Immigration and Social Security Co-ordination (EU Withdrawal) Bill

Lord Blunkett Excerpts

2nd reading & 2nd reading (Hansard) & 2nd reading (Hansard): House of Lords
Wednesday 22nd July 2020 Lords Chamber

[Lord Blunkett (Lab) [V]]

My Lords, the only market the Conservative Party is not in favour of is the labour market. In opening this debate, the Minister talked about the referendum and the December election. A number of seats surrounding my city of Sheffield have gone Conservative. I think those voters would be astonished to find that while the numbers from Europe have literally fallen like a stone, the numbers from the rest of the world, as cited by the noble Lord, Lord Lilley, have rocketed. The changing culture that that will bring in due course might bring pause for thought to the Conservative Party.

I want to concentrate briefly on the contradictions between skilling our own people and this Bill. As has been said, we should of course skill people and do everything possible to ensure that we transform their life chances and the ladder of learning through life. The more people learn and the higher the skill they obtain, the less likely they are to work in those industries and services which are absolutely crucial to our survival.

There are 120,000 vacancies in adult residential care and a turnover rate of 30%. It is estimated that about a quarter of a million people of overseas origin work in adult care services. The Government will probably be saved temporarily by the aftermath of the Covid virus, because people will be desperate to take a job—any job. However, as they skill, they will find that those from overseas will not take the jobs that they are leaving but the jobs that they are seeking—that is, as managers or owners of residential care services. This can be replicated right across the sector.

We deprecate young people going to higher education, as the Secretary of State and his higher education Minister did recently, and suggest that it would be better if they took other jobs. We also imply that those with little skills should take up the jobs previously occupied by migrants who then educated themselves and contributed to the economy.

There is not time to go into the disparaging of the Labour Government by the noble Lord, Lord Lilley. I am very happy to take him on in future, inside and outside the House, on the statistics he quoted, the attitude he displayed and the real importance of understanding the contradictions and difficulties of managing migration policy at the same time as transforming the life chances of those already here.

Immigration and Social Security Co-ordination (EU Withdrawal) Bill

Lord Blunkett Excerpts

Committee stage & Committee: 1st sitting (Hansard) & Committee: 1st sitting (Hansard): House of Lords
Monday 7th September 2020 Lords Chamber

[Lord Green of Deddington (CB) [V]]

I had intended to withdraw from the debate, but having heard the noble Lord, Lord Lilley, I have to say that I agree very strongly with what he said. The debate so far has covered the case for a short-term arrangement to make sure that our failure to train in recent years can be made up for, but there is no justification in the medium term for taking doctors and nurses to look after people here from countries that need them far more than we do. That is our responsibility; it is time we trained our own and got a grip on it.

[Lord Blunkett (Lab)]

My Lords, I rise to support my noble friend Lord Hunt’s amendment and the brief, excellent speech he made at the beginning of this debate. I also want to reinforce points that have been made by the majority of your Lordships, with the exceptions of the noble Lords, Lord Lilley and Lord Green. Although I do not dispute for a minute that both noble Lords have a point, they have highlighted what I hope to put across this evening, which is the complete contradictions that exist in this debate.

I shall start by picking up those points made by the noble Lords, Lord Lilley and Lord Green. I am presuming that, when we reach Report, they will be moving amendments that will remove the so-called health and social care route announced in July, because under that route doctors and nurses could be recruited from across the world to fill vacancies at that level.

One of the contradictions that I want to highlight relates to young people. Young people who cannot find a job anywhere else due to the aftermath of Covid-19—the 20% drop in GDP and the knock-on effect on unemployment—might decide to go into social care. Most young people I speak to want a career and to be able to progress, and there is progression in both residential and social care. However, as things stand with the proposals by the Government, the area from which we would allow people to be brought in from overseas would be at that higher level, whereas at the lower level the vacancies that have been mentioned—122,000 in England alone—would not be fillable from outside the country. I do not know whether the Government believe that, given the crisis in unemployment that is about to accelerate, people will just take up those vacancies even if they are not emotionally and physically suitable to take up caring duties. As has been made clear in this debate, you have to be a particular type of person to take up some of the less attractive duties of caring for someone who is severely disabled or frail and has dementia.

