has now left her seat—have mentioned the effective lobby that we all undertook on a cross-party basis to try to save as much as we could of local radio, but that only stopped cuts worth some £15 million; others are going ahead. There are plans, too, to axe 31 posts in national TV current affairs. Editions are being cut from Radio 4’s “Law in Action” and “The Report”, while “Beyond Westminster” and “Taking a Stand” are coming to an end. The BBC plans to halve its spending on party conferences and reduce programme presentation from them; six jobs are going at Millbank, along with four posts in live political programmes.

The Asian Network is still under threat. International news coverage will be affected, with a number of sponsored reporters’ posts around the world being closed. Whatever the criticisms of the World Service, many people rely on it as the only accurate journalism accessible to them on a whole range of fronts. Those are the concerns that many people have about the future of the BBC. They add to the other concerns we have about major sports events being lost to paid TV and the threat to the BBC as a major sponsor of creativity, arts and entertainment.

I share the hon. Gentleman’s concern about some of the BBC’s priorities, especially regarding the high pay of some of the staff. I agree that, as has been suggested, the remuneration committee should be populated by representatives of the staff as well as the listening public. In that way, we may well control some of the high salaries.

[Jim Shannon (Strangford) (DUP)]

I congratulate the hon. Member for Shrewsbury and Atcham (Daniel Kawczynski) on bringing this matter to the House, and it is good to know that a Member can ask the Backbench Business Committee for a debate one week and have it the next week; that is good news.

Does the hon. Member for Hayes and Harlington (John McDonnell) share the concern of many people inside and outside this House that although BBC executives are, as he said, highly paid, regional programmes—including those on BBC Radio Ulster and on BBC TV in the Province—are being affected detrimentally? One of the downfalls of the current system is that there are fewer people on the ground and less community involvement.

[John McDonnell]

The hon. Gentleman is absolutely spot-on. The hon. Member for Shrewsbury and Atcham said that there are high salaries at the top of the BBC, and low salaries at the bottom and on the front line. That issue must be addressed, and can be through the remuneration committee, which should include staff and listener representatives. That way, pay could be controlled.

Rail Engineering (Jobs)

Debate between John McDonnell and Jim Shannon

Tuesday 29th March 2011 Commons Chamber

[John McDonnell]

The reason why I raise the issue of agency workers in the rail industry is that such employment practice is becoming the norm for a number of companies. It is reflected throughout industry, and if it has now invaded the House. I find that disappointing. We as Members should take it up, because it does not seem to be a particularly cost-effective way of employing staff. The agency receives a large cut, but there is very little reward for the workers themselves.

The irony of what happened to the Jarvis workers is that, during the period in which they were laid off, the previous Government and the incoming Government were planning one of the largest railway industry expansion and modernisation programmes that we have seen for perhaps 50 or 70 years. It has happened just at a time when there is a huge job of work to be done in modernising the rail network, with the arrival of Crossrail, High Speed 2 and the electrification of the Great Western main line. We need a stable and skilled rail engineering work force and a national strategy that will retain and develop those skills, so that we can complete that modernisation and renew and enhance our rail network. In the long term, if we are to ensure that stability, we should bring renewals back in-house, back into Network Rail.

The McNulty interim report demonstrated that, when Network Rail brought maintenance in-house in 2004, there was a saving of £400 million per annum. I believe that bringing the renewals back in-house would achieve the same savings, but all the potential for the development, improvement and modernisation of our rail network will be jeopardised if we go through another Jarvis-type disaster.

I should welcome the Minister addressing several issues, and I express my gratitude to the Ministers we have met in recent months. The RMT parliamentary group, RMT union officials and the TUC have discussed with Ministers the plight of Jarvis workers and the future of rail engineering, and I am grateful to the Minister of State, Department for Transport, for writing to Network Rail to urge it to work closely with the unions and to meet members of the RMT parliamentary group. We have heard that the new chief executive at Network Rail, David Higgins, has expressed a willingness to attend a round table of stakeholders to discuss where we go from here on rail engineering.

I should like to ask the Minister here tonight to look at a number of concerns about the future. First, what is to happen to the ex-Jarvis workers who are still on the dole? Network Rail could assist in resolving some of the problems of the ex-Jarvis workers by stipulating that new contractors employ Jarvis workers or at least give them first refusal in any application for jobs. Part of the problem is that it is not clear where the former Jarvis contracts have been awarded, so it would be helpful if Ministers could intervene, asking Network Rail to identify through its Sentinel system exactly how many former Jarvis workers have been employed by contractors and how many are still out of work. In that way, we could work with them to secure their re-entry into the industry.

It would be helpful also if pressure could be put on the individual organisations—the five main companies that took over the Jarvis work—to meet the unions and other representatives of the work force to ensure that we overcome some of the outstanding claims from Jarvis’s going into administration. The companies are BAM Nuttall, Babcock Rail, Freightliner, DB Schenker and VolkerRail. In the long-term interests of the rail industry, we should do all in our power to ensure that this never happens again in this industry—that we never go through another collapse of a company when all the various agencies and stakeholders just stand to one side and allow it to happen.

[Jim Shannon (Strangford) (DUP)]

Is the hon. Gentleman suggesting that what is needed is for the Government to take a direct, hands-on approach to retaining skills and ensuring that those who have lost jobs get back into work again?

[John McDonnell]

Certainly. I will come on to an idea that I have about that, which I think will interest the hon. Gentleman.

To deal with the more immediate questions about learning the lessons of how this occurred, one of the concerns expressed was about the failure by Government to apply the powers of the Railways Act, which would have protected not only the contract work that was being undertaken but the workers who were undertaking those contracts. It would be helpful if the Minister could offer interested Members from all parties a meeting with the appropriate civil servants to discuss the procedures and criteria for when Government can apply the powers under the Railways Act if companies are threatened or in danger of going into administration, so that at least we get those procedures clear in case this occurs again.

I also ask the Minister to look at the arrangements under the Transfer of Undertakings (Protection of Employment) Regulations 1981 to see how they can be amended so that we are never again in a situation in which workers are unprotected and are made unemployed, not transferred across, and then taken back on under agency conditions, and, as a result, on worse wages and with worse conditions.

I would also welcome the Minster working with us to review the protection of railway workers’ pensions. The original pension rights of those who worked for British Rail, which Members from parties across the House thought would be protected on its privatisation, have been undermined by subsequent pensions legislation—I think unintentionally so.