The contradictions, also mentioned by the noble Baroness, Lady Barker, abound. We all want to see improved wages in this sector. That would not only reward people morally for what they do but help fill vacancies. But the danger of simply putting money into the sector, given the level of private equity ownership, might well be that it gets creamed off, rather than helping to fill vacancies. Or, they will simply close the homes if the money is not provided, which will cause an even bigger problem—as part of the contradictions, we would end up with older, frailer and more severely disabled people in hospital settings, which are more expensive but would allow for staffing to be brought in from outside this country. We saw that in March and April, when people who should have been in different settings in the first place were cascaded out into the residential sector unchecked for Covid-19 and ill-prepared in terms of PPE to be able to deal with it. The consequences, as the noble Lord, Lord Patel, said, are obvious for all of us to see.

The biggest contradiction of all—and I put this to the noble Lords, Lord Lilley and Lord Green—is that, on the centre-left in politics, people are generally suspicious of markets and, on the right, people generally embrace markets. But as I said on Second Reading, in the case of the labour market, the situation is reversed, and those who believe vehemently in markets are against a labour market and against being able to draw in from across the world those who have something to offer the area we are talking about this evening.

We need to sort out the contradictions. That includes the issue of austerity, which led to a bigger downturn in funding for local government services and those funded by local government than any other public service area in the country, with the result that local government has been struggling both with its own direct health provision and with funding in the market and the ability to sustain services.

I have one question—I have learned over the Covid-19 period that you do not get an answer from the Minister unless you ask them a question. My question is simple, and the Minister might be able to answer it tonight: we know what the vacancy level is, but do we have an up-to-date picture of the turnover level in the social care sector? The turnover gives you an idea of how long people can stand working in this challenging but often rewarding setting. What steps might have to be taken if the Government’s hope is that the downward pressure on job availability will help fill, in the short term, the vacancies that we have talked about?

At the end of the day, what we are talking about is the care of human beings. We are not talking about markets or political or economic theory; we are talking about the reality of caring for people in their own homes and stopping them, therefore, having to move into hospital, residential care or residential settings that are dealing with people at very difficult times of their lives. In the end, we have to care enough to get it right.

[Lord Hodgson of Astley Abbotts (Con)]

My Lords, I listened carefully to the powerful opening speech from the noble Lord, Lord Hunt of Kings Heath, who is very experienced in this field, and to the speeches that have followed.

Who can argue about the need for a properly skilled, staffed, trained social care workforce? “Skilled and settled”, I think, was the phrase used by the noble Baroness, Lady Masham of Ilton. That is why the issues in subsections (3)(a), (3)(b), (3)(c) and (3)(d) in the noble Lord’s proposed new clause seem entirely appropriate questions to ask. But when they are tied back into an immigration Bill, I begin to get nervous. The noble Lord, Lord Blunkett, talked about contradictions, and I listened carefully to what he said, but the fact is that the issues in subsections (3)(a) to (d) are issues for the sector not linked directly to the immigration matter we are discussing this evening.

I recognise I am probably swimming against the tide, but it is important to realise that workplace psychologists will tell you that you go to work for three reasons. First, you go for the money, and let us not be precious about that. Secondly, and equally importantly, you go for what they call self-actualisation —to improve and increase your life skills, work with decent people, have career progression, have a good performance that is noted and rewarded and, hopefully, operate in an atmosphere of good team spirit. Those are the internal desires most people have in going to work.

The third area is external reputation. When you mention where you work, what do people say in the saloon bar of The Dog and Duck or around the table at a dinner party?

It is worth taking those three yardsticks and applying them to the social care sector. First, there is the money. There is no getting around it: £8.70 an hour is clearly not good enough when compared with £9 for stacking shelves in a supermarket. However, money is not the only motivator here, and when we turn to self-actualisation —the second of the criteria that I mentioned—the situation is quite serious. I have had the privilege of serving on the boards of many companies in my career. When I join one, I often say, “Tell me about your staff turnover.” No staff turnover is not an attractive thing; very often it means that the company has got a bit complacent and is not at the cutting edge, and that the service is not as good as it could be. You want some staff turnover—5%, 10%, that sort of level—to provide the dynamic but, if it rises above that level, it is operationally destructive, distracting and expensive, and the quality of the service starts to fall away.

I understand that in 2018-19 there was a 32.2% turnover in directly employed staff in the sector. Worse, among care workers the turnover was 39.5%. Further evidence of a lack of considered career progression is that half the workforce—excluding registered professionals —have no relevant social care qualifications, which seems to me a question not of money but of managerial grip and organisation, and of making the sector better managed.

Lastly, on the external reputation, one of the great advantages and developments of the pandemic is that people have begun to see how useful, worthwhile and attractive social care can be. People have begun to think about it. Long may that continue but, historically, we all must accept that its reputation has not been that good.

This is a system under acute stress, as many noble Lords have said. The danger of amendments such as these is that they will result in new arrivals, and that immigration will be used as a crutch to maintain what is close to being a broken system. I cannot believe that this is the right approach. More importantly, if the sector believes that it has a “get out of jail free” card, to use the inference that the Minister made when winding up at Second Reading, then there is no pressure on the sector to make any improvements or changes to how the businesses are run or operated, nor indeed is there any pressure on the Government to do likewise. We must find ways to improve the operational performance and the financial performance.

I have two final points. First, on the issue of morality, referred to by my noble friend Lord Lilley, the noble Baronesses, Lady Barker and Lady Meacher, and the noble Lord, Lord Patel, recruitment in this area is a zero-sum game. What we have, other people lose. Maybe one could say that within the EU there is sufficient prosperity for us not to worry about it, but the noble Lord, Lord Patel, mentioned the wider recruitment. This is a very serious issue. We must look ourselves in the mirror and decide whether it is right and fair for us to be recruiting doctors, nurses and care workers from less- developed countries. It may be serious within the EU, but it certainly is serious around the world.

I will give just one example. When the Ebola virus struck Sierra Leone, there were 136 doctors there, one for every 45,000 people; in this country, the equivalent figure is one for every 300 people. At that time, there were 27 Sierra Leone doctors working in the NHS. If we had not employed those people, we could have given a 20% boost to Sierra Leone’s health facilities. It is not the answer but when we set out our stall for the future we must consider our attitude towards the less developed world, and whether we will, as the noble Baroness, Lady Barker, said, take ourselves out of the international market for health and social care workers.

Immigration and Social Security Co-ordination (EU Withdrawal) Bill

Lord Blunkett Excerpts

Report stage & Report stage (Hansard): House of Lords & Report: 1st sitting & Report: 1st sitting: House of Lords
Wednesday 30th September 2020 Lords Chamber

We should always try to solve the problems by looking at how we train, educate and pay our own people. Given that unemployment is rising to the level forecast by the Chancellor, surely, this is an inescapable requirement.

[Lord Blunkett (Lab)]

My Lords, that was a very thoughtful and interesting contribution. I agreed with some of it, in particular the accolades paid to my noble friends Lord Rosser and Lord Hunt. They made such excellent speeches that I can be brief, given that many Members wish to speak today, and I have some sympathy for both Front Benches regarding the length of our sessions at the moment, not least on this Bill. However, I want to draw attention to one or two of the issues that have arisen.

Mention has been made a number of times of the Migration Advisory Committee. I heard Professor Bell on the radio yesterday making the perfectly reasonable case that, as my noble friend Lord Rosser excellently pointed out, it is important that care workers be paid more and respected more. I am fully in favour of trying to tackle head-on the understaffing, underpaying and undervaluing that currently constitutes the general attitude, despite all the sympathy often exuded towards those working in the care sector. However, Professor Bell eloquently made the point that I want to make: that you can get almost £1 an hour more working in general retail than in residential care, despite the enormous challenges arising during the Covid pandemic, as spelled out by the noble Lord, Lord Patel.

Here is a thought. I have it on the good authority of Professor Bell that, according to the Migration Advisory Committee, which concluded its main survey work in March, the consequences of the pandemic are twofold. First, yes, there will be greater unemployment, and that will be felt differently in different parts of the country and will therefore have a differential impact. I do not expect people to move for £8.70 an hour—which is the average pay in residential care, because that is the minimum wage across the country—given that they could not even afford to pay the rent; that is, if they have not been evicted by the time they get there because the moratorium has been lifted. We therefore have to have some common sense here.

There is no sign of the pay increase that should be taking place now, and the oven-ready deal promised a year ago has not yet emerged from the AGA—when it does, it will probably be grossly undercooked—so we will not have a solution. It is no good Professor Bell —I am very happy to debate him on this—going on the radio or producing a 650-page report saying, “Wouldn’t it be nice if the Government coughed up the money so that local authorities can pay increased rates?”, and that we should protect ourselves from exploitation. That is not happening. I pay tribute to the noble Lord who has just drawn attention to what I said in Committee about private equity investment in this area.

My noble friend Lord Hunt made the important point that there will be a cut-off point in three months’ time. Yes, of course we should be emphasising this and supporting people to take up jobs in social care. We should be training them properly and giving them a career pathway so that they can see the way ahead. Their career pathway is somewhat blocked at the moment by the fact that, the higher up you go, the more likely the Government are to allow someone from outside the country to come in and take the job. I tried to explain that on a previous occasion, but I do not think I was eloquent enough. I will use this example: you can come in and drive a BMW but you cannot come in to drive an elderly Robin Reliant that has rusted to the point where the brakes do not work and the doors are falling off. That is what happened in social care, as illustrated by the noble Lord, Lord Patel. There is death and fear within the sector. You will not cure that in three months, nor persuade other people to move house to take up jobs because they have just been made redundant from quite well-paid employment in areas where they hope to take up training and other opportunities.

I therefore appeal for everybody, including the Migration Advisory Committee, to get real. I appeal to the Minister to go back to government—it is not her fault but that of the Treasury—and say, “In the next three months, we as a Government will not solve this problem. We will not be able to encourage sufficient people to take up these jobs. We know that the turnover rate is massive”—it is even greater than my noble friend Lord Rosser said—“that the vacancies exist and are unattractive, and that some people will be highly unsuitable.” So, for goodness sake, let us have a continuing review. That is all Amendment 3 asks for: to get this right and ensure that the consequences of closing the door to the other 27 members of the European Union on 31 December do not have a disproportionate impact on the care of those we are supposed to care about. This is why this debate is taking place, because of the new situation arising from the way we are treating those from the European Union and the EAA. Were that not to happen, we could have a more rational debate, as appealed for by the previous speaker, on how we adjust to ensure that we are not reliant in key areas —including, apparently, butchery—on drawing in people from across the world. That includes, of course, doctors and nurses, who, under the programme that has been laid out, will be allowed to be recruited into the country.

There are such contradictions and we are in such a cliff-edge position that I have gone on longer than I intended, because the more I think about it, the more passionate I am to ask for a bit of common sense.

[Baroness Smith of Newnham (LD)]

My Lords, I rise to speak in support of Amendment 3. Personally, I have quite a lot of sympathy with Amendment 30, put forward by the noble Baroness, Lady Jones of Moulsecoomb, which she referred to as “tougher and more radical”. I voted to remain in the European Union precisely because I recognise the importance of free movement of people. I agreed with virtually every word said by the noble Lord, Lord Blunkett, and I shall be brief, because I am aware that we are only on group 2 and the target is to get to group 14 this evening.

The social care system is in crisis. All noble Lords who have spoken have referred to the difficulties that it faces—problems that have been made clear by your Lordships’ Economic Affairs Committee over the years. The Minister should not have to answer for the social care system. She is not the Minister for Social Care; she is Minister of State in the Home Office. The noble Lord, Lord Horam, is right: the equivalent of the Migration Advisory Committee should report to not just the Home Office but to the Department for Education, the department of health, the Treasury and BEIS because they all need to understand the skills deficits in this country.

The specifics of Amendment 3 are about the social care sector. This Bill is in front of us today because of Brexit but the social care sector is highlighted because of the Covid crisis. Today’s amendment would have been necessary even without six months of a global pandemic, but that pandemic has made clear to everybody both the importance of social care and the huge numbers of EU and third-country nationals in this country looking after some of the most vulnerable people in our society.

It cannot be right to say that those people should not be here and should not be working. We value people being here. Although the noble Lord, Lord Horam, is undoubtedly correct that we need to ensure that British people are adequately skilled, can we really assume that we will suddenly go in the next 14 weeks from no training to saying that someone who is unemployed can take on a job in the care sector that is being vacated by an EU national who has gone home and will not be replaced by another EU national? There might be medium and long-term aspirations for change, but we must accept that the change on 1 January will be immediate.

For that reason, I ask the Government to take this modest amendment very seriously. In her letter to noble Lords earlier today, the Minister referred to Amendments 3 and 30. She stressed that the MAC is a “world-class, independent body” and that it will report. Well, it reported yesterday and expressed its concern about the social care sector. If she cannot give us an answer today, will she come back before Third Reading with some recommendation of how she plans to reconcile her letter to your Lordships, the MAC’s report and the importance of ensuring that, on 1 January, the social care system is not even more vulnerable than it is already? I strongly support Amendment 3